Document:

Separation Agreement and General Release

 Exhibit 10.2 
 SEPARATION AGREEMENT AND GENERAL RELEASE 
 This Separation Agreement and General Release
(hereinafter, the “Agreement”) is entered into as of the date set forth on the signature page below by and between Auxilium Pharmaceuticals, Inc. (hereinafter, the “Company”) and Geraldine A. Henwood (“Ms. Henwood”)

 WHEREAS Ms. Henwood has been employed by Auxilium Pharmaceuticals, Inc. (hereinafter, “Auxilium” or the
“Company”) as Chief Executive Officer and Interim President; and 
 WHEREAS Ms. Henwood and Auxilium are parties to a
June 5, 2004 Employment Agreement (hereinafter, the “Employment Agreement”); and 
 WHEREAS Ms. Henwood and the
Company’s Board of Directors (the “Board”) have agreed that her employment with Auxilium will terminate on July 17, 2006 (hereinafter, the “Separation Date”); and 
 WHEREAS, Ms. Henwood and the Board have agreed that Ms. Henwood will resign from the Board effective July 17, 2006; and 
 WHEREAS Ms. Henwood and Auxilium desire to resolve any and all actual and/or potential disputes between them of any nature whatsoever, based on any
event occurring on or before the date of execution of this Agreement, including but not limited to claims relating to her employment, relocation, and alleged reliance; 
  

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 NOW, THEREFORE, for good and valuable consideration and intending to be legally bound, Ms. Henwood
and Auxilium hereby agree as follows: 
 1. Ms. Henwood, for and in consideration of the undertakings of Auxilium set forth herein and
intending to be legally bound, does hereby REMISE, RELEASE AND FOREVER DISCHARGE Auxilium and its corporate parents, subsidiaries, and affiliated entities; the officers, directors, stockholders, employees, and agents of the foregoing entities; and
the successors, assigns, heirs, executors, and administrators of the foregoing entities and persons (hereinafter referred to collectively as “RELEASEES”) of and from any and all actions and causes of actions, suits, debts, claims, and
demands whatsoever in law or in equity that she ever had, now has, or which her heirs, executors, or administrators may have by reason of any matter, cause, or thing whatsoever, based on any event occurring on or before the date of execution
of this Agreement. The foregoing includes but is not limited to claims arising out of or relating in any way to her employment relationship, any provision of or contractual right existing in her Employment Agreement, or the
termination of her employment relationship with Auxilium, including but not limited to claims which have been, could have been, or could be asserted now or in the future arising under federal, state, or local law, including but not limited to the
Pennsylvania Human Relations Act, 43 P.S. §§ 951 et seq; Title VII of the Civil Rights Act of 1964, as amended, 42 U.S.C. §§ 2000e et seq.; the Age Discrimination in Employment Act, 29 U.S.C. §§ 621 et
seq.; the Americans with Disabilities Act, 42 U.S.C. §§ 12101 et seq.; claims relating to or arising under any provision of the Employment Agreement; common law claims sounding in contract, assumpsit, or tort now or hereafter
recognized; and claims for counsel fees and costs. Notwithstanding the foregoing, Ms. Henwood is not in this Agreement releasing the right to file a claim for workers’ or unemployment compensation benefits. 
  

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 2. In full consideration of Ms. Henwood’s execution of this Agreement and her agreement to be
legally bound by all of its terms, and provided that her agreement hereto is not revoked, Auxilium shall provide to Ms. Henwood the following benefits and fulfill its other obligations set forth in this Agreement : 
 (a) severance payments in the gross amount of $270,300, payable in eight (8) equal monthly installments, commencing on July 24, 2006, and
continuing on the 24th of each calendar month thereafter through the eighth and final payment on February 24,
2007; 
 (b) an amount equal to $105,116, representing a prorated portion of Ms. Henwood’s bonus for achievements in 2006 to be
paid on or before July 24, 2006; 
 (c) payment of the monthly COBRA medical insurance cost (less any required employee payments
calculated as if Executive had continued to be an employee) if Ms. Henwood continues medical coverage under COBRA, for Ms. Henwood, and her spouse and (if applicable) dependents, during the 12-month period following the Separation Date;
and 
 (d) payment for Ms. Henwood’s unused vacation benefits accrued as of the Separation Date (which as of the date of this
Agreement are 11.5 days). 
 3. Attached to this Agreement as Exhibit A is a schedule (the “Equity Schedule”) setting forth the
stock options and restricted stock which have been granted to Ms. Henwood. Auxilium represents and warrants that the information set forth on the Equity Schedule is true and correct. Without limiting the foregoing, Auxilium confirms that:

 (A) all of the options listed on the Equity Schedule, other than the options granted on June 6, 2006 (which are referred to as the
“2006 Options”) are fully vested with the respective expiration dates set forth on the Equity Schedule, and Ms. Henwood shall have the right to exercise those vested options until June 13, 2007; and 
  

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 (B) 30,000 shares of the restricted stock will become fully vested (the “Unvested Shares) on the
Separation Date; and 
 (C) Fifteen thousand (15,000) shares of the restricted stock vested on June 5, 2006 (the “Vested
Shares), and Auxilium withheld 4,344 shares in payment of the withholding tax which was payable upon such vesting. 
 Ms. Henwood hereby waives any
right she may have to the continued vesting of the 2006 Options and relinquishes any and all rights to the 2006 Options on and as of the Separation Date. Payment of the minimum required withholding tax due with respect to the vesting of the Unvested
Shares shall be paid by a reduction of the number of shares necessary to defray such tax, in accordance with the same procedure that was utilized in connection with the Vested Shares. 
 4. All payments made to Ms. Henwood pursuant to paragraph 2 above shall be subject to any and all payroll deductions required by law, in addition to
any deductions Ms. Henwood may herself authorize. 
 5. Except as set forth herein, it is expressly agreed and understood that as of the
Separation Date Auxilium has no obligation to provide Ms. Henwood at any time in the future with any payments, benefits, or considerations other than those recited in this Agreement and any vested benefits to which Ms. Henwood may be
entitled under the terms of Auxilium’s benefit plans. 
  

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 6. Ms. Henwood expressly acknowledges that: 
 (a) she remains bound by Sections 4, 5, 6, and 7 of her Employment Agreement, which remain in full force and effect, and whose remaining in full force
and effect is reasonably and properly required for the protection of the Company’s business; and, in keeping with the foregoing, Ms. Henwood explicitly and specifically acknowledges that among her obligations thereunder, she may not
directly or indirectly solicit or recruit any employee of Auxilium to work for a third party other than Auxilium (excluding newspaper or similar print or electronic solicitations of general circulation); 
 (b) the provisions of Section 8 of the Employment Agreement remain in full force and effect; and 
 (c) Auxilium’s obligation to provide her with the benefits set forth in paragraph 2 above are contingent upon her ongoing compliance with Sections
4, 5, 6, and 7 of the Employment Agreement. 
 7. The parties hereto acknowledge that the undertakings of each of the parties herein are
expressly contingent upon the fulfillment and satisfaction of the obligations of the other party as set forth herein. Ms. Henwood agrees and recognizes that in the event she violates any of the terms of this Agreement the Company will be
irreparably harmed and accordingly entitled to seek any and all appropriate relief, including legal and equitable remedies and/or remedies, including but not limited to the return of any payments made in accordance with paragraph 2 above.

 8. Ms. Henwood hereby agrees and recognizes that as of the Separation Date her employment relationship with Auxilium is permanently
and irrevocably severed, that she has resigned from the Board, and that Auxilium has no obligation, contractual or otherwise, to hire, rehire or re-employ her in the future. 
  

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 9. Ms. Henwood agrees and acknowledges that Auxilium’s agreement hereto is and shall not be
construed to be an admission of any violation of any federal, state, or local statute or regulation or of any duty owed by Auxilium. This Agreement is made voluntarily to provide for the amicable termination of Ms. Henwood’s employment
relationship. 
 10. Ms. Henwood agrees that she will not disparage the personal or professional reputation of Auxilium, its directors,
officers, or employees. Auxilium agrees that its officers and/or directors will not disparage the personal or professional reputation of Ms. Henwood. 
 11. Auxilium and Ms. Henwood hereby incorporate by reference the Non-Competition provision set forth in Section 6 of Ms. Henwood’s Employment Agreement. For the avoidance of doubt, Auxilium
confirms that the one-year period referred to in the first sentence of Sections 6 and 7(a) of the Employment Agreement shall commence on the Separation Date. 
 12. (a) Ms. Henwood shall have until September 30, 2006 to submit expense forms for travel expense he incurred while working for Auxilium. Auxilium will process any expense forms submitted by
Ms. Henwood and pay or deny them pursuant to its standard policies and practices. Any expenses not submitted by Ms. Henwood to Auxilium by September 30, 2006 will not be paid by the Company. 
 (b) The Company will continue to provide Ms. Henwood with a Blackberry for her use, at the Company’s expense, until September 30, 2006.

 (c) The Company agrees to reimburse Ms. Henwood for reasonable legal fees and expenses incurred in connection with this Agreement
and that certain Consulting Agreement between the Company and Ms. Henwood, dated of even date herewith, within thirty (30) days of submission to the Company of invoices for such fees. 
  

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 (d) The Company agrees to assign to Ms. Henwood the existing term life policy on her life on
March 1, 2007 and to pay any premium due and payable between the date of execution of this Agreement and March 1, 2007, and the Company further agrees to pay Ms. Henwood on or about March 1, 2007 a lump sum amount sufficient to
pay the premium owed for said term life policy through July 17, 2007. 
 (e) With respect to the long term disability policy
through UNUM that Ms. Henwood holds in her name, the Company agrees to pay any premium due and payable between the date of execution of this Agreement and March 1, 2007, and the Company further agrees to pay Ms. Henwood on or about
March 1, 2007 a lump sum amount sufficient to pay the premium owed for said term life policy through July 17, 2007. 
 (f)
The Company agrees to indemnify Ms. Henwood in accordance with the Company’s By-laws in effect on the date of execution of this Agreement and in accordance with Delaware General Corporation Law. 
 13. Ms. Henwood hereby certifies that: 
 (a) she was presented with this Agreement on June 26, 2006, and she has waived her right to have at least 21 days in which to review it; 
 (b) pursuant to 29 C.F.R. § 1625.22(e)(4), she has agreed and hereby agrees that the 21-day period for review set forth in 29 U.S.C. § 626(f) did not and shall not restart upon the making of any change(s) to
the terms of this Agreement, material or immaterial; 
 (c) she has read the terms of this Separation of Employment Agreement and General
Release; 
  

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 (d) she has been informed by Auxilium that she should discuss this Agreement with her attorney, Spencer
W. Franck, Esquire, of Saul Ewing LLP, and she has in fact done so; 
 (e) she understands the terms and effects of this Agreement,
including the fact that she is hereby releasing not just claims relating to her employment and the termination thereof and her Employment Agreement, but also all claims of any nature, whether related to employment or not, based on any event or
events occurring on or before the date of her execution of this Agreement; 
 (f) she understands she is not hereby waiving any claim that
may arise after the date of her execution of this Agreement; 
 (g) her agreement hereto is given in exchange for the consideration set
forth above, which she acknowledges is adequate and satisfactory to her and not something to which she otherwise would be entitled; and 
 (h) neither Auxilium nor any of its agents, representatives or attorneys has made any representation to her or to her attorney(s) concerning the terms or effects of this Agreement other than that set forth in writing herein. 
 14. This Agreement shall be governed by and interpreted under the laws of the Commonwealth of Pennsylvania without giving effect to any conflict of laws
provisions. Any suit brought to enforce the terms of this Agreement shall be brought in the United States District Court for the Eastern District of Pennsylvania or the Court of Common Pleas for Chester County, Pennsylvania, and both parties hereto
consent to the exclusive jurisdiction of such courts. 
  

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 15. The drafting of this Agreement is the result of negotiations between parties represented by counsel,
and as such the parties agree that any canon of construction providing that an agreement shall be construed against the drafter shall not apply. 
 16. Ms. Henwood has the right to revoke this Agreement within seven (7) days of its execution by giving written notice of such revocation by hand delivery or fax within said seven-day period to Auxilium, Attention: Jennifer Evans
Stacey. Not until the conclusion of such seven-day period shall this Agreement become enforceable, and if Ms. Henwood revokes her agreement hereto within such time by providing notice as set forth above this Agreement shall be null and void.

 IN WITNESS WHEREOF, and intending to be legally bound hereby, the parties have executed the foregoing Separation of Employment Agreement
and General Release this 27th day of June, 2006. 
 THIS IS A LEGAL DOCUMENT THAT CONTAINS A GENERAL RELEASE. YOU SHOULD CONSULT WITH YOUR ATTORNEY BEFORE SIGNING. 
  

									
	WITNESS:	 	  
	 		 	 /s/ Geraldine A. Henwood

		 		 		 	GERALDINE A. HENWOOD
				
		 		 		 	AUXILIUM PHARMACEUTICALS, INC.
					
	ATTEST:	 	 /s/ Jennifer Evans Stacey
	 		 	BY:	 	 /s/ James E. Fickenscher

		 		 		 	TITLE:	 	Chief Financial Officer

  

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 EXHIBIT A 
  

					
		 	Geraldine Henwood	 	
		 	Option & Restricted Stock Holdings	 	
		 	6/28/2006	 	

  

																						
	 Last Name
	 	 First
 Name
	 	 Issue
 Date
	 	 Vest
 Date
	 	Amount
Granted	 	Exercise
Price	 	VESTING PERIOD	 	% Vested	 	 	Vested shares	 	EXP DATE	 	Reason
	 STOCK OPTIONS
	 		 		 		 		 		 		 			 		 		 	
	 Henwood
	 	Geraldine	 	2/16/2001	 	2/16/2001	 	24,314	 	4.2500	 	4yr/25% per year	 	100	%	 	24,314	 	2/16/2011	 	2000 Incentive Options
	 Henwood
	 	Geraldine	 	6/27/2002	 	6/27/2002	 	270,000	 	3.1250	 	special	 	100	%	 	270,000	 	6/27/2012	 	Additional
	 Henwood
	 	Geraldine	 	3/3/2004	 	3/3/2004	 	60,000	 	12.5000	 	100% on 9/20/05	 	100	%	 	60,000	 	3/4/2014	 	2003 bonus
	 Henwood
	 	Geraldine	 	7/23/2004	 	6/5/2004	 	80,000	 	7.5000	 	100% on 9/20/05	 	100	%	 	80,000	 	7/24/2014	 	IPO
	 Henwood
	 	Geraldine	 	6/6/2006	 	6/6/2006	 	100,000	 	9.1500	 	4yr/25% per year	 	0	%	 	—  	 	6/6/2016	 	Annual award
											
		 		 		 	Total	 	534,314	 		 		 			 	434,314	 		 	
											
	 RESTRICTED STOCK
	 		 		 		 		 		 		 			 		 		 	
	 Henwood
	 	Geraldine	 	7/23/2004	 	6/5/2004	 	60,000	 	N/A	 	4yr/25% per year	 	50	%	 	30,000	 	N/AConsultant Agreement

 Exhibit 10.3 
 

 
 CONSULTANT AGREEMENT 
 THIS CONSULTANT AGREEMENT (this “Agreement”) is entered into as of this 27th day of June, 2006, by and between GERALDINE A. HENWOOD, 3 Jorrocks Lane, Malvern, PA 19355 (“CONSULTANT”), and AUXILIUM PHARMACEUTICALS, INC. with an office located at 40 Valley Stream Parkway,
Malvern, PA 19355 (“AUXILIUM”). 
 WHEREAS, AUXILIUM is engaged in the development and sale of pharmaceutical
products; and 
 WHEREAS, CONSULTANT has expertise in the pharmaceutical industry, notably in the business of AUXILIUM and is now
serving as AUXILIUM’s Chief Executive Officer and Interim President; and 
 WHEREAS, AUXILIUM and CONSULTANT wish to enter into
this Agreement for CONSULTANT to provide certain services to AUXILIUM following the termination of CONSULTANT’s employment as Chief Executive Officer and Interim President on July 17, 2006; 
 NOW, THEREFORE, for good and valuable consideration, AND INTENDING TO BE LEGALLY BOUND, CONSULTANT and AUXILIUM hereby agree as follows:

  

	1.	Duties and Responsibilities of CONSULTANT 

  

	1.1.	(a) Upon the request of AUXILIUM, CONSULTANT shall provide advice and support on a variety of matters related to AUXILIUM’S business (the “Services”).

 (b) CONSULTANT shall dedicate up to 20% of her working time (representing approximately one day per week) to the performance
of the Services during the term of this Agreement, unless the parties agree otherwise. AUXILIUM will reasonably accommodate CONSULTANT’s schedule with regard to other work for which she may be responsible. 
  

	1.2.	CONSULTANT agrees to provide the Services in accordance with: (a) all applicable state and federal laws and regulations including, without limitation, the federal Food Drug and
Cosmetic Act and specifically including standards of Good Clinical Practices, Good Laboratory Practices and Good Manufacturing Practices; and (b) the standards and practices that are generally accepted in the industry and exercised by other
persons engaged in performing similar services. 

  

	1.3	During the term of this Agreement, AUXILIUM will supply to CONSULTANT for her use a laptop computer at AUXILIUM’s expense. 

	2.	Payment for Services 

  

	2.1.	AUXILIUM shall pay to CONSULTANT a monthly retainer in the amount of $20,262.50 on or about the first day of each month during the term of this Agreement, with the total amount of
$162,100 to be paid no later than March 1, 2007. 

  

	2.2	AUXILIUM shall reimburse CONSULTANT for reasonable travel expenses incurred by CONSULTANT in connection with the Services upon submission to and approval by AUXILIUM of appropriate
supporting documentation. With respect to air travel, AUXILIUM will only reimburse for economy class travel. All expenses must be submitted to: 

 Accounts Payable Department 
 Auxilium Pharmaceuticals, Inc. 
 40 Valley Stream Parkway 
 Malvern, PA 19355

  

	3.	Term 

  

	3.1	The term of this Agreement shall commence on July 17, 2006 and shall continue until March 15, 2007, unless sooner terminated pursuant to Section 10.

  

	4.	Conflicts of Interest 

  

	4.1.	CONSULTANT represents and warrants that CONSULTANT is authorized to enter into this Agreement and that the terms of this Agreement are not inconsistent with or a violation of any
contractual or other legal obligation to which CONSULTANT is subject. 

  

	4.2	While performing the Services, CONSULTANT agrees not to accept any contract, or otherwise perform any services that may present a conflict of interest with the work being performed
for AUXILIUM, as reasonably determined by AUXILIUM. 

  

	5.	Confidentiality 

  

	5.1.	All information, know-how, trade secrets, data (technical or non-technical) or confidential information concerning operations, organization, business or finances of AUXILIUM and/or
its subsidiaries, subdivisions or affiliates, in whatever form, that CONSULTANT learns, generates or acquires in conjunction with the performance of the Services (collectively, “Confidential Information”) is deemed to be the
confidential and proprietary information of AUXILIUM. Confidential Information includes, but is not limited to, trade secrets, ideas, inventions, research and development work, work-in-process, products, methods, procedures, technology, computer
software, data bases and programming, test data and data files, know-how, designs, specifications, programs, standard operating procedures, policies, guidelines, processes, formulations and unpublished data, personnel, staffing, cost, profit,
marketing, sales, engineering and manufacturing data and information, client, customer, supplier and investigator 

  

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 lists and data, and proposals and contracts (including specifically this Agreement), salary
structure/compensation information, pricing strategies, budgets and other related data, financial information and projections, services, techniques and any other information which, if divulged to a third party, could have an adverse impact on
AUXILIUM, or on any third party to which AUXILIUM owes a confidentiality obligation. 
  

	5.2.	All information, know-how, trade secrets, data (technical or non-technical) or other confidential information concerning the operations, projects, organization, business or finances
of any third party to which AUXILIUM owes a duty of confidentiality, in whatever form, that CONSULTANT learns, generates or acquires in conjunction with the performance of the Services is deemed to be Confidential Information and proprietary
information of such third party. 

  

	5.3.	CONSULTANT agrees that she shall not at any time, whether during or after the termination of her status as a consultant to AUXILIUM, (a) use any Confidential Information for
any purpose other than performing CONSULTANT’s obligations under this Agreement; or (b) disclose or otherwise make available, directly or indirectly, any item of Confidential Information to anyone other than those of CONSULTANT’s
employees, independent contractors or agents who CONSULTANT reasonably believes need to know the same in the performance of CONSULTANT’s obligations under this Agreement. CONSULTANT shall advise her employees, independent contractors and agents
who have access to any Confidential Information of the confidential nature thereof, and agrees that such persons will be bound by terms of confidentiality with respect thereto that are at least as restrictive as the terms of this
Section 5. 

  

	5.4.	Upon the completion or earlier termination of this Agreement, or at any time upon AUXILIUM’s request, CONSULTANT shall promptly return to AUXILIUM all written Confidential
Information. 

  

	5.5.	The obligations set forth in this Section 5 do not apply to the extent any disclosed Confidential Information: (a) is or becomes part of the public domain through
no fault of CONSULTANT; (b) is disclosed to CONSULTANT by a third party entitled to disclose it; or (c) is required by law to be disclosed; provided, however, that, in the case of clause (c), CONSULTANT shall notify AUXILIUM
prior to such disclosure. 

  

	6.	Independent Contractor 

  

	6.1.	CONSULTANT acknowledges that CONSULTANT is an independent contractor and agrees that: 

  

	 	(a)	CONSULTANT is engaged by AUXILIUM to undertake the Services for a limited period of time; 

  

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	 	(b)	Nothing in this Agreement shall be construed to create a partnership, joint venture, employment or similar relationship between CONSULTANT and AUXILIUM; 

  

	6.2.	AUXILIUM acknowledges and agrees that CONSULTANT has the right to control the progress of the Services and is responsible for the successful completion of the Services. AUXILIUM
further acknowledges that CONSULTANT is free to perform similar services for others and, subject to the provisions of Sections 4 and 8, will not restrict or otherwise interfere with CONSULTANT’s ability to perform such services.

  

	7.	Intellectual Property 

  

	7.1.	If at any time or times during the term of this Agreement, CONSULTANT shall (either alone or with others), make, conceive, create, discover, invent or reduce to practice any
invention, modification, discovery, design, development, improvement, process, software program, work of authorship, documentation, formula or data (collectively, “Developments”), whether or not patentable or registrable under
patent, copyright, trademark or similar statutes or subject to analogous protection (collectively, “Legal Protection”) that (a) relate to CONSULTANT’S work or business with AUXILIUM (including, without limitation, any of
the products or services being developed, manufactured or sold by AUXILIUM), (b) result from the performance of the Services, or (c) result from the use of premises or personal property (whether tangible or intangible) owned, leased or
contracted for by AUXILIUM, such Developments, and any rights that CONSULTANT may have or acquire therein in any country throughout the world, and their resulting benefits (collectively, “Rights”) are and shall immediately become
the sole and absolute property of AUXILIUM, as “work made for hire” or otherwise. 

  

	7.2.	CONSULTANT hereby assigns to AUXILIUM, without further compensation, all of CONSULTANT’s Rights with respect to the Developments. To ensure AUXILIUM’s ownership of the
Developments, CONSULTANT shall promptly: 

  

	 	(a)	Disclose each Development to AUXILIUM (or any persons designated by it), and without disclosing the same to others, communicate to AUXILIUM all available information relating to the
Developments (with all necessary plans and models); and 

  

	 	(b)	Whether during or after the termination of its status as a CONSULTANT to AUXILIUM, at the request and cost of AUXILIUM, sign, execute, make and do all such deeds, documents, acts
and things as AUXILIUM and its duly authorized agents may reasonably require to (i) apply for, obtain, register, vest, renew and restore, in the name of AUXILIUM alone (unless AUXILIUM otherwise directs), any Rights with respect to the
Developments under Legal Protection in any country throughout the world; and (ii) defend any judicial, opposition or other proceedings, petitions or applications in respect of such Legal Protection relating to a Development, or the revocation
thereof. After expiration of this Agreement on March 15, 2007 or after termination of this Agreement by Auxilium, to the extent that CONSULTANT shall be required to provide services to AUXILIUM pursuant to this paragraph (b), then AUXILIUM
shall compensate CONSULTANT at the rate of $500 per hour for such services, or at such other rate as the parties shall agree. 

  

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	7.3.	In the event AUXILIUM is unable, after reasonable effort, to secure CONSULTANT’s signature on any application for Legal Protection relating to a Development, CONSULTANT hereby
irrevocably appoints AUXILIUM and its duly authorized officers and agents as CONSULTANT’s agent and power of attorney, to act for and in CONSULTANT’s behalf and stead to execute and file any such applications or other documents and to do
all other lawfully permitted acts to further the issuance and prosecution of Legal Protection thereon with the same legal force and effect as if executed by CONSULTANT. 

  

	8.	Warranties 

  

	8.1.	CONSULTANT represents and warrants that CONSULTANT has never been and is not currently: 

  

	 	(a)	An individual who has been debarred or convicted of a crime for which a person can be debarred by the U.S. Food and Drug Administration (the “FDA”) under 21 U.S.C.
§335a (a) or (b), or by any other regulatory agency (a “Debarred Individual”), from providing services in any capacity to a person or entity that has an approved or pending drug product application, or an employer,
employee or partner of a Debarred Individual; or 

  

	 	(b)	A corporation, partnership, or association that has been debarred by the FDA under 21 U.S.C. §335a (a) or (b), or by any other regulatory agency (a “Debarred
Entity”), from submitting or assisting in the submission of an abbreviated new drug application, or an employee, partner, shareholder, member, subsidiary or affiliate of a Debarred Entity. 

  

	8.2.	CONSULTANT further represents and warrants that CONSULTANT has not been convicted of or pled guilty or no contest to a crime or been sanctioned by a federal or state law
enforcement, regulatory, or licensing agency. 

  

	8.3.	CONSULTANT further represents and warrants CONSULTANT has no knowledge of any circumstances which may affect the accuracy of the representations set forth in Sections 8.1
or 8.2, and that CONSULTANT will immediately notify AUXILIUM in the event of any such debarment, conviction, threat or indictment occurring during the term of this Agreement. 

  

	8.4.	CONSULTANT warrants that CONSULTANT will comply with all applicable requirements of the Health Insurance Portability and Accountability Act, 45 CFR§160 et seq.
(“HIPAA”) relating to the use and or disclosure of Protected Health Information as defined in 45 CFR§ 164.501. 

  

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	9.	Restrictions on Announcements 

 CONSULTANT shall not make any
announcement, oral presentation or publication relating to the Services without AUXILIUM’s prior written consent, except as required by law or by court or administrative order, provided however, that prior written notice is
provided to AUXILIUM and that AUXILIUM has the opportunity to appeal such requirement. CONSULTANT shall not employ or use the name of AUXILIUM in any publication or promotional material or in any form for public distribution, without the prior
written consent of AUXILIUM. 
  

	10.	Termination 

  

	10.1.	Either party may terminate this Agreement at any time and for any reason upon a minimum of thirty (30) days’ prior notice to the other party. In the event of any such
early termination of some or all of the Services, CONSULTANT shall assemble and turn over in an orderly fashion to authorized representatives of AUXILIUM all documents, write-ups, notes, computer programs and other material related thereto. In the
event of termination by AUXILIUM, AUXILIUM shall pay any amounts owing pursuant to Section 2.1 hereof that have not yet been paid as of the date of termination of this Agreement, with the result that CONSULTANT shall be paid a total of
$162,100 on or before March 1, 2007. For the avoidance of doubt, if AUXILIUM terminates this Agreement on November 15, 2006 after having made four monthly payments of $20,262.50 (for a total of $81,050), AUXILIUM shall be obligated to pay
an additional $81,050 to CONSULTANT on or before March 1, 2007. In the event of termination by CONSULTANT, AUXILIUM shall pay to CONSULTANT any amounts owing pursuant to Section 2.1 hereof as of the date of termination. For the avoidance
of doubt, if CONSULTANT terminates this Agreement on November 15, 2006 after having received four monthly payments of $20,262.50 (for a total of $81,050), AUXILIUM shall not be obligated to make any further payments to CONSULTANT.

  

	10.2.	Either party shall have the right at any time to cancel this Agreement for non-performance or material breach of this Agreement by the other party, which non-performance or material
breach has not been cured after 30-days written notice of the same; provided, however, that no such termination of this Agreement shall relieve a breaching party of any liability or obligation it might otherwise have.

  

	10.3	If CONSULTANT is in violation of Section 4, 5, 6 or 7 of the Employment Agreement, dated June 5, 2004, AUXILIUM shall have the right to terminate this Agreement and
immediately cease making the payments required hereunder. 

  

	10.4	In the event that AUXILIUM terminates this Agreement upon the death or disability of CONSULTANT, AUXILIUM shall pay any amounts owing pursuant to Section 2.1 hereof that
have not yet been paid as of the date of termination of this Agreement, with the result that CONSULTANT shall be paid a total of $162,100 on or before March 1, 2007. For the avoidance of doubt, if AUXILIUM terminates this Agreement on
November 15, 2006 after having made four monthly payments of $20,262.50 (for a total of $81,050), AUXILIUM shall be obligated to pay an additional $81,050 to CONSULTANT or in the event of CONSULTANT’S death, her estate, on or before
March 1, 2007. 

  

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	11.	Equitable Relief 

 CONSULTANT agrees that any breach of
Sections 4, 5 or 7 of this Agreement will cause irreparable damage to AUXILIUM and that in the event of such breach, AUXILIUM shall have, in addition to any and all remedies at law, the right to an injunction, specific
performance or other equitable relief to prevent the violation of CONSULTANT’s obligations hereunder. 
  

	12	Indemnification 

 If CONSULTANT becomes
involved in any capacity in any action, claim, proceeding or investigation brought or threatened by or against any person, including AUXILIUM’s stockholders, related to, arising out of or in connection with this Agreement, AUXILIUM will,
subject to the qualifications below, reimburse CONSULTANT for its reasonable legal and other expenses (including the cost of any investigation and preparation) upon receipt of documentation of such expenses incurred in connection therewith,
provided, however, that in the event that CONSULTANT is found liable, CONSULTANT shall reimburse all such expenses to AUXILIUM. AUXILIUM will indemnify and hold harmless CONSULTANT from and against any losses, claims, damages, liabilities or expense
to which CONSULTANT may become subject under any applicable federal or state law, or otherwise, related to, arising out of or in connection with this Agreement, whether or not any pending or threatened action, claim, proceeding or investigation
giving rise to such losses, claims, damages, liabilities or expense is brought by or on AUXILIUM’s behalf and whether or not in connection with any action, proceeding or investigation in which AUXILIUM or CONSULTANT are a party, except
to the extent that any such loss, claim, damage, liability or expense is found by a court of competent jurisdiction in a judgment which has become final in that it is no longer subject to appeal or review, or is stipulated as part of a settlement
the terms of which have been approved by CONSULTANT, or is found in a final arbitrator’s award to have resulted primarily from CONSULTANT’s bad faith or gross negligence. AUXILIUM also agrees that CONSULTANT shall have no liability
(whether direct or indirect, in contract or tort or otherwise) to AUXILIUM or its security holders or creditors related to, arising out of or in connection with this Agreement (whether or not any pending or threatened action, claim, proceeding or
investigation giving rise to such losses, claims, damages, liabilities or expense is brought by AUXILIUM or on its behalf and whether or not in connection with any action, proceeding or investigation in which AUXILIUM or CONSULTANT are a party)
except to the extent that any loss, claim, damage or liability is found by a court of competent jurisdiction in a judgment which has become final in that it is no longer subject to appeal or review to have resulted primarily from CONSULTANT’s
bad faith or gross negligence. If multiple claims are brought against CONSULTANT in an arbitration related to, arising out of or in connection with this Agreement, with respect to at least one of which such claims indemnification is permitted under
applicable law, AUXILIUM agrees that any arbitration award shall be conclusively deemed to be based on claims as to which indemnification is permitted and provided for hereunder, except to the extent the arbitration award expressly states that the
award, or any portion thereof, is based solely on a claim as to which indemnification is not available. 
  

 7 

	13.	Entire Agreement 

 This Agreement constitutes the entire
agreement between the parties with respect to the subject matter hereof, and supersedes any and all prior and contemporaneous communications, representations, agreements or understandings, whether oral or written. No amendment or modification of
this Agreement shall be binding unless in a writing signed by both parties. 
  

	14.	Construction of Agreement 

 The failure of either party to
enforce any provision of this Agreement shall not be construed as a waiver or limitation of that party’s right to subsequently enforce and compel strict compliance with every provision of this Agreement. If any provision of this Agreement or
the application thereof shall be invalid or unenforceable, the remainder of this Agreement shall be unaffected thereby and each remaining term or provision of this Agreement shall be valid and be enforced to the fullest extent permitted by law. This
Agreement shall be governed by and construed in accordance with the laws of the Commonwealth of Pennsylvania, without regard to provisions of conflicts of law. Any lawsuit arising from or related to this Agreement shall be brought exclusively before
the United States District Court for the Eastern District of Pennsylvania or any Commonwealth court sitting in Chester County, Pennsylvania, and each party hereby consents to the jurisdiction of any such court. 
  

	15.	Assignment 

 Neither CONSULTANT nor AUXILIUM may assign this
Agreement or any rights hereunder or delegate the performance of any duties hereunder without the prior written approval of the other party, which approval shall not be unreasonably delayed or withheld; provided, however, that without
such consent, AUXILIUM may assign this Agreement to an affiliate or in connection with the transfer or sale of all or substantially all of its assets, stock or business, or its merger, consolidation or combination with or into another entity.
Subject to the foregoing, this Agreement shall be binding upon, inure to the benefit of and be enforceable by the respective heirs, administrators, successors and permitted assigns of the parties. 
  

	16.	Survival 

 Any terms of this Agreement which by their nature
extend beyond its performance, expiration or termination (including, without limitation, Sections 5, 7, 11 and this Section 16) shall survive any termination or expiration of this Agreement, however caused.

  

	17.	Notices 

 Any notices given under this Agreement shall be in
writing and shall be given by personal delivery, or sent by (a) facsimile transmission (with message confirmed during normal business hours); (b) first class mail, postage prepaid; or (c) Federal Express (or equivalent overnight
delivery service), delivery charges prepaid. All notices shall be given to a party at its respective address set forth below, or at such other address as such party may specify by notice in accordance with this Section 17. A notice

  

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 shall be deemed given when actually received; provided, that if any facsimile notice is received after 5:00 P.M. local
time at the place of receipt, it shall be deemed to have been given as of the next following business day. 
  

	18.	Signatories 

 This Agreement may be executed in counterparts,
each of which, when executed and delivered, shall be deemed to be an original, and all of which, when joined, shall together constitute one and the same agreement. Any photocopy or facsimile of this Agreement, or of any counterpart, shall be deemed
the equivalent of an original. 
 ACCEPTED AND APPROVED BY AND BETWEEN: 
  

							
	GERALDINE A. HENWOOD	 	AUXILIUM PHARMACEUTICALS, INC.
				
	By:	 	 /s/ Geraldine A. Henwood
	 	By:	 	 /s/ James E. Fickenscher

	Print Name:	 	Geraldine A. Henwood	 	Name:	 	James E. Fickenscher
		 		 	Title:	 	Chief Financial Officer

  

 9

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