Document:

Exhibit 10.6

 

PORTIONS OF THIS EXHIBIT IDENTIFIED BY [*****] HAVE BEEN EXCLUDED  FROM THIS EXHIBIT BECAUSE THE EXCLUDED  INFORMATION IS BOTH (I) NOT MATERIAL AND (II) WOULD BE COMPETITIVELY HARMFUL IF PUBLICLY DISCLOSED.

 

Ref. UPMC:

Ref. SATTLUTECH: LIC3-2015-0011 (ST00022)

Linked file: BIOPHYTIS_Sarcob

 

Translation for information purposes only

 

LICENSE AGREEMENT

 

This agreement is concluded between:

 

·                  The Company BIOPHYTIS, limited company with a capital of 1,221,767 euros, whose registered office is situated at 14 Avenue de l’Opéra - 75001 Paris, registered in the Trade and Companies Register of Paris under number B 492 002 225, represented by Stanislas VEILLET, its Chief Executive Officer, duly authorised for the purposes hereof,

 

Hereinafter referred to as BIOPHYTIS,

 

ON THE FIRST HAND,

 

AND

 

·                  UNIVERSITE PIERRE ET MARIE CURIE (PARIS 6), a Public scientific, cultural and professional establishment, whose registered office is located at 4 Jussieu - 75252 Paris Cedex 5, with SIRET number 197 517 22000012, represented by its Chairman, Mr Jean CHAMBAZ, duly authorised for the purposes hereof,

 

Hereinafter referred to as “UPMC”,

 

CENTRE NATIONAL DE LA RECHERCHE SCIENTIFIQUE, a Public scientific and technological establishment, whose registered office is located at 3, rue Michel-Ange - 75794 Paris cedex 16 - France, with SIRET number 197 517 220 00012, represented by its Chairman, Mr Alain FUCHS, duly authorised for the purposes hereof,

 

Hereinafter referred to as “CNRS”,

 

INSTITUT NATIONAL DE LA RECHERCHE AGRONOMIQUE, a Public scientific and technological establishment, whose registered office is located at 147, rue de l’Université - 75338 Paris Cedex 07 — France, with SIRET number 180 070 039 01803, represented by its Chairman, Mr François HOULLIER, duly authorised for the purposes hereof,

 

Hereinafter referred to as “INRA”,

 

CNRS and INRA gave UPMC a signed mandate for the purposes of this LICENSE AGREEMENT,

 

UPMC, CNRS and INRA being hereafter jointly referred to as the “ESTABLISHMENTS”,

 

ON THE OTHER HAND,

 

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BEFORE THE PRESENCE OF:

 

·                  The SATT Paris-Ile de France - Compïègne - Oise, the trade name of which is “SATT LUTECH”, a simplified joint-stock company, whose registered office is located at 24 Boulevard de L’Hôpital - 75005 Paris Cedex 5, registered with the Trade and Companies Register of Paris under number B 539 984 500, represented by its Chairwoman, Ms Chantal VARNISH, duly authorised for the purposes hereof,

 

Hereinafter referred to as “SATT LUTECH”,

 

Acting as the agent of the ESTABLISHMENTS for the negotiation and execution of this LICENSE AGREEMENT; the rights and obligations conferred to SATT LUTECH in accordance with this agreement may at all times be reassigned to the ESTABLISHMENTS or to any third party that the ESTABLISHMENTS will appoint as an agent instead of SATT LUTECH, without BIOPHYTIS being able to oppose such assignment,

 

The ESTABLISHMENTS and BIOPHYTIS being hereinafter jointly referred to as the “PARTIES” and individually as a “PARTY”.

 

SATT LUTECH, the ESTABLISHMENTS and BIOPHYTIS being hereinafter collectively referred to as the “SIGNATORIES” and individually as the “SIGNATORY”.

 

RECITALS:

 

1)            The ESTABLISHMENTS are the co-owners with BIOPHYTIS, in accordance with the information indicated in Appendix 1 hereto, of all or part of the patent families claiming the priority of the patent applications listed in Appendix 1 hereto as an integral part thereof (called the PATENTS, as this term is defined below);

 

2)            UPMC received a mandate from CNRS and INRA to conduct, both in its own name and in the name and on behalf of the ESTABLISHMENTS, the protection  and assessment operations of the PATENTS and to negotiate and sign, both in its own name and in the name and on behalf of the ESTABLISHMENTS, any LICENSE AGREEMENT relating thereto;

 

3)            BIOPHYTIS is a Biotechnology company created in 2006, which specialises in gastrointestinal illnesses related to ageing, in particular those affecting the muscle and visual functions. BIOPHYTIS wishes to develop and market nutraceuticals and medicinal products, the manufacturing, holding or marketing of which imply the implementation of all or part of the applications for the patent families mentioned in point 1) above. BIOPHYTIS plans particularly to market them, directly or indirectly for applications relating to obesity (including sarcopenic obesity), sarcopenia, diabetes, muscular dystrophies including genetic ones (including Duchenne muscular dystrophy), cachexia (including heartworm-related cachexia) and cardiovascular diseases (including arterial hypertension);

 

4)             On 10 July 2008, BIOPHYTIS, UPMC and CNRS concluded  an LICENSE AGREEMENT with reference L08141

 

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and relating to the patent family referred to as “PATENT 1” in Appendix 1 of this LICENSE AGREEMENT;

 

5)                SATT LUTECH is an accelerator company of technology transfer created in January 2012, the objective of which is the maturation and commercialisation of innovations and technology resulting from the research conducted by its shareholders, public research actors, including UPMC and CNRS;

 

6)             Pursuant to a mandate agreement having taken effect on 18 May 2015, SATT LUTECH was assigned by the ESTABLISHMENTS notably to negotiate with BIOPHYTIS an LICENSE AGREEMENT for all the PATENTS, and then to manage and collect from BIOPHYTIS all sums due under said agreement;

 

7)             As part of preparing the introduction of BIOPHYTIS on the Alternext market in Paris, SATT LUTECH, UPMC and BIOPHYTIS concluded on 27 May 2015 an agreement (hereinafter the “LICENSE AGREEMENT”) in order to formalise the progress on this date of the discussions between them in view of the concession by the ESTABLISHMENTS to BIOPHYTIS of operation rights on the share held by ESTABLISHMENTS of the PATENTS, the details of the said concession to be endorsed in an LICENSE AGREEMENT to be concluded between the ESTABLISHMENTS and BIOPHYTIS no later than 31 December 2015;

 

8)           Under additional negotiations, the SIGNATORIES have been converging on all the terms and conditions of the transfer of technology stated in point 7) above and agreed to accept them formally in this LICENSE AGREEMENT;

 

HAVING REGARD TO THE FOREGOING, IT HAS BEEN AGREED AS FOLLOWS:

 

Article 1 – DEFINITIONS

 

In this LICENSE AGREEMENT, and unless the context clearly indicates a different meaning, the following terms, written in capital letters, will have the following meanings:

 

1.1             AFFILIATE means any commercial company of capital or persons, under French law or foreign law, which by means of a participation in the capital stock or any other means, controls BIOPHYTIS, is controlled by BIOPHYTIS or is placed under the same control as BIOPHYTIS. For the purpose of this definition, the term “control” means the direct or indirect ownership of more than 50% of the capital, voting rights or rights to manage the affairs of an entity.

 

The rights granted to AFFILIATES under the terms of this LICENSE AGREEMENT are only applicable to entities having the status of AFFILIATE at the time said rights are exercised. If, during the term of the LICENSE AGREEMENT, an entity were to lose the status of AFFILIATE, the rights acquired by this entity in its capacity as AFFILIATE of BIOPHYTIS will disappear automatically, unless otherwise agreed upon in writing by PARTIES.

 

However, the entity will remain subject to any obligation provided for in the LICENSE AGREEMENT, which remains in force by its very nature, and in particular the obligations regarding confidential information. In any case, BIOPHYTIS will remain bound by the proper execution of the obligations by its AFFILIATES hereunder.

 

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On the day of the signing of the LICENSE AGREEMENT, BIOPHYTIS declares the non-existence of any AFFILIATE. Any creation of an AFFILIATE during the term of the LICENSE AGREEMENT must be promptly notified by BIOPHYTIS to SATT LUTECH and the ESTABLISHMENTS, and said notification must be accompanied by a KBIS extract of the relevant AFFILIATE.

 

1.2             FINANCIAL RETURNS collectively means all of the amounts owed by BIOPHYTIS pursuant to this LICENSE AGREEMENT.

 

1.3           EFFECTIVE DATE means 27 May 2015.

 

1.4              INDIRECT MEDICINE INCOME means the net amounts, excluding taxes, of any kind (for example, royalties, fees, upfront payments, milestone payments or other lump sum) invoiced by BIOPHYTIS to any LICENSEE under any concession, exclusive or not, for the rights relating to all or part of the PATENTS allowing to develop, use, manufacture, market, sell, import or export MEDICINAL PRODUCTS. The sums paid by any LICENSEE to BIOPHYTIS to finance the development work on a MEDICINAL PRODUCT carried out by BIOPHYTIS, alone or with a partner, including the LICENSEE itself, are not INDIRECT MEDICINE INCOME, and this specific destination of the relevant sums must be demonstrated by BIOPHYTIS, for example, by producing an extract from the agreement concluded between the LICENSEE and BIOPHYTIS identifying them as such.

 

1.5           INDIRECT NUTRACEUTICAL INCOME means the net amounts, excluding taxes, of any kind (for example, royalties, fees, upfront payments, milestones payment or other lump sum) invoiced by BIOPHYTIS to any LICENSEE under any concession, exclusive or not, for the rights relating to all or part of the PATENTS allowing to develop, use, manufacture, market, sell, import or export NUTRACEUTICAL PRODUCTS. The sums paid by any LICENSEE to BIOPHYTIS to finance the development work on a NUTRACEUTICAL PRODUCT carried out by BIOPHYTIS, alone or with a partner, including the LICENSEE itself, are not INDIRECT NUTRACEUTICAL INCOME, and this specific destination of the relevant sums must be demonstrated by BIOPHYTIS, for example, by producing an extract from the agreement concluded between the LICENSEE and BIOPHYTIS identifying them as such.

 

1.6           LICENSEE means any BIOPHYTIS contracting third party under a licence agreement concluded in accordance with article 2.3 of the LICENSE AGREEMENT.

 

1.7           MEDICINAL PRODUCTS means any substances or compositions of the “medicament” type for the treatment of the diseases of the SCOPE, that is to say, presented as having preventive and/or curative properties to the diseases of the SCOPE, the manufacture, holding or marketing of which involves the implementation of at least one claim of any of the PATENTS.

 

1.8           NET MEDICINES SALES means the gross amounts invoiced by BIOPHYTIS to any THIRD PARTY in respect of the sale of any MEDICINAL PRODUCT, after the deduction of the usual commercial discounts, the assets resulting from the returns of MEDICINAL PRODUCTS, from purchase, sales, import, or value-added taxes, and transportation costs without these cumulative deductions exceeding five per cent (5%) of the gross amounts invoiced.

 

1.9              NET NUTRACEUTICAL SALES means the gross amounts invoiced by BIOPHYTIS to any THIRD PARTY in respect

 

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of the sale of any NUTRACEUTICAL PRODUCT, after the deduction of the usual commercial discounts, the assets resulting from the returns of NUTRACEUTICAL PRODUCTS, from purchase, sales, import, or value-added taxes, and transportation costs without these cumulative deductions exceeding five per cent (5%) of the gross amounts invoiced.

 

1.10       NUTRACEUTICAL PRODUCTS means all products of the “food” type, that is to say, made from food substances, made available in the form of a tablet, powder, potion or in other medicinal forms, usually not associated with foods, having a physiologically protective effect against the chronic diseases of the SCOPE, the manufacture, holding or marketing of which involves the implementation of at least one claim of any of the PATENTS.

 

1.11           LICENSE AGREEMENT collectively means this LICENSE AGREEMENT, its appendices and any amendments.

 

1.12           OUT OF SCOPE means any application other than the one defined by the SCOPE.

 

1.13           PATENTS collectively means:

 

·                 The patents and patent applications listed in appendix 1 hereto to form an integral part thereof;

 

·                 and the extensions abroad of the aforementioned patent applications, the European and foreign patents corresponding to these applications, all the rights resulting therefrom, and in particular the corresponding patents as well as the reissues, re-examinations, re-deliverances, continuations, continuations in part, divisional applications, renewals, claiming all or part of the priority of the patent or patent application listed above.

 

1.14           PRODUCTS collectively means NUTRACEUTICAL PRODUCTS and MEDICINAL PRODUCTS.

 

1.15           SCOPE means any application related to obesity (including sarcopenic obesity), sarcopenia, diabetes, muscular dystrophies including genetic ones (including Duchenne muscular dystrophy), cachexia (including heartworm-related cachexia) and cardiovascular diseases (including arterial hypertension).

 

1.16           TERRITORY means the countries in which at least one claim of any PATENT is in force.

 

1.17           THIRD PARTY means any person, entity or organisation not included in the PARTIES, other than one of the SIGNATORIES.

 

Words in plural can be understood in singular and vice versa.

 

Article 2 - PURPOSE, NATURE AND EXTENT OF THE LICENCE

 

2.1           By this LICENSE AGREEMENT, the ESTABLISHMENTS grant to BIOPHYTIS the exclusive right to exploit the quota held by the ESTABLISHMENTS on the PATENTS, within the SCOPE and the TERRITORY. This exclusive right is granted in order to allow BIOPHYTIS, directly or indirectly, in an exclusive context, to develop, use, manufacture, market, sell, import or export and distribute the PRODUCTS.

 

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BIOPHYTIS may exercise its rights and perform its obligations under this LICENSE AGREEMENT through its AFFILIATES.

 

2.2           As long as BIOPHYTIS enjoys exclusive exploitation rights over the share of the ESTABLISHMENTS within the SCOPE and the TERRITORY, BIOPHYTIS will have a right of first refusal on any concession of commercial exploitation rights of one or more PATENT(S) outside the SCOPE, envisaged by one or more ESTABLISHMENTS, the methods of implementation of which are described below:

 

a)        the ESTABLISHMENTS undertake to notify, by themselves or through SATT LUTECH acting on their behalf, to BIOPHYTIS about any concession of rights for the commercial exploitation of one or more PATENTS(S) outside the SCOPE, envisaged by one or more ESTABLISHMENTS at any time during the term of the LICENSE AGREEMENT (hereinafter the “NOTIFICATION 1”). Any NOTIFICATION 1 shall specify the PATENT(S) concerned, the proposed areas of operation and the financial conditions proposed by the ESTABLISHMENT(S) in consideration for the notified rights concession;

b)        BIOPHYTIS will have one (1) month following the receipt of NOTIFICATION 1 to notify the author of NOTIFICATION 1, if BIOPHYTIS so wishes, of its wish to benefit in whole or in part from the proposed concession of the rights (hereinafter “NOTIFICATION 2”). Any NOTIFICATION 2 must specify (i) the PATENT(S) concerned and (ii) the areas of exploitation selected by BIOPHYTIS.

c)         BIOPHYTIS will have a period of two (2) months following the sending of NOTIFICATION 2 to notify SATT LUTECH (hereinafter “NOTIFICATION 3”) of the acceptance of BIOPHYTIS of the proposed financial conditions or a financial counterproposal prepared in good faith in accordance with industry practices at the time of NOTIFICATION 3. Any NOTIFICATION 3 must also be accompanied by a reasoned development and marketing plan concerning the extension of the SCOPE to the areas of exploitation selected by BIOPHYTIS;

d)        Upon receipt of NOTIFICATION 3, if it has been sent within the time limit provided for in point c) above, BIOPHYTIS and the ESTABLISHMENTS, or SATT LUTECH acting on behalf of the ESTABLISHMENTS, will negotiate in good faith the terms and conditions (including the financial terms) for the extension of the SCOPE to the applications OUTSIDE THE SCOPE mentioned in NOTIFICATION 1 and selected by BIOPHYTIS in NOTIFICATION 2, which will have to be ratified by way of amendment to the LICENSE AGREEMENT signed within a maximum period of six (6) months following the date of NOTIFICATION 3;

e)         (i) In the absence of a response from BIOPHYTIS in the forms and within the terms set for NOTIFICATION 2 or NOTIFICATION 3; (ii) in case of no response by BIOPHYTIS following the receipt of NOTIFICATION 1; (iii) in the absence of NOTIFICATION 3 addressed by BIOPHYTIS in the forms and terms set in point c) above; (iv) in case of a lack of interest expressly notified by BIOPHYTIS for the concession of rights mentioned in NOTIFICATION 1; or (v) in the absence of an amendment to the LICENSE AGREEMENT signed within the aforementioned period of six (6) month, the ESTABLISHMENTS and SATT LUTECH acting on behalf of the ESTABLISHMENTS shall be fully free to conclude with any THIRD PARTY of their choice an exclusive licence on the PATENT(S) in the areas of operation covered by NOTIFICATION 1; BIOPHYTIS accepts without reserve the said concession and undertakes to sign on simple request any document necessary for the formalisation and the enforceability vis-à-vis THIRD PARTIES of this concession provided that the financial conditions agreed with the THIRD PARTIES will not be more favourable than those which had have been proposed to BIOPHYTIS;

f)           In the hypothesis referred to in paragraph d) above, the ESTABLISHMENTS undertake to pay back to BIOPHYTIS a share of any sum paid to the ESTABLISHMENTS by the THIRD PARTY using all or part of the PATENTS OUTSIDE the SCOPE; the said share being defined in good faith and on a case-by-case basis.

 

2.3           The rights granted to BIOPHYTIS pursuant to article 2.1 above also grant BIOPHYTIS the right to grant to

 

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THIRD PARTIES licences to the PATENTS within the SCOPE and the TERRITORY under the conditions detailed in this article.

 

Within the limits of the provisions of the LICENSE AGREEMENT, BIOPHTYIS may grant to a LICENSEE any rights that it deems appropriate, including the right to sublicense in strict compliance with the provisions of this Article 2.3., which will apply mutatis mutandis. The rights and obligations of the LICENSEE under this LICENSE AGREEMENT shall apply mutatis mutandis to sublicensees with the understanding, nevertheless, that sub-licensees may not sublicense the rights granted to them to third parties, except with the express prior consent of the Establishments.

 

Any licence of all or part of the PATENTS to a THIRD PARTY is subject to the prior written agreement of the ESTABLISHMENTS on the person of the LICENSEE and on the terms provided for in the license agreement. To this purpose, BIOPHYTIS will send to SATT LUTECH on behalf of the ESTABLISHMENTS the first licence agreement proposal (or the detailed term sheet, if applicable) and then a draft reflecting an advanced state of the discussions between BIOPHYTIS and the future LICENSEE.

 

The ESTABLISHMENTS or SATT LUTECH acting on behalf of the ESTABLISHMENTS may refuse their agreement on a draft licence only if:

 

a)        the granting of such a licence and/or its terms undermine the missions of any of the ESTABLISHMENTS as set out in (i) Decree No. 82-993 of 24 November 1982 on the organisation and functioning of CNRS and/or Decree No. 2009-1348 of 29 October 2009 on the organisation and functioning of CNRS, (ii) Articles L.112-1 et seq. of the Research Code and R831-1 et seq. of the Rural and Maritime Fishing Code related to the missions of INRA and/or (iii) the missions of UPMC as established in the research code and the education code, particularly in its article L123-3.

 

And/or

 

b)                 If the terms of the draft licence are contrary to public order and/or morality

 

And/or

 

(c)             the proposed LICENSEE would be in litigation (in a contentious or pre-contentious manner) with any of the ESTABLISHMENTS or SATT LUTECH.

 

In case of refusal, UPMC or SATT LUTECH, acting on behalf of ESTABLISHMENTS, will have:

 

·                                      a period of twenty (20) days following the receipt by SATT LUTECH of the first draft communicated by BIOPHYTIS to notify any refusal to BIOPHYTIS only grounded on points (2.3a) and (2.3c),

 

·                                           a period of twenty-five (25) days following the receipt by SATT LUTECH of each draft notified by BIOPHYTIS to notify any refusal to BIOPHYTIS grounded on (2.3b) above. In the absence of a duly motivated refusal during the aforementioned periods, BIOPHYTIS will be free to conclude said licence with the proposed LICENSEE.

 

In any case, BIOPHYTIS:

 

(i)            undertakes to communicate to SATT LUTECH, acting in its name and in the name and on behalf of the ESTABLISHMENTS, a copy of any licence agreement concluded with a LICENSEE, within thirty (30) days of its signature;

(ii)         shall ensure that any licence granted by BIOPHYTIS to a LICENSEE is compatible and in compliance with the obligations assumed by BIOPHYTIS pursuant to this LICENSE AGREEMENT with respect to the 

 

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ESTABLISHMENTS and SATT LUTECH, in particular as regards the scope and the nature of the rights granted and the obligations in terms of confidentiality and accounting; BIOPHYTIS remains liable vis-à-vis SATT LUTECH and the ESTABLISHMENTS for the execution by its LICENSEE of all the obligations incumbent on BIOPHYTIS under this LICENSE AGREEMENT, in particular pursuant to articles 4 to 7, inclusive.

 

In the event that BIOPHYTIS fails to comply with any of the provisions of paragraph i) or ii) above, the LICENSE AGREEMENT may be terminated at the initiative of the ESTABLISHMENTS or SATT LUTECH acting on behalf of the other ESTABLISHMENTS, pursuant to Article 11.2 below.

 

2.4           The exclusive nature of the rights granted under Article 2.1 above means that, as of the EFFECTIVE DATE, the ESTABLISHMENTS undertake not to grant a THIRD PARTY exclusive rights over all or part of the PATENTS, in all or part of the SCOPE and in all or part of the TERRITORY.

 

Each ESTABLISHMENT retains the right to use all or part of the PATENTS alone, with another SIGNATORY or with THIRD PARTIES, in the course of acts performed for non-commercial, research or experimental purposes, with the exception of clinical trials carried out with industrial THIRD PARTIES and any act of commercial exploitation within the SCOPE.

 

Article 3- TERM

 

3.1           As from the date of signature by the last of the PARTIES, the LICENSE AGREEMENT shall be deemed to have taken effect retroactively as of the EFFECTIVE DATE.

 

3.2           The LICENSE AGREEMENT will remain in force (unless in the event of early termination in accordance with Article 11 below), in each of the countries comprising the TERRITORY, until the expiry or invalidation of the last of the PATENTS in the country concerned.

 

Article 4-EXPLOITATION

 

4.1           BIOPHYTIS undertakes to exploit the rights granted and to take the necessary measures (including obtaining the necessary authorisations if necessary) to develop, use, manufacture, market, import and hold the PRODUCTS falling within the SCOPE and the TERRITORY or to find one or more LICENSEE(S) likely to develop, use, manufacture, market, import and hold the PRODUCTS within the SCOPE and the TERRITORY, in particular by means of a serious commercial prospection and reasonable development and investment efforts.

 

4.2           Throughout the LICENSE AGREEMENT, BIOPHYTIS undertakes to provide to SATT LUTECH, acting on behalf of the ESTABLISHMENTS, confidential annual reports on the exploitation actions (as listed in Article 4.1 above) related to the rights granted, carried out in the last twelve (12) months. Each report must also include justified projections for the next twelve (12) months.

 

4.3           BIOPHYTIS shall promptly inform SATT LUTECH, acting on behalf of the ESTABLISHMENTS, of any decision by BIOPHYTIS itself or any of the LICENSEES not to pursue the further development and/or marketing of any

 

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PRODUCT in any country of the TERRITORY or the exploitation of all or part of the PATENTS. Where applicable, the ESTABLISHMENTS or SATT LUTECH acting on behalf of the ESTABLISHMENTS will have the right to cancel BIOPHYTIS’ exclusivity granted in the country(ies) considered or with regard to the rights that have not been exploited.

 

The ESTABLISHMENTS, or SATT LUTECH acting on behalf of the ESTABLISHMENTS, may cancel BIOPHYTIS’ exclusivity granted pursuant to article 2.1 above, if for two (2) consecutive years and in view of projections provided pursuant to Article 4.2 above, BIOPHYTIS has not implemented any of the means necessary for the direct or indirect development and commercialisation of PRODUCTS.

 

Finally, in the event that the royalties collected (excluding the guaranteed minimums) from BIOPHYTIS pursuant to the LICENSE AGREEMENT, due to NET SALES and INDIRECT INCOME would represent an annual total of less than or equal to fifty thousand Euros, excluding taxes (€50,000, excluding taxes), for a period of two (2) consecutive financial years, SATT LUTECH, acting on behalf of other ESTABLISHMENTS, may notify by registered letter with acknowledgement of receipt to BIOPHYTIS the immediate and automatic conversion of the exclusive rights subject to the LICENSE AGREEMENT into non-exclusive rights. By express agreement between the PARTIES, this provision may be triggered at any time during the term of the LICENSE AGREEMENT, as of the expiration of a period of six (6) months following the issuance of the a first Marketing Authorisation (or any other equivalent authorisation issued outside Europe by any health authority prior to any marketing authorisation) in respect of any PRODUCT, and in any event no later than the financial year 2023.

 

4.4           As a co-owner, BIOPHYTIS acknowledges having all the available information regarding the PATENTS, and therefore declares:

 

·      being able to understand and assess the scope of the PATENTS and the rights granted to it under the LICENSE AGREEMENT;

·      having the competences necessary to deploy a commercial activity that implements all or part of the PATENTS within the limits of the rights and obligations enshrined in the LICENSE AGREEMENT.

 

4.5           BIOPHYTIS is prohibited from using, for any purpose whatsoever, including in the context of non-commercial operations, the names “Centre National de la Recherche Scientifique”, “CNRS”, “Université Pierre et Marie Curie”, “UPMC”, “Institut National de la Recherche Agronomique”, “INRA” or any distinctive feature, sign, name, brand, image, logo or figurative sign belonging to one or both of the ESTABLISHMENTS and any adaptation thereof, as well as the names of the inventors and of any agent of one and/or the other ESTABLISHMENTS, without having received, prior to each use, the written agreement of a legal representative of the ESTABLISHMENT concerned, duly authorised to act in that capacity and, where appropriate, of the natural person.

 

In order to obtain this agreement, BIOPHYTIS will notify in a precise way to the concerned ESTABLISHMENT, the operation concerned and the form of this representation, its duration and the context in which BIOPHYTIS wishes to use the distinctive feature, sign, name, brand, image, logo or figurative sign belonging one or more of the ESTABLISHMENTS.

 

It is understood that, in the event that the ESTABLISHMENT(S) concerned give their written agreement for the use requested by BIOPHYTIS, they may suspend at any time this authorisation in the event that the communication made by BIOPHYTIS no longer corresponds to the one described in the notification

 

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established in the previous paragraph, whether in the form, context, geographical location or duration, or if it would result in the degradation of the image of one or more of the ESTABLISHMENTS.

 

In any case, and even if an ESTABLISHMENT would have given its authorisation to the use proposed by BIOPHYTIS, the distinctive feature, sign, name, brand, image, logo or figurative sign belonging to one or more ESTABLISHMENTS cannot be used by BIOPHYTIS in a manner that, due to the form and/or context used, may be construed as a guarantee given by the ESTABLISHMENTS to any product or service developed and/or marketed by BIOPHYTIS.

 

BIOPHYTIS will impose the same obligations on any potential LICENSEES pursuant to Article 2.3 above.

 

4.6           Any promotion or commercialisation action carried out by BIOPHYTIS as regards the rights conferred upon it under the LICENSE AGREEMENT must be done under its own brands or under the brands for which BIOPHYTIS has regularly obtained a licence. SATT LUTECH and the ESTABLISHMENTS will not be entitled to any rights over such brands or over BIOPHYTIS’ customers. All the administrative authorisations obtained by BIOPHYTIS in relation to the LICENSE AGREEMENT will be on behalf of BIOPHYTIS; the ESTABLISHMENTS and SATT LUTECH may not, subject to the provisions of Article 4.7 below, claim any rights over any of them.

 

4.6           Without prejudice to the provisions of Article 4.6 above, BIOPHYTIS undertakes to provide SATT LUTECH with a copy of all administrative authorisations (including approvals) obtained for the production and/or marketing of any PRODUCT, at the request of SATT LUTECH.

 

4.7           The quality control of the PRODUCTS developed and/or marketed by BIOPHYTIS and all actions related thereto are the exclusive responsibility of BIOPHYTIS; SATT LUTECH and the ESTABLISHMENTS will in no way be required to provide assistance, unless expressly provided for otherwise in a separate agreement concluded between BIOPHYTIS and any of the ESTABLISHMENTS.

 

Article 5 - FINANCIAL CONDITIONS

 

In consideration of the rights granted to BIOPHYTIS pursuant to this LICENSE AGREEMENT, BIOPHYTIS undertakes to pay to SATT LUTECH, in its capacity as the agent of the ESTABLISHMENTS, the amounts set forth in this article.

 

5.1          Minimum guaranteed

 

From the financial year following that during which the first marketing of any PRODUCT occurs, and in any event no later than the 2023 financial year, BIOPHYTIS shall pay SATT LUTECH an annual minimum guaranteed amount of [****].

 

The aforementioned amounts constitute an annual minimum guaranteed in return for the granting of the exclusive rights to the PATENTS as defined in Article 2 of the LICENSE AGREEMENT, which will be deducted from the amount of royalties actually owed by BIOPHYTIS annually pursuant to Article 5.2 below.

 

The guaranteed minimum thus defined is due each year, in December, for the financial year ending on 31 December.

 

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For clarification purposes, it is specified that in the event that for a given financial year, the amount of royalties actually due annually by BIOPHYTIS pursuant to Article 5.2 below would be:

 

·                      less than the annual guaranteed minimum, and said minimum will remain wholly and irretrievably acquired by SATT LUTECH in accordance with Article 6.7 below;

·                      greater than the annual guaranteed minimum, BIOPHYTIS is required to pay the remaining amount due in accordance with Article 5.2 of the LICENSE AGREEMENT.

 

5.2   Annual royalties

 

5.2.1       Annual royalties on the NET SALES equal to:

·                  [****] of the NET NUTRACEUTICAL SALES realised in the year under review. This royalty will be payable on all NUTRACEUTICAL PRODUCTS sold in countries of the TERRITORY, until the date of expiration or early termination of the LICENSE AGREEMENT;

·                  [****] of NET MEDICINAL SALES realised in the year under review. This royalty will be payable on all MEDICINAL PRODUCTS sold in countries of the TERRITORY, until the date of expiry or early termination of the LICENSE AGREEMENT.

 

If a PRODUCT is sold in a kit or in combination with other products that are not the PRODUCTS, the NET SALES will be calculated by multiplying the NET SALES of the kit or combination by the fraction A/(A+B) , where A is the price of the PRODUCTS during the relevant year in the country in which the sale took place, and B is the sum of the prices of the other products or compounds of the kit or combination during the relevant year in the country in which the sale took place

 

5.2.2       Annual royalties on INDIRECT NUTRACEUTICAL INCOME equal to:

 

·                [****] of all INDIRECT NUTRACEUTICAL INCOME received by

BIOPHYTIS under any agreement concluded with any LICENSEE before the completion of a first so-called multi-centre study relating to any NUTRACEUTICAL PRODUCT;

 

·               [****] of all INDIRECT NUTRACEUTICAL INCOME collected by BIOPHYTIS under any agreement concluded with any LICENSEE concurrently with or after the completion of a first multi-centre study relating to any NUTRACEUTICAL PRODUCT;

 

·                [****] of all INDIRECT NUTRACEUTICAL INCOME received by BIOPHYTIS under any agreement concluded with any LICENSEE concurrently or after obtaining a health claim relating to any NUTRACEUTICAL PRODUCT.

 

In order to avoid any doubt as to the manner of execution of this Article 5.2.2., the following is stated:

 

·               the expression “completion of a first multi-centric study... “ is understood as the date of signature of the final report of this study by its coordinator.

 

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5.2.3       Annual royalties on INDIRECT MEDICINE INCOME equal to:

 

·              [****] of all INDIRECT MEDICINE INCOME received by BIOPHYTIS under any agreement concluded with any LICENSEE prior to the beginning of Phase 1 of any of the MEDICINAL PRODUCTS concerned by said agreement;

 

·              [****] of all INDIRECT MEDICINE INCOME received by BIOPHYTIS under any agreement concluded with any LICENSEE after the beginning of Phase 1 and before the beginning of phase 2 of any of the MEDICINAL PRODUCTS concerned by said agreement;

 

·            [****] of all INDIRECT MEDICINE INCOME received by BIOPHYTIS under any agreement concluded with any LICENSEE after the beginning of Phase 2 and during the conduction of Phase 2 of any of the MEDICINAL PRODUCTS concerned by said agreement;

 

·             [****] of all INDIRECT MEDICINE INCOME received by BIOPHYTIS under any agreement concluded with any LICENSEE after the completion of Phase 2 of any of the MEDICINAL PRODUCTS concerned by said agreement and during the conduction of Phase 3;

 

·             [****] of all INDIRECT MEDICINE INCOME received by BIOPHYTIS under any agreement concluded with any LICENSEE after the completion of Phase 3 of any of the MEDICINAL PRODUCTS concerned by said agreement.

 

In order to avoid any doubt as to the manner of execution of this Article 5.2.3, the following is stated:

 

·             the expression “beginning of Phase ... “ means the date of entry of the first patient into the relevant clinical phase; the expression “conduction of the Phase... “ means the period between the date of entry of the first patient in the relevant clinical phase and the date of issue of the final report of that phase;

 

·             In the event that an agreement concluded with any LICENSEE relates to several MEDICINAL PRODUCTS in different phases, the annual royalty rate on INDIRECT MEDICINE INCOME applied corresponds to the rate established for the MEDICINAL PRODUCT whose phase is the most advanced.

 

5.3   Anti-stacking clause

 

5.3.1                  In the event that it is necessary for BIOPHYTIS, in the context of direct exploitation, to take a licence on a patent application or a granted patent held by a THIRD PARTY to use all or part of the PATENTS without incurring an infringement (the patent application or granted patent held by a THIRD PARTY being hereinafter referred to as “NECESSARY PATENT”), BIOPHYTIS may negotiate with said THIRD PARTY a licence subject to such conditions as BIOPHYTIS may deem appropriate.

 

5.3.2                  In the event that the licence concluded with the THIRD PARTY owner of the NECESSARY PATENT provides for the payment of royalties to the latter, following the delivery to SATT LUTECH of a copy of the licence agreement concluded between BIOPHYTIS and the THIRD PARTY owner of the NECESSARY PATENT (such copy may redact, at the convenience of BIOPHYTIS, any confidential

 

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element not related to the subject of this article 5.3.2), the SIGNATORIES will meet promptly and in good faith in order to implement, by amendment to the LICENSE AGREEMENT, a reduction of the annual royalty rate on the NET SALES owed by BIOPHYTIS equal to fifty percent (50%) of the royalty rate due to the THIRD PARTY owning the NECESSARY PATENT; it being understood, however, that under all circumstances the royalty rate payable by BIOPHYTIS under the LICENSE AGREEMENT may not be less than [****]. The reduction of the royalty rate due by BIOPHYTIS under the LICENSE AGREEMENT will take effect from the effective date of the aforementioned amendment, which cannot be retroactive. It will remain applicable for as long as BIOPHYTIS is responsible for the payment of royalties in favour of the THIRD PARTY owner of the NECESSARY PATENT.

 

Article 6 - ACCOUNTING — ROYALTY AUDIT

 

6.1         BIOPHYTIS will maintain accounting identifying all the elements necessary for the precise evaluation of the FINANCIAL RETURN due by BIOPHYTIS under this LICENSE AGREEMENT. This accounting will end each financial year on BIOPHYTIS’ closing date, 31 December.

 

6.2           a) As of 1st January 2017, BIOPHYTIS will submit every year in the month of January to SATT LUTECH a detailed financial statement which must include:

 

·                       the reference of the LICENSE AGREEMENT (LIC3-2015-0011)

·                      a NET SALES statement and the INDIRECT INCOME billed during the previous financial year, for each country of the TERRITORY,

·                       the calculation of the sums due by BIOPHYTIS under the LICENSE AGREEMENT.

 

b)   Each financial statement as referred to in Article 6.2a) above will be sent to SATT LUTECH, for the attention of the President - 24 boulevard de l’Hôpital - 75005 Paris. A financial statement must also be sent to SATT LUTECH within thirty (30) days of the date of termination or expiry of the LICENSE AGREEMENT.

 

c)    In the event that no commercial transaction related to the PATENTS is carried out by BIOPHYTIS during a financial year during the term of the LICENSE AGREEMENT, BIOPHYTIS must nevertheless send to SATT LUTECH within thirty (30) days following BIOPHYTIS’ closing date indicated in Article 6.1 above, a financial statement certifying the lack of NET SALES and INDIRECT INCOME during the relevant year and indicate the causes thereof.

 

6.3           The sums due by BIOPHYTIS pursuant to the LICENSE AGREEMENT shall be paid to SATT LUTECH acting as an agent of the ESTABLISHMENTS, so that SATT LUTECH distributes such sums between the ESTABLISHMENTS and SATT LUTECH in accordance with to the agreements between them. Payment will be made within forty-five (45) days as of end of the month following the date of issuance of an invoice by SATT LUTECH, by bank transfer payable to SATT LUTECH.

 

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Bank details:

 

Bank: CIC PARIS SUD ENTREPRISES

10 Place de Catalogne

75014 PARIS

Bank Code: 30066

Branch code: 10912

Account number: 00020057801

Key: 86

 

SATT LUTECH will issue any invoice in Euros in accordance with the legal provisions applicable to it.

 

The sums due to SATT LUTECH will be paid in Euros.

 

Invoices will be sent to BIOPHYTIS at the following address:

BIOPHYTIS

14 Avenue de l’Opéra

75001 Paris

 

6.4    Any sum not paid by BIOPHYTIS within the aforementioned deadlines will give rise to the payment of:

 

· an indemnity lump sum for recovery costs as provided for in Article L. 441-6 of the Commercial Code or, in the event that the recovery costs actually incurred by SATT LUTECH exceed the indemnity lump sum mentioned above and subject to the presentation of supporting documents by SATT LUTECH, an additional recovery costs indemnity for an amount equivalent to the recovery costs actually incurred; and

 

· late interest calculated pro rata temporis at the most recent intervention rate of the European Central Bank plus ten (10) points.

The provisions of this Article 6.4 apply without prejudice to the right of UPMC or SATT LUTECH, acting on behalf of the ESTABLISHMENTS, to notify by registered letter with acknowledgement of receipt to BIOPHYTIS the immediate and automatic conversion of the exclusive rights object of the LICENSE AGREEMENT into non-exclusive rights or to terminate this LICENSE AGREEMENT pursuant to Article 11 “Termination - Expiration” below.

 

6.5           The sums due by BIOPHYTIS pursuant to the LICENSE AGREEMENT will be increased by the legal fees in force on the maturity date, in particular VAT, if applicable.

 

6.6           Throughout the term of the LICENSE AGREEMENT extended for a period of twelve (12) months, SATT LUTECH as an agent of the ESTABLISHMENTS, shall have the right to have an independent auditor at any time, but not more than once (1) a year, to audit any element of BIOPHYTIS’s accounting relating to the performance of this LICENSE AGREEMENT. The costs and fees of the auditor in charge of the audit shall be borne by SATT LUTECH, unless more than five percent (5%) of the amount of the sums actually paid by BIOPHYTIS is observed as a result of the said audit, in which case the fees and costs of the accountant will be charged to BIOPHYTIS.

 

6.7           The sums collected by SATT LUTECH under the LICENSE AGREEMENT will in any event remain definitively and irretrievably acquired by SATT LUTECH, with SATT LUTECH acting as an agent to distribute the amounts in accordance with the contractual provisions concluded between it and the ESTABLISHMENTS, and it will in no case be returned to BIOPHYTIS. In addition, the sums remaining due by BIOPHYTIS on the date of expiration or termination of the LICENSE AGREEMENT must be reported to SATT LUTECH within three (3) months from the date of expiration or termination of the LICENSE AGREEMENT, as provided for in Article 6.2. These sums will be payable within 45 days of the end of the month following the date of issue of the corresponding invoice by SATT LUTECH.

 

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Article 7 - CONFIDENTIALITY

 

7.1           For the purposes of the LICENSE AGREEMENT, any information and/or data in any form (for example, without limitation, orally, in writing or otherwise) and of any kind (for example, without limitation, of a commercial, financial, strategic or technical nature or otherwise), communicated by a SIGNATORY to another in relation to the negotiation or execution of the LICENSE AGREEMENT will be deemed to be confidential.

 

7.2           Each SIGNATORY agrees, in respect of any confidential information received from another SIGNATORY under the LICENSE AGREEMENT and without the prior written agreement of the SIGNATORY member who has provided it:

 

a)  to keep it strictly confidential by taking all appropriate measures to prevent any direct or indirect disclosure to any THIRD PARTY;

b)   not to deposit it or make it available to a THIRD PARTY to file a patent application or other industrial property right on said information;

c)   not to use it for any purpose other than the execution of the LICENSE AGREEMENT.

SIGNATORIES undertake to have their staff and any person attached to their service in any capacity whatsoever observe the same commitment, and to make sure that they respect this commitment.

 

7.3            Confidentiality and non-use of the commitments binding the SIGNATORIES pursuant to this Article 8 shall not apply to information which the RECIPIENT PARTY can prove:

 

a)   that was disclosed after obtaining the prior written authorisation of the SIGNATORY who provided it, or that the disclosure was carried out by the SIGNATORY who provided it;

b)   that it was in the public domain at the time of their communication by the SIGNATORY who provided it, or that it became aware of this communication without fault on the part of the recipient SIGNATORY;

c)    That it has been legally received from a THIRD PARTY;

d)   that at the date of its communication by the SIGNATORY who provided it, the recipient SIGNATORY was already in possession of this information.

The aforementioned exceptions are not cumulative.

 

7.4            This confidentiality commitment will remain in effect for the term of the LICENSE AGREEMENT and for five (5) years after its expiration or termination.

 

7.5    The provisions of this Article 7 shall not preclude any disclosure directly and strictly necessary for:

 

a)            the development or exploitation of the PRODUCTS by BIOPHYTIS or its LICENSEES;

b)            the obtaining of administrative operating authorisations by BIOPHYTIS or its LICENSEES;

c)             the correct performance by SATT LUTECH of its activity as agent of the ESTABLISHMENTS;

d)            the exercise by SATT LUTECH and the ESTABLISHMENTS of the rights reserved to them pursuant to Article 2.4 of the LICENSE AGREEMENT;

e)             In application of a mandatory legal or regulatory provision or by the application of a final court decision or an arbitral award.

In the aforementioned cases, the SIGNATORIES will have to take reasonable measures to ensure that no unauthorised use or disclosure be made by the persons to whom such confidential information will be provided, in particular by drawing to their attention the confidential nature of said information. As regards its own personnel, each SIGNATORY shall be authorised to entrust said information only to members who

 

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are bound by a confidentiality obligation at least equivalent in its effects to the confidentiality obligation provided for in this Article 7.

 

Article 8- INTELLECTUAL PROPERTY

 

8.1                    THE ESTABLISHMENTS are and remain co-owners of their share of the intellectual property rights relating to the PATENTS.

 

8.2                    On the date of signature of the LICENSE AGREEMENT, the ESTABLISHMENTS and BIOPHYTIS will talk in order to establish in a separate agreement their respective rights and obligations with regard to the management of the industrial property procedures relating to the PATENTS and their co-ownership.

 

Article 9-GUARANTEES

 

9.1                    This LICENSE AGREEMENT is concluded without any guarantee other than that of the material existence of the PATENTS on the date of signature of the LICENSE AGREEMENT by the last SIGNATORY. Subject to the foregoing, the ESTABLISHMENTS and SATT LUTECH make no express or implied guarantees as regards the PATENTS and the inventions that they cover, including their usefulness, safety or suitability for a particular purpose.

 

9.2                    The potential hazard, risks and dangers associated with the implementation of the rights granted and any legal defects concealed by all or part of the PATENTS will be the sole responsibility of BIOPHYTIS, which accepts it.

 

In particular, it is the responsibility of BIOPHYTIS to identify and analyse, if BIOPHYTIS considers it appropriate, the rights of THIRD PARTIES whose PATENTS may be dependent and to take into consideration the extent of said THIRD PARTY rights.

 

Therefore, in the case for example where one or more PATENTS would be rejected, cancelled or declared dependent on a previous dominant patent, or in the event that any PRODUCT would be declared in whole or in part infringing by a judicial decision on the grounds of the use of all or part of the PATENTS, SATT LUTECH and the ESTABLISHMENTS will not be liable for the restitution of the sums already acquired from BIOPHYTIS, nor for the reduction of the sums due until the day of the issuing of the final judicial decision, nor for the payment of any damages to BIOPHYTIS for the damage caused by said rejection, cancellation, dependence, infringement or other judicial decision.

 

SATT LUTECH declares that it is not aware, at the date of the signing of the LICENSE AGREEMENT, of any request or claim by a THIRD PARTY in this respect.

 

9.3                    BIOPHYTIS may not call any of the ESTABLISHMENTS and/or SATT LUTECH, nor the members of their personnel, in guarantee in case of damage or prejudice of any nature whatsoever caused by the use by BIOPHYTIS of the PATENTS and/or any PRODUCT to BIOPHYTIS itself, a member of its staff or a THIRD PARTY (natural person or legal entity), BIOPHYTIS being solely responsible vis-à-vis its staff, customers and/or any THIRD PARTY for the implementation of the PATENTS, the quality and performance of the PRODUCTS, and to ensure that the PRODUCTS are in compliance with the applicable laws and regulations. BIOPHYTIS will also refrain from taking any action against any of the ESTABLISHMENTS, SATT LUTECH and/or their staff members in the event that such actions, claims, requests, suits or complaints are brought

 

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against BIOPHYTIS by a THIRD PARTY.

BIOPHYTIS will ensure that it has the necessary insurance to adequately cover its liability for the implementation of the rights granted to it under the LICENSE AGREEMENT.

 

9.4                    BIOPHYTIS is solely responsible for ensuring that the products and services it develops and/or markets and their manufacturing, distribution and marketing are in compliance with the applicable laws and regulations. Without any exclusion, BIOPHYTIS is responsible for the obligations related to any applicable regulations for the development and marketing of products and services that it develops and/or markets.

 

9.5                    BIOPHYTIS acknowledges and warrants to the ESTABLISHMENTS and SATT LUTECH that on the EFFECTIVE DATE:

 

·                      BIOPHYTIS has been regularly organised and incorporated and validly exists under the laws applicable to it. The incorporation documents of BIOPHYTIS are in compliance with the laws and regulations that apply to it;

·                      the activities carried out by BIOPHYTIS are in accordance with its corporate purpose as mentioned in its articles of association and all the laws and regulations applicable to the activities of BIOPHYTIS in the jurisdiction in which it operates;

·                      neither BIOPHYTIS nor any of its officers have received any notification of any legal proceeding, arbitration or complaint or any administrative or governmental investigation against or involving BIOPHYTIS or any of its officers; no judicial proceedings, arbitration or complaint or an administrative or governmental investigation is in progress and, to the knowledge of its managers, there is no decision or regulation of a judicial, arbitral, administrative or other nature that could significantly affect the financial situation, the results of the activity of BIOPHYTIS or its managers.

 

9.6                              SATT LUTECH declares and warrants that it has all the rights necessary to fulfil its obligations under this LICENSE AGREEMENT.

 

9.7                         Notwithstanding the termination or expiry of this LICENSE AGREEMENT, the provisions of this Article 9 shall remain in effect.

 

Article 10 - INFRINGEMENT

 

10.1    The SIGNATORIES will keep each other totally and promptly informed of any infringement or unauthorised use by a THIRD PARTY relative to all or part of the PATENTS of which they may be aware and/or of any claims or actions for infringement that may be committed against them.

 

10.2           In the event of an infringement of one or more PATENTS by a THIRD PARTY, or of an unauthorised use, the SIGNATORIES shall consult each other in order to determine by mutual agreement the strategy to be implemented. The PARTIES may sue, at their own expense of the proceedings, the THIRD PARTY concerned, it being understood that the indemnities and damages that may be awarded by the court shall be fully and irrevocably acquired by them.

 

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In the event that a consensus cannot be obtained, each of the PARTIES may carry out the actions that it deems appropriate at its own expense, on the understanding that, in this case, the indemnities resulting from said actions granted by the deliberating jurisdiction will fully and irrevocably remain with the acting PARTY having borne said actions.

 

10.3           (a) If an infringement or unfair competition proceedings were to be brought against BIOPHYTIS or any licensee THIRD PARTY in the exploitation of the PRODUCTS and due to the use of the PATENTS, the ESTABLISHMENTS and SATT LUTECH will communicate to BIOPHYTIS the elements available to them for their defence or that of the LICENSEES subject nevertheless to the respect for the interest of all licensees of the PATENTS.

 

b) If at the end of such an action for infringement or unfair competition BIOPHYTIS and/or any LICENSEE were to be convicted, BIOPHYTIS will hold the ESTABLISHMENTS harmless, and BIOPHYTIS is forbidden to call them as collateral and will not be able to claim from the ESTABLISHMENTS any compensation, the refund of sums of any kind already paid to the ESTABLISHMENTS nor any reduction of sums still due at the moment of the issuing of the final court decision. In the event of cancellation of one of the PATENTS, the provisions of this article 10 will be applicable without the option of the derogation thereof.

 

10.4             The SIGNATORIES undertake to provide all documents in their possession, powers and signatures which they may require under the procedures referred to in this Article 10.

 

Article 11 - TERMINATION - EXPIRATION

 

11.1             This LICENSE AGREEMENT will be terminated as of right in the event of the cessation of activity, dissolution or liquidation of BIOPHYTIS.

 

In the event that BIOPHYTIS is the subject of a bankruptcy or liquidation procedure, this LICENSE AGREEMENT would be automatically terminated after formal notice sent to the administrator remaining unanswered for more than one (1) month, subject to the applicable provisions of the French Commercial Code.

 

11.2             Without prejudice to the provisions of articles 2.3.4.3 and 6.4 above, this LICENSE AGREEMENT may be terminated automatically by one of the PARTIES or SATT LUTECH acting on behalf of the ESTABLISHMENTS, in case of the non-performance by another PARTY of one or more of the obligations contained in its various clauses, and in particular in Article 4 (Exploitation) and Article 5 (Financial Conditions). Such termination shall not become effective until three (3) months after the complaining PARTY, or SATT LUTECH acting on behalf of the ESTABLISHMENTS, sends a registered letter with acknowledgement of receipt stating the reasons for the complaint, unless within this period the defaulting PARTY has not fulfilled its obligations or has proved that it was impacted by an event of force majeure.

 

Events of force majeure within the meaning of this Article 11.2 are the events occurring after the EFFECTIVE DATE, beyond the control of the defaulting PARTY, which are unpredictable and uncontrollable, making it impossible for the defaulting PARTY the execute the obligation in question, such as, in particular, the state of a war, riots or natural disasters. It will be the responsibility of the defaulting PARTY to notify the other PARTY and SATT LUTECH as soon as possible of the occurrence of an event of force majeure and of the cessation of the latter. The defaulting PARTY shall make every effort to limit the duration and effects of the event of force majeure and to promptly remedy the cause of the non-performance and resume its

 

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obligation as soon as possible. The occurrence of an event of force majeure, subject to compliance with the notification mentioned above within the time limit, will result in the suspension of the obligation in question, provided that the defaulting PARTY will be exempted from its obligation only within the limit of said impediment.

 

Notwithstanding the foregoing, in case of the persistence of the event of force majeure for more than six (6) months, this LICENSE AGREEMENT may be terminated automatically by the complaining PARTY by means of a notice.

 

The exercise of the right of termination defined in this article 11.2 does not exempt the defaulting PARTY from fulfilling the obligations undertaken up to the effective date of the termination, without prejudice to the payment of damages due by the defaulting PARTY in compensation for any prejudice suffered by the other PARTIES as a result of the early termination of this LICENSE AGREEMENT.

 

11.3            In the event of the termination of this LICENSE AGREEMENT by the ESTABLISHMENTS or by SATT LUTECH, for any cause other than a breach of BIOPHYTIS with the stipulations of article 2.3 above, the ESTABLISHMENTS undertake to take over on their account and to maintain any licence granted by BIOPHYTIS.

 

11.4           Termination by BIOPHYTIS

 

BIOPHYTIS may decide to terminate this LICENSE AGREEMENT in whole or in part in the following cases:

 

(i)                                    At any time before 1stJanuary 2020: in the event of a decision to terminate the agreement notified by BIOPHYTIS to SATT LUTECH under this paragraph, the termination of the LICENSE AGREEMENT will not give rise to a specific payment obligation by BIOPHYTIS in favour of SATT LUTECH and/or the ESTABLISHMENTS, other than the amounts remaining due on the date of termination under the LICENSE AGREEMENT.

 

(ii)                                 At any time from 1 January 2020 inclusive: in the event of a decision to terminate the agreement notified by BIOPHYTIS to SATT LUTECH pursuant to this paragraph, the termination of the LICENSE AGREEMENT shall be subject to payment by BIOPHYTIS to SATT LUTECH, in its capacity as a representative of the ESTABLISHMENTS, of a penalty equivalent to three (3) times the annual guaranteed minimum, payable by BIOPHYTIS for the current financial year pursuant to article 5.1 above, but BIOPHYTIS would be exempted in the future by the effect of the termination. However, in the particular case of a cancellation motivated by the rejection of all applications for the Marketing Authorisations requested by BIOPHYTIS in Europe and the United States, with the most recent rejection occurring within six (6) months before the termination notice, the penalty under this paragraph (ii) will not be due.

 

For the purposes of this LICENSE AGREEMENT, the term “partial cancellation” means the waiver by BIOPHYTIS of the exploitation of any NUTRACEUTICAL PRODUCT or any MEDICINAL PRODUCT; it being understood that in the event of partial termination, the provisions of the LICENSE AGREEMENT will remain fully applicable to the PARTIES with respect to the PRODUCT(S) that are not affected by the termination.

 

Any termination under this Article 11.4 shall be notified by BIOPHYTIS to the other SIGNATORIES, the termination being effective thirty (30) days after receipt of said notice or upon the payment of the penalty

 

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due if it occurs after the aforementioned period of thirty (30) days. BIOPHYTIS shall promptly transfer to SATT LUTECH or to the ESTABLISHMENTS, following the instructions of SATT LUTECH, the developments relating to the PATENT(S) concerned by the termination, within the limits of said termination. By the effect of the termination, the ESTABLISHMENTS and SATT LUTECH acting on behalf of the ESTABLISHMENTS will be free to conclude with any THIRD PARTY of their choice an exclusive licence on the PATENT(S) and within the SCOPE; BIOPHYTIS accepts without reserve the aforementioned concession and undertakes to give on request any signature necessary for the formalisation and the enforceability with regard to the THIRD PARTIES of this concession

 

Article 12-THE ASSIGNMENT OF THE LICENSE AGREEMENT

 

12.1.          This LICENSE AGREEMENT is concluded intuitu personae. Therefore, it is personal, non-assignable and non-transferable (except to an AFFILIATE), IS subject to the provisions of Article 12.2 below and any licence agreements that may be concluded by BIOPHYTIS in accordance with Article 2.3 above.

 

12.2           Nevertheless, in case of a takeover by another legal entity, merger, absorption, assignment, transfer of BIOPHYTIS or all or part of its activities to another legal entity modifying the intuitu personae characteristics taken in consideration for the conclusion of the LICENSE AGREEMENT (hereinafter referred to as “TRANSFORMATION”), BIOPHYTIS will notify SATT LUTECH of such TRANSFORMATION. The LICENSE AGREEMENT may be terminated by UPMC or SATT LUTECH, acting on behalf of the ESTABLISHMENTS, only if:

 

· said TRANSFORMATION undermines the missions of any of the ESTABLISHMENTS as set out in (i) Decree No. 82-993 of 24 November 1982 on the organisation and functioning of CNRS and/or Decree No. 2009-1348 of 29 October 2009 on the organisation and functioning of CNRS, (ii) Articles L.112-1 et seq. of the Research Code and R831-1 et seq. of the Rural and Maritime Fishing Code related to the missions of INRA and/or (iii) the missions of UPMC as established in the research code and the education code, particularly in its article L123-3.

 

And/or

 

· said TRANSFORMATION is contrary to public order and morality,

 

And/or

 

· the third party legal entity involved in the TRANSFORMATION is in litigation (in a contentious or pre-contentious form) with any of the ESTABLISHMENTS.

 

Where applicable, UPMC or SATT LUTECH, acting on behalf of the ESTABLISHMENTS, shall inform BIOPHYTIS of the decision to terminate the LICENSE AGREEMENT, in writing and within twenty (20) days of receipt by SATT LUTECH of the notification of a TRANSFORMATION by BIOPHYTIS, with an additional period of twenty (20) days if this notification occurs between 20 July and 31 August. Without a duly motivated refusal during the aforementioned period of twenty (20) days, the LICENSE AGREEMENT will continue automatically.

 

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12.3         In the absence of a notification of termination by UPMC or SATT LUTECH, acting on behalf of the ESTABLISHMENTS, as provided for above, it is already understood that the legal entity holding the rights of BIOPHYTIS following the TRANSFORMATION will, in any event, be subject to the same obligations as those incumbent upon BIOPHYTIS under the LICENSE AGREEMENT and it will automatically be subrogated in the rights and obligations of BIOPHYTIS, unless the new parties agree otherwise.

 

An amendment to the LICENSE AGREEMENT between the ESTABLISHMENTS and said legal entity shall be concluded, simultaneously with the TRANSFORMATION carried out with BIOPHYTIS, in which the option chosen by the new parties in accordance with the previous paragraph will be specified. Under the same conditions, an amendment must also be made to any other agreement concluded between BIOPHYTIS and at least one of the ESTABLISHMENTS relating to any of the PATENTS (for example, any co-ownership regulation as mentioned in Article 8.2 above).

 

Article 13 - MISCELLANEOUS

 

13.1             Any notification required in the context of the execution of this LICENSE AGREEMENT will be considered as regular provided that it is done by registered letter with acknowledgement of receipt to the addresses indicated below. Any change of address of BIOPHYTIS will have to be notified to SATT LUTECH, it being the latter’s responsibility to transmit it to the ESTABLISHMENTS. Any change of address of the ESTABLISHMENTS or SATT LUTECH must be notified to BIOPHYTIS.

 

For SATT LUTECH:

SATT LUTECH

To the attention of its Chairman

24 Boulevard de l’Hôpital, 75005 PARIS

Tel: 01 78 94 68 51

Email: licensing@sattlutech.com

Ref. SATT to specify: LIC3-2015-0011

 

For UPMC and the ESTABLISHMENTS:

UPMC/DGRTT

Bureau Entreprises et Transfert de technologies 4 place Jussieu

75252 PARIS Cedex 05

Tel: 01 44 27 30 65

 

For BIOPHYTIS:

BIOPHYTIS

14 Avenue de l’Opéra

75001 Paris

Mail:stanislas.veillet@biophytis.com

 

Any notice shall be deemed to have been made on the day it was actually received by the recipient, unless otherwise provided for in this LICENSE AGREEMENT.

 

Any other written communication required by this LICENSE AGREEMENT may be made by any written means, including email.

 

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13.2             Should any provision of the LICENSE AGREEMENT be found to be contrary to the law, and therefore void, the validity of the LICENSE AGREEMENT would not be affected and the SIGNATORIES will meet as soon as possible to replace the void provision by a lawful provision of an equivalent effect. Failing to reach an agreement on the wording of said provision, it is clear that the importance of the void clause is such that, in its absence, the PARTIES would have not concluded the agreement; thus, the LICENSE AGREEMENT will be terminated on the initiative of any of the PARTIES in the forms provided for in Article 11.2 above.

 

13.3             The waiver by either of the SIGNATORIES of any of the provisions of the LICENSE AGREEMENT does not imply or result in any way in a waiver of the performance of the other obligations. In no event may the fact that either of the SIGNATORIES refrains from claiming the fulfilment of an obligation to which said SIGNATORY is entitled be construed as a waiver on its part of the performance of such obligation, regardless of the duration of the abstention.

 

13.4             The LICENSE AGREEMENT shall in no way be interpreted as creating an association relationship or a de facto partnership between the SIGNATORIES, each of which shall be considered as an independent co-contractor.

 

13.5             The LICENSE AGREEMENT expresses the entirety of the obligations of the SIGNATORIES with regard to its object. It cancels and replaces in all their provisions the Exploitation Agreement mentioned in point 7) of the preamble of the LICENSE AGREEMENT, as well as the exploitation agreement bearing reference L08141 concluded on 10 July 2008 between UPMC, CNRS and BIOPHYTIS, relating to the patent family designated “PATENT 1” in Appendix 1 to this LICENSE AGREEMENT and referred to in point 3) of the preamble of the LICENSE AGREEMENT, and any other prior agreement concluded between the SIGNATORIES having all or part of the PATENTS or their exploitation as its object. No contrary provision on the general conditions, letters, acknowledgements of receipt or other documents sent or delivered by a PARTY may be opposed to the other if said contrary provision was not previously expressly accepted in writing by the latter after the signature of the LICENSE AGREEMENT. It is further understood by the SIGNATORIES that this LICENSE AGREEMENT will prevail over the provisions of the agreements signed pursuant to Article 8.2 above.

 

13.6             This LICENSE AGREEMENT may be amended or renewed only by an amendment signed by the representatives of the SIGNATORIES duly authorised for said purpose.

 

13.7             In case of difficulties of interpretation between any of the titles appearing at the head of the clauses and any of the clauses, the titles will be declared non-existent.

 

Article 14 - DISPUTES - APPLICABLE LAW

 

14.1    This LICENSE AGREEMENT is governed by French laws and regulations.

 

14.2             In case of a difficulty regarding the validity, interpretation or execution of the LICENSE AGREEMENT, the SIGNATORIES agree to seek an amicable settlement prior to bringing any legal disputes.

 

14.3             In case of a disagreement persisting for more than three (3) months as of its notification under the conditions of Article 13.1 above, the dispute may be brought before the competent French courts by each of the SIGNATORIES.

 

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14.4             This Article shall remain in force notwithstanding any expiration or termination of the LICENSE AGREEMENT.

 

Article 15 - REGISTRATION IN THE NATIONAL REGISTER OF PATENTS

 

15.1             This LICENSE AGREEMENT may be registered in the National Register of Patents, under the National Institute of Industrial Property, and in the national patent Registers maintained by the national Industrial Property Offices concerned by the PATENTS, under the responsibility and at the expense of BIOPHYTIS.

 

15.2             Any necessary fiscal registration of this LICENSE AGREEMENT will be done by BIOPHYTIS at its own expense.

 

Done in Paris on 1st January 2016 in four (4) original copies, one (1) for each PARTY and one (1) to be filed with the National Register of Patents,

 

 

	
The   Chairman of UPMC,
    	
 
    	
The   Chairman of LUTECH
    
	
Jean   CHAMBAZ
    	
 
    	
Chantal   VERNIS
    
	
/s/ Jean Chambaz
    	
 
    	
/s/ Chantal Vernis
    

 

 

	
The   General Director of BIOPHYTI
    	
 
    	
The Director General for Research and the   Transfer of Technology
    
	
Stanislas   VEILLET
    	
 
    	
Sophie CLUET
    
	
/s/ Stanislas Veillet
    	
 
    	
/s/ Sophie Cluet
    

 

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APPENDIX 1 - List of PATENTS

 

	
No.
    	
 
    	
Declaration of
   invention (ref.
   UPMC)
    	
 
    	
Declaration of
   invention (ref.
   SATT LUTECH)
    	
 
    	
No. of priority
   application filing
    	
 
    	
Date of priority
   application
   filing
    	
 
    	
Title of priority application
    	
 
    	
Co-owners
    
	
PATENT 1
    	
 
    	
X07059
    	
 
    	
SL00419
    	
 
    	
FR0759478
    	
 
    	
30.11.2007
    	
 
    	
The use of   phytoecdysones in the preparation of a composition to act on the metabolic   syndrome
    	
 
    	
BIOPHYTIS

    UPMC

    CNRS
    
	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    
	
PATENT 2
    	
 
    	
X10100
    	
 
    	
SL00420
    	
 
    	
FR1160280
    	
 
    	
10.11.2011
    	
 
    	
Phytoecdysones   to be used in weight stabilisation after dieting
    	
 
    	
BIOPHYTIS

    UPMC
    
	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    
	
PATENT 3
    	
 
    	
X13098
    	
 
    	
SL00422
    	
 
    	
FR1161519
    	
 
    	
13.12.2011
    	
 
    	
Phytoecdysones   to be used in improving the muscular quality of obese and/or sarcopenic   mammals
    	
 
    	
BIOPHYTIS

    UPMC

    INRA
    
	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    
	
PATENT 4
    	
 
    	
X14039
    	
 
    	
SL00421
    	
 
    	
FR1454538
    	
 
    	
20.05.2014
    	
 
    	
Products   derived from 20-hydroxyecdysone and their use in the preparation of medicines
    	
 
    	
BIOPHYTIS

    UPMC

    METABRAIN
    RESEARCHExhibit 10.8

 

PORTIONS OF THIS EXHIBIT IDENTIFIED BY [*****] HAVE BEEN EXCLUDED  FROM THIS EXHIBIT BECAUSE THE EXCLUDED  INFORMATION IS BOTH (I) NOT MATERIAL AND (II) WOULD BE COMPETITIVELY HARMFUL IF PUBLICLY DISCLOSED.

 

Translation for information purposes only

 

CO-OWNERSHIP AGREEMENT
 L08142

 

BETWEEN THE UNDERSIGNED

 

1°)                   BIOPHYTIS INSTITUTE, simplified joint-stock company with a capital of €63,000, SIRET no. 492002225000018, whose registered office is located at 14 avenue de l’Opéra 75001 Paris, represented by its Chairman, Mr Stanislas VEILLET, hereinafter referred to as the “COMPANY”,

 

ON THE ONE HAND,

 

And

 

2°)                   UNIVERSITE PIERRE ET MARIE CURIE (Paris 6),  scientific, cultural and professional public institution, SIRET No.: 19751722000012 — APE code: 803Z, located 4 place Jussieu - 75252 PARIS Cedex 05, represented by its Chairman, Mr Jean-Charles POMEROL, hereinafter referred to as “UPMC”,

 

And

 

3°)                   The CENTRE NATIONAL DE LA RECHERCHE SCIENTIFIQUE, scientific and technological public institution, whose registered office is at 3, rue Michel-Ange, 75794 PARIS Cedex 16, whose European VAT number is FR40180089013 , SIRET number 180089013 03720, APE code 7219Z, represented by its Managing Director, Mr Arnold MIGUS, hereinafter referred to as “CNRS”.

 

The CNRS and TUPMC acting in their own name and on behalf of the Laboratory entitled “Protein: structural and functional biochemistry” FRE 2852, hereinafter called the “LABORATORY”.

 

FURTHERMORE

 

The UPMC and the CNRS are hereinafter referred to jointly as the “ESTABLISHMENTS”.

 

The UPMC, the CNRS and the COMPANY are hereinafter jointly referred to as “PARTIES” and individually as “PARTY”.

 

	
CONFIDENTIAL
    	
 
    

 

1

 

IT IS RECALLED THAT:

 

In the context of research within the LABORATORY, René LAFONT, UPMC agent and Mr Stanislas VEILLET of the COMPANY have developed an invention relating to use of phytoecdysteroids in the preparation of a composition for action on metabolic syndrome.

 

This invention being protected by industrial property, a French patent application under NO. 0759478 was filed as a precaution on 30 November 2007 jointly in the names of both the COMPANY and the UPMC.

 

Under this agreement, the UPMC and the COMPANY wish to formalise the co-ownership between the PARTIES on the patent application mentioned above as well as its extensions and determining the rights and obligations of each PARTY, particularly in regards to the use of the invention referred to above.

 

The COMPANY made it known in a letter dated 26 June 2008 sent for the attention of the UPMC, on behalf of the ESTABLISHMENTS, that it wants to qualify for exclusive operation of the PATENTS as defined below, in the area of nutrition and herbal medication. The PARTIES have agreed to define the terms of this exclusive exploitation by separate agreements (hereinafter “LICENSE AGREEMENT”) signed concomitantly with this contract.

 

THEREFORE, THE PARTIES HAVE AGREED AS FOLLOWS:

 

Preliminary Article - DEFINITIONS

 

CONFIDENTIAL INFORMATION,  means any confidential information or any protected information not yet published, belonging to PARTIES or one of the PARTIES, relating to the invention protected by PATENTS, or relating to KNOW-HOW, whether its form is written, graphic, verbal, or in any other form.

 

COSTS OF INDUSTRIAL PROPERTY,  means the costs incurred for- the preparation process, of filing, obtaining, extension, issue and maintenance of the PATENTS, to defend the PATENTS before any Patent Office and in particular for appeal proceedings, interference, opposition, reviews or reissues. The COSTS OF INDUSTRIAL PROPERTY do not include any costs incurred due to infringement procedures.

 

DOMAIN, means the area of food and phytotherapeutics medicine

 

EFFECTIVE DATE, refers to the date of filing the French application patent under no. 0759478, i.e., 30 November 2007.

 

INVENTORS, refers to René LAFONT and Stanislas VEILLET.

 

KNOW-HOW, means all scientific and technical information, whether they are written, graphs or verbal, regardless of the medium used, developed by the INVENTORS until the EFFECTIVE DATE and necessary for the sole implementation of the PATENTS. A

 

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description of the KNOW-HOW is attached in Appendix 1 which forms an integral part of this agreement.

 

PATENTS  means:

 

·       The application for a French patent lodged on behalf of the COMPANY and the UPMC, on 30 November 2007 under the number NO. 0759478, entitled “Use of phytoecdysteroids in the preparation of a composition for action on metabolic syndrome”, and quoting as inventors René LAFONT and Stanislas VEILLET,

·        any patent application made abroad or in France on the basis of this request, any continuation, partial continuation, addition, division, patents that are created as a result or any equivalent titles, as well as any patent re-filed, reissued, or reviewed, as well as any Additional Protection Certificates.

 

SHARE,  refers to the sharing of ownership of the PATENTS of each PARTY, as defined in article 1.1 below.

 

Words in singular can be understood in plural and vice versa.

 

Article 1 - PURPOSE AND SCOPE OF THE AGREEMENT

 

1.1                The UPMC and the COMPANY confer free of charge to the CNRS, which accepts, twenty-five per cent (25%) of ownership rights to the PATENTS and on the attached priority right.

 

Consequently, the PARTIES agree that they co-own the PATENTS and the attached priority rights as follows:

 

·                  fifty percent (50%) for the COMPANY,

·                  twenty-five per cent (25%) for the CNRS,

·                  twenty-five per cent (25%) for the UPMC,

 

and they jointly hold the KNOW-HOW.

 

1.2                Therefore, the PARTIES wish to officialise the applicable rules to the co-ownership of PATENTS and on the KNOW-HOW held in common as well as the rights and obligations resulting therefrom.

 

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Article 2-TERM

 

As from when it was last signed by the PARTIES, this contract will take effect retroactively from the EFFECTIVE DATE, and will remain in force, unless terminated earlier, until expiry or discontinuation of the PATENTS.

 

Article 3 - FILING, EXTENSION, DELIVERY AND CONTINUANCE ENFORCEMENT OF THE PATENTS

 

3.1                  The PARTIES mutually agree that the COMPANY will be responsible for managing the PATENTS which it co-owns with the ESTABLISHMENTS, both in France and abroad and that it will bear the COSTS OF INDUSTRIAL PROPERTY.

 

In the event of a failure to pay by the COMPANY of sums due in respect of the COSTS OF INDUSTRIAL PROPERTY, the ESTABLISHMENTS may decide to advance the COSTS OF INDUSTRIAL PROPERTY that are owed by COMPANY. This advance shall constitute a binding debt for the COMPANY in favour of the ESTABLISHMENTS that will then be entitled to make a formal demand for the COMPANY to pay the sums owed and, if necessary, use any procedures they deem useful for the recovery of the receivables.

 

3.2                  The COMPANY undertakes to consult in writing with the UPMC on behalf of the ESTABLISHMENTS, before commencing any legal action in relation to the procedures or to the choice of countries for any of the PATENTS. The UPMC, on behalf of the ESTABLISHMENTS, must be given a copy of any document relating to such procedures sufficiently in advance to allow it, where applicable, to submit its comments before maturity. It is more notably understood between the PARTIES that the text of any PATENT shall be communicated by the COMPANY to the UPMC for approval before its filing with a Patent Office.

 

Failure to reply within the thirty (30) days following receipt of the above-mentioned documents by the UPMC will be presumed as acceptance by the ESTABLISHMENT of the COMPANY’S proposition.

 

The PARTIES agree, subject to the reservations and conditions provided herein, to ensure that the members of their personnel cited as INVENTORS provide the necessary signatures and take steps for which they are responsible as necessary for the lodging as an inventor and, by extension, to the issuing and maintenance of the PATENTS and, more generally, to any procedure of Industrial Property relating to the PATENTS. Furthermore, subject to the reservations and conditions provided herein, the PARTIES agree to provide any signature and all necessary documents to the procedures for the PATENTS referred to above and, more generally, for any procedure of Industrial Property relating to the PATENTS.

 

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3.3                  If one of the PARTIES does not wish to maintain a deed in force, or to pursue a procedure to extend abroad (including international PCT application), of transition in phases that are national/regional, in review, in obtention, or to be delivered or defended by a PATENT’ in one or more countries, they will notify in writing the other PARTIES at least three (3) months before the expiry date of the Industrial Property so that they can, if they wish, continue in their own name, at their own discretion and at their own expense the procedures referred to above in those countries, either in France or abroad. In the event that said PARTIES would like to continue at their own discretion this or these procedure(s), they will acquire, within their rights and free of charge, the full and sole ownership of said PATENT. In this case, this PARTY will no longer benefit from any right of industrial or commercial exploitation on the PATENT and on the KNOW-HOW in the country concerned and will lose all its rights to royalties and other sums from the exploitation of the PATENTS and/or the KNOW-HOW in the countries concerned.

 

The waiving PARTY undertakes to provide without delay or charge all of the signatures and documents required for the assignment under its SHARE of ownership over the PATENTS and to ensure that its INVENTOR gives all signatures and fulfils any formalities necessary for the intellectual property procedures pursued by the other PARTIES.

 

Furthermore if one of the PARTIES decides to abandon its rights to the PATENTS in one or more countries given, the COSTS OF INDUSTRIAL PROPERTY paid for those countries by the waiving PARTY prior to its decision to abandon may not under any circumstances be reimbursed. The decision to abandon does not absolve the waiving PARTY from settling their share of the COSTS OF INDUSTRIAL PROPERTY incurred for these countries given until notification of the abandonment. In any country where other PARTIES choose to continue alone the procedures for application, Extensions, certification and maintenance of the PATENTS, the corresponding COSTS OF INDUSTRIAL PROPERTY will be the sole responsibility of said PARTIES.

 

3.4                  The COMPANY and the ESTABLISHMENTS will personally see to compensation and possible indemnities for their respective INVENTOR.

 

Article 4 - EXPLOITATION AND USE OF THE PATENTS

 

4.1                  Use for purposes of research:

 

The ESTABLISHMENTS are free to use the invention which is the subject of the PATENTS and the KNOW-HOW for research/ exclusively, alone or in conjunction with third parties/subject to the requirement to maintain the confidentiality of CONFIDENTIAL INFORMATION, The ESTABLISHMENTS will maintain this rights of free usage of the PATENTS and the KNOW-HOW, for research purposes, even in cases of disposal or abandonment of their SHARE of ownership over all or part of the PATENTS.

 

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4.2                 Operation in the DOMAIN.

 

The COMPANY advised by letter dated 26 June 2008 sent to the attention of the UPMC, on behalf of the ESTABLISHMENTS, wants to benefit from the exclusive rights of operation of the PATENTS and the KNOW-HOW in the DOMAIN, that the ESTABLISHMENTS accept provided that the PARTIES agree on the conditions of granting such exclusivity in the context of the LICENSE AGREEMENT.

 

If no longer able to benefit from exclusive operation granted to the COMPANY in accordance with the first paragraph of this article and in the LICENSE AGREEMENT, it is hereinafter agreed that the PARTIES will then immediately cooperate in order to define in good faith the operating procedures for the PATENTS and the KNOW-HOW in the DOMAIN, in the best interest of the PARTIES.

 

The COMPANY recognises that the ESTABLISHMENTS may propose to them a third party interested by the use of all or part of the PATENTS and/or the KNOW-HOW in the DOMAIN. The COMPANY will have one (1) month from the notification sent by the ESTABLISHMENTS to refuse to provide the operating license to another third party if the COMPANY can demonstrate in writing that such exploitation is likely to violate its industrial and commercial strategy. After this deadline and without written response from the COMPANY, the agreement of the COMPANY for such exploitation by the third party will be considered as granted. In the event that the COMPANY should be opposed to an operation proposed by the ESTABLISHMENTS, the PARTIES will negotiate a fair compensation for the ESTABLISHMENTS.

 

The COMPANY also acknowledges, that if no due diligence is made to seriously exploit the PATENTS and the KNOW-HOW upon which it has a right to use, it may not oppose the granting of an operating license of the PATENTS and the KNOW-HOW to a third party proposed by the ESTABLISHMENTS.

 

Furthermore, it is already understood between the PARTIES that any operation directly or indirectly of all or part of the PATENTS and/or the KNOW-HOW shall give rise to remuneration for the PARTIES and a specific contract defining the operating conditions will be drawn up before being used.

 

4.3                 Operating outside the DOMAIN :

 

Outside of the DOMAIN, the PARTIES will cooperate at the written request of one of them to be defined by separate agreement, in good faith and in the best interest of the PARTIES the conditions of industrial and commercial operations of the PATENTS and the KNOW-HOW.

 

The COMPANY may not oppose an operation proposed by the ESTABLISHMENTS without good reason that should be brought to their attention, without delay and by registered letter with acknowledgement of receipt. In this case, the PARTIES will negotiate a fair compensation for the ESTABLISHMENTS.

 

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4.4                  Securities

 

4.4.1        Nothing in this agreement shall be interpreted as constituting any expressed or implied guarantee by one of the PARTIES, other than the physical existence of the PATENTS and the KNOW-HOW.

 

Consequently, potential fluctuations, risks and perils for the fulfilment of the present contract and the licenses and any legal defects contained by one or more of the PATENTS are the sole responsibility of the operating PARTY, its subsidiaries and its licensees. The operating PARTY will notably make it their responsibility to identify and examine, if it deems this necessary, the rights of third parties whose PATENTS and/or KNOW-HOW may depend and assess the scope of those rights of third parties.

 

4.4.2        The operating PARTY may not make a warranty call on the other PARTIES in the case of loss or damage of any nature that may be caused by the use of PATENTS, the KNOW-HOW and/or products implementing the PATENTS and/or KNOW-HOW, the operating PARTY is liable towards its clients and/or any third party, the implementation of the PATENTS, the KNOW-HOW and the quality and performance of the products it is operating.

 

The operating PARTY guarantees the other PARTIES and their employees, against any appeal that might be brought against them as a result of damages to persons or property, suffered in connection with the use of the PATENTS and/or the KNOW-HOW and marketing products used by the operating PARTY. The operating PARTY /waives the right to take any action against other PARTIES in the case where these claims, requests, proceedings, shares are made against the operating PARTY and are licensed by a third party.

 

The operating PARTY agrees to ensure this commitment by its subsidiaries and licensees.

 

4.4.3        The operating PARTY will ensure that it, it’s subsidiaries and licensees have the necessary insurance to sufficiently cover their accountability in respect of this agreement.

 

4.4.4        In the event of rejection, cancellation of one or more PATENTS, the dependency of such PATENTS, and/or KNOW-HOW on a previously dominating patent, in the event the products as a result of the use of PATENTS and/or the KNOW-HOW were declared by a final court decision as counterfeit, other PARTIES will not be held accountable for either the restitution of the monies already gained from the operating PARTY, or for the reduction in monies until the date of final court decision, or to pay any compensation due by the operating PARTY, its subsidiaries and/or its licensees as compensation for the damage caused by the rejection, the aforementioned cancellation, dependency or counterfeiting.

 

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4.4.5        The provisions of this article 4.4 shall remain in force notwithstanding the maturation or termination of the contract.

 

Article 5 -TRANSFER OF SHARE OF PATENTS

 

5.1                  Each PARTY may transfer at any time its SHARE for all or part of the PATENTS and its rights in regards to the KNOW-HOW. The transferring PARTY must first notify the other PARTIES of its intention to sell such rights, and send the name, the potential transferee’s address and the financial sales conditions. This information is made on a confidential basis, Article 6 detailed below being applicable. Other PARTIES have a pre-emptive right over a period of [****] from receipt of such notice. They will notify, within this period, their decision to the transferring PARTY by registered letter with acknowledgement of receipt.

 

Other PARTIES may also, refuse the transferee if they can reasonably demonstrate in writing, within [****] from the date of notification, that assignment with such transferee creates a serious quarrel with their articles of association, activities and/or assignments.

 

Without exercise of the pre-emption right or right to refuse by the other co-owning PARTIES expiry of this period of [****] the transferring PARTY will benefit from an authorization to transfer to a potential third party, under the conditions stipulated in the first notification sent by the transferring PARTY to the other PARTIES.

 

However, the COMPANY acknowledges that it will  not benefit from any pre-emption right over the ownership of the SHARE of UPMC or of CNRS if the potential transferee is the CNRS, the UPMC or René Lafont.

 

The terms for the transfer of PATENTS and KNOW-HOW to a third party must not under any circumstances be more favourable than those offered to other PARTIES.

 

5.2                  In the event of an assignment of a SHARE of all or part of the PATENTS or rights to the KNOW-HOW to a third party, the deed of transfer shall stipulate that the transferee undertakes to assume all the obligations incumbent upon the transferor under this agreement,

 

5.3                  The transferring PARTY undertakes to provide the other PARTIES all signatures and all the necessary documents for the Intellectual Property proceedings relating to the PATENTS.

 

In addition to this, the transferring PARTY undertakes to ensure that its personnel members cited as inventors provide the necessary signatures and take steps necessary for the filing and the maintenance of the PATENTS and, more generally, to any Intellectual Property proceedings relating to said PATENTS.

 

This article 5.3 shall remain in force notwithstanding the expiry or termination of the this agreement

 

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Article 6 - CONFIDENTIALITY

 

6.1                  Each PARTY agrees to respect and to keep confidential all CONFIDENTIAL INFORMATION received from other PARTIES.

 

6.2                  The PARTIES undertake to have their staff and any person attached to their service in any capacity whatsoever observe the same commitment, and to make sure that they respect this confidentiality commitment as regards the CONFIDENTIAL INFORMATION.

 

6.3                  Each PARTY undertakes not to submit an application to claim any other kind of intellectual property including CONFIDENTIAL INFORMATION received from other PARTIES, unless specifically agreed in writing with the PARTIES concerned.

 

6.4                  The confidentiality commitments between the PARTIES through this agreement do not apply to the use or the disclosure of CONFIDENTIAL INFORMATION for which the receiving PARTY can demonstrate:

 

a)            that they have been disclosed after prior obtention of written authorisation from the owning PARTY, or that disclosure was conducted by the owning PARTY,

 

b)            that it was in the public domain at the time of its disclosure or was published or made available to the public, in any manner whatsoever, without action or fault on the part of the recipient PARTY,

 

c)             that have been received by the receiving PARTY from a third party without any breach of this agreement,

 

d)            that at the date of its communication by the owner PARTY that provided it, the recipient PARTY was already in possession of this information,

 

e)             that its disclosure was imposed by the application of a mandatory legal or regulatory provision or by the application of a final court decision or an arbitral award.

 

The aforementioned exceptions are not cumulative.

 

6.5                  Notwithstanding the stipulations of the above Article 6.1, the PARTIES agree that any disclosure to third parties of any CONFIDENTIAL INFORMATION that is key to the development of the PATENTS or the KNOW-HOW cannot be refused. However, such disclosure must be preceded by the signing of a confidentiality agreement whose terms and conditions will at least be similar to those in this article.

 

6.6                  This article shall remain in force notwithstanding the expiry or termination of this agreement.

 

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Article 7 - INFRINGEMENT — VALIDITY OF PATENTS

 

7.1                  In the event of a declaration of invalidity, or infringement of the PATENTS by a third party, the PARTIES will mutually provide all the elements in their possession needed to assess the nature and extent of these and shall consult to determine a mutual agreement of the strategy to be maintained.

 

In a case where consensus could not be achieved, each PARTY may exercise alone and at its own expense the actions that it deems appropriate, it being understood that, in this case, compensation resulting from said shares allocated by the deliberating court are fully and irrevocably the property of the acting PARTY.

 

The PARTIES agree to provide all documents, powers or information that is necessary for the acting PARTIES aforementioned prosecution for the above actions.

 

7.2                  Pursuant to the provisions of Article 4.4 above, each PARTY acknowledges that it is their sole responsibility to identify and examine, if it deems this necessary, the rights of third parties when exploitation by said PARTY of the PATENTS and/or the KNOW-HOW could be dependent on said third party rights.

 

Consequently, the PARTIES agree that in the event of indictments being made by a third party, the acting PARTIES currently in question will take sole ownership of the costs of their own defence. The PARTIES in question will be personally liable  for the potential sanctions pronounced against it by the courts, notwithstanding any solidarity that could be expressed towards them.

 

In particular, the COMPANY acknowledges that, for any operation where they will directly or indirectly apply the PATENTS and/or the KNOW-HOW, where legal proceedings for infringement are exercised against the COMPANY, the COMPANY will exonerate the ESTABLISHMENTS. In accordance with Article 4.4, the COMPANY undertakes not to call the ESTABLISHMENTS and/or its INVENTORS into guarantee for any reason whatsoever.

 

Where legal proceedings for infringement are exercised against the COMPANY or against its licensees and/or subsidiaries, it will immediately notify the ESTABLISHMENTS. No compensation, no reimbursement of monies paid, or reductions of the outstanding receivables at the time of the court’s decision may be claimed off the ESTABLISHMENTS

 

The COMPANY undertakes to have its subsidiaries and licensees undertake the same commitments.

 

7.3                  Each PARTY renounces the right to pursue the other PARTIES in regard to the consequences on the validity of PATENTS due to a share as a claimant or defendant conducted by the latter.

 

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7.4                  Articles 7.2, and 7.3 of this agreement shall remain in full force and effect notwithstanding expiry or termination of this agreement.

 

Article 8 — TERMINATION

 

The contract will automatically be terminated in the event that one of the PARTIES becomes sole owner of all the PATENTS.

 

The provisions provided for in articles 3.4, 4.1, 4.4, 5.3, 6, 7.2, 7.3, 10, 11, 12, 13, 14, 15 and 17 shall remain in force notwithstanding the expiry or termination of this agreement.

 

In the event of termination, the PARTIES which are no longer owners undertake, in accordance with Article 3.3, not to operate and to not allow direct or indirect exploitation of the PATENTS and/or the KNOW-HOW until they expire.

 

Article 9- TRANSFER OF THE AGREEMENT

 

This agreement is personal, non-transferable, subject to the provisions of article 5 above.

 

Article 10 - NAMES OF THE PARTIES

 

10.1           The COMPANY undertakes not to use either in writing or verbally the name, the trade name, the brand or other designation or distinctive sign belonging to the UPMC or to the CNRS, or any of their agents, including in a shortened or imitated format, within the scope of operating and/or any promotional activity and this, regardless of the mediums used (advertising, posters, video..), without having obtained prior, written approval from the relevant PARTY.

 

Pursuant to the above, any operation of the PATENTS and/or the KNOW- HOW by the COMPANY will be conducted under its own brand or under the trademarks for which it will need to be regularly licensed.

 

However, solely for information purposes information on the origin of the PATENTS and KNOW-HOW, the reference “Technologie Biophytis”! UPMC/CNRS” may appear on any advertising, technical or explanatory notice relating to products operated by the COMPANY and its licensees. The COMPANY will ensure that this statement, by its form and the context in which it is placed, cannot be interpreted as a warranty given by the ESTABLISHMENTS for the products operated.

 

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The COMPANY may, whenever required by the law of a country, affix or have affixed on the products the reference “Technologie Biophytis/UPMC/CNRS” branding, or any other equivalent notice approved in advance and in writing by the ESTABLISHMENTS.

 

10.2           Any declaration or public communication relating to the execution of this agreement and the statement, in this context exclusively, in the name of the PARTIES or one of their agents or employees may be made freely. On the other hand, any declaration or public communication relating to its contents will be made only upon the written agreement of all the PARTIES.

 

10.3           The provisions specified in sub-clause 10.1. do not forbid one of the PARTIES from referring to other PARTIES in any documentation established for the needs of any administrative, regulatory or judicial procedure, or for information by the ESTABLISHMENTS of third parties involved in the PATENTS, for example organizations such as the OSEO who assist with technology transfer.

 

10.4           The COMPANY may affix or have affixed on the products it sells the number of PATENTS whenever required by the laws of a country.

 

10.5           The COMPANY will ensure that its subsidiaries and its licensees are bound by the same obligations in regard to the ESTABLISHMENTS as those set forth in article 10. The provisions of article 10 shall remain in force notwithstanding the expiry or termination of this agreement.

 

Article 11 - WAIVER

 

The fact that one of the PARTIES does not invoke a breach by another PARTY of any obligations set forth in this agreement shall be construed in the future as constituting a waiver by the initial PARTY in question.

 

Article 12- APPLICABLE LAW - DISPUTES

 

12.1           This agreement is governed by French laws and regulations.

 

12.2           In cases of difficulty on the existence, interpretation or execution of this agreement, the PARTIES endeavour to resolve their differences amicably.

 

12.3           The occurrence of a dispute will be materialised by sending a registered letter with acknowledgement of receipt, by one of the PARTIES to the other PARTIES, outlining the reasons for the dispute. In the event of a persistent disagreement, the dispute shall be brought by the most diligent PARTY before competent French courts.

 

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12.4           This article will remain in force notwithstanding the expiry or termination of this agreement.

 

Article 13 - ENTIRE AGREEMENT

 

This agreement sets out all the obligations of the PARTIES relating to the co-ownership of the PATENTS and the KNOW-HOW and can only be modified by a written agreement between the PARTIES signed by the representatives of the PARTIES duly authorised for this purpose. None of the general or specific conditions contained in the documents sent or delivered by the PARTIES may be integrated into this agreement.

 

Article 14 INVALIDITY OF A CLAUSE

 

If one or more stipulations of this contract are considered invalid or declared as such under any law, regulation - and in particular, European Union law - or following the final ruling of competent jurisdiction, the other stipulations shall retain their full pertinence and scope, and the PARTIES will proceed without delay with the required modifications in accordance with, to the fullest extent possible, the agreement existing at the time of signature of this contract.

 

Article 15 -TITLES

 

In the event of difficulties of interpretation between any titles at the heading of clauses and any of the clauses, the titles will be declared non-existent.

 

Article 16 - REGISTRATION ON THE NATIONAL PATENTS REGISTER

 

The COMPANY will register, at its expense, this agreement in the National Patents Register, held by the National Institute of Industrial Property, and the national patent registers required by the national offices of Industrial Property concerned by the PATENTS.

 

Article 17 — ENHANCEMENTS

 

Unless is agreed otherwise in writing by the PARTIES, the existence of this agreement shall in no case be construed as conferring, implicitly or expressly, any rights, particularly for ownership and/or use of the improvements made by each of the PARTIES to the PATENTS and/or the KNOW-HOW, each PARTY will retain ownership of its own enhancements..

 

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Article 18-NOTICES

 

18.1           Any notice required under this agreement shall be carried out by registered letter with acknowledgement of receipt, to the PARTY concerned at the following address:

 

For the COMPANY:

Biophytis

14 avenue de l’Opéra

75001 Paris

 

For the ESTABLISHMENTS:

Université Pierre et Marie Curie

DRITT-SAIC

Réf:X07026

4 Place Jussieu

75252 Paris codex 05

 

Any notice shall be deemed to have been given  on the day it was actually received by the addressee, unless the date of receipt is a holiday or a period of closure of the relevant department in which case, it shall be deemed to have been received on the following working day.

 

18.2           Any change of address must be provided in writing to the other PARTIES, by registered letter with acknowledgement of receipt or any other equivalent notification procedure.

 

18.3           Each Party undertakes to sign, ratify and authenticate all documents required for the complete performance of this agreement.

 

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Drawn up in three (4) original copies in French, one (1) for each of the PARTIES and one (1) of which is for registration to the F INPI. .

 

	
Signed at Paris, on 9 JULY 2008
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
/s/ Stanislas Veillet
    	
 
    	
 
    
	
Mr   Stanislas VEILLET
    	
 
    	
 
    
	
Chairman of   the Biophytis institution
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
Signed in   Paris, on the 08 JULY. 2008
    	
 
    	
Signed in   Paris, 10 JULY. 2008
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
March J.LEDOUX
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
/s/ Arnold Migus
    	
 
    	
/s/ Jean-Charles Pomerol
    
	
Mr Arnold   MIGUS
    	
 
    	
Mr   Jean-Charles POMEROL
    
	
Chief   Executive Officer of the CNRS
    	
 
    	
Chairman of   the UPMC
    

 

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Annex 1:

 

Description of the KNOW-HOW

 

1)            All data, that is not published, obtained by the INVENTORS, from animal models with metabolic syndromes, on the effect of the 20 hydroxyecdysone regarding the revolution of body fat.

 

2)            Development and clarification of the extraction and enhancement procedures for the extraction of quinoa in phytoecdysteroids.

 

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