Document:

exv10w3

 

Execution Copy
EXHIBIT 10.3

CONFIDENTIAL TREATMENT HAS BEEN REQUESTED FOR PORTIONS OF THIS EXHIBIT. THE COPY FILED HEREWITH
OMITS THE INFORMATION SUBJECT TO THE CONFIDENTIALITY REQUEST. OMISSIONS ARE DESIGNATED AS *. A
COMPLETE, UNREDACTED VERSION OF THIS EXHIBIT HAS BEEN FILED SEPARATELY WITH THE SECURITIES AND
EXCHANGE COMMISSION.

CONTRIBUTION AND LICENSE AGREEMENT

     THIS CONTRIBUTION AND LICENSE AGREEMENT, including the Exhibits referred to herein and
attached hereto (the “Agreement”), is made and entered into as of April 5, 2005 by and among Exeter
Life Sciences, Inc., an Arizona corporation with offices at 4455 E. Camelback Road, Phoenix, AZ
85018 (“ELS”), Geron Corporation, a Delaware corporation with offices at 230 Constitution Drive,
Menlo Park, CA 94025 USA (“Geron”), and stART Licensing, Inc. (“NewCo”), a Delaware corporation
having offices at 4455 East Camelback Road, Suite B100, Phoenix, AZ 85018. ELS, Geron and NewCo
will hereinafter be referred to individually as a “Party” and collectively as the “Parties.” ELS
and Geron will hereinafter be referred to individually as a “Licensor” and collectively as the
“Licensors.”

RECITALS

     WHEREAS, the Licensors have established NewCo for the purpose of managing their respective
intellectual property and related rights in the Field (as defined below) pursuant to a Formation
and Shareholders Agreement of even date hereto (“Formation and Shareholders Agreement”);

     WHEREAS, the Licensors wish to license or assign to NewCo certain rights under or relating to
certain patents and other intellectual property rights, contract rights and certain other rights
(such licenses and assignments being referred to as the “Contribution”) pursuant to the terms and
conditions hereof, in partial consideration for shares of NewCo to be issued at the Effective Date
pursuant to the Formation and Shareholders Agreement;

     NOW, THEREFORE, in consideration of the mutual covenants and obligations set forth herein, and
for other good and valuable consideration, the receipt and sufficiency of which is hereby
acknowledged, the Parties hereby agree as follows:

AGREEMENT

1. DEFINITIONS.

     All capitalized terms shall have the meaning ascribed to them in this Section 1 or elsewhere
in this Agreement. Capitalized terms not defined herein shall have the meaning ascribed to them in
the Formation and Shareholders Agreement.

 

     1.1 “Affiliate” means any Person: (a) that is controlled by, controls, or is under common
control with a Party (collectively, a “Controlled Person”); or (b) that is controlled by, controls,
or is under common control with any such Controlled Person, in each case for so long as such
control continues. For purposes of this definition, “control” shall mean the possession, directly
or indirectly, of power to direct or cause the direction of management or policies (whether through
ownership of securities or other ownership interests, by contract or otherwise), provided however,
that two companies shall not be deemed to be under common control by virtue of the possession by
one Person of such power with respect to both companies if (i) such Person exercises such power
solely through delegates, e.g., members of the board of directors of each such company, and (ii)
the delegates for the two companies are different, and (iii) neither the delegates nor the Person
attempts to coordinate the exercise of such power by the two delegates. For the purpose of this
Agreement, no Party shall be considered an “Affiliate” of any other Party.

     1.2 “Change of Control” means a Party’s (i) sale, lease, or other disposition of all or
substantially all of its assets, rights or businesses or license or sale of substantially all of
its intellectual property, or the acquisition of a Party by, or merger, consolidation,
reorganization, business combination of a Party into or with another entity in which the
stockholders of a Party immediately prior to such acquisition, merger, consolidation,
reorganization or business combination do not own a majority of the outstanding voting shares of
the surviving, purchasing, or newly resulting business entity (a “Merger Transaction”); or (ii) any
transaction or series of related transactions to which a Party is a party in which in excess of
fifty percent (50%) of a Party’s voting power is transferred, provided, however, any consolidation,
business combination, or merger effected exclusively to change the domicile of a Party and the
issuance of shares by the Party in a transaction whose primary purpose is to raise capital for a
Party and does not involve any Merger Transaction, shall not be deemed a Change of Control.

     1.3 “Closing” has the meaning ascribed to such term in the Formation and Shareholders
Agreement.

     1.4 “Confidential Information” has the meaning set forth in Section 14.1.

     1.5 “CT Agreement” means that certain Exclusive License Agreement by and between Advanced Cell
Technology, Inc., a Delaware corporation with offices at One Innovation Drive, Biotech Three,
Worcester, MA 01605 (“ACT”), and ELS dated as of October 22, 2003, as amended by the Letter
Agreement between ACT and ELS dated as of October 20, 2003, and as further amended by the ACT
letter signed by ACT and agreed and accepted by ELS and UMass dated as of October 21, 2003.

     1.6 “Discloser” means (i), with respect to Licensor Confidential Information, the
applicable Licensor, and (ii), with respect to NewCo Confidential Information, NewCo.

     1.7 “Effective Date” means the Closing (as such term is defined in the Formation and
Shareholders Agreement).

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     1.8 “Field” shall mean

               (i) cloned or chimeric mosaic non-human animals, tissues, and cells, and the creation and
production thereof, both transgenic and non-transgenic;

               (ii) all products or by-products comprised of, made in, produced by, derived from, extracted
from or isolated from such non-human animals, tissues and cells; and

               (iii) all associated uses of, and services relating to, such non-human animals, tissues,
cells, products and by-products.

               The Field includes by way of example, but not limitation, the cloning (including, without
limitation, by means of nuclear transfer and chromatin transfer), research, development, making,
using, selling, offering for sale, importing, exporting, or otherwise exploiting non-human animals,
cells and tissues for any personal, business or commercial purposes, such as cloning endangered,
extinct, transgenic or elite animals for use in agriculture, in biomanufacturing of products,
including pharmaceuticals and other materials, and in xenotransplantation, and providing animal
models for scientific research and development, and including technologies, methods, products and
services that directly or indirectly support the cloning of animals. For the purpose of this
definition, the term “chimeric mosaic” is intended to include animals generated by nuclear or
chromatin transfer of nuclear material into one or more cells of multi-cell embryos and insertion
of nuclear transfer or chromatin transfer generated cells into multi-cell embryos.

               Notwithstanding the foregoing, (i) during the period beginning as of the Effective Date and
ending upon expiration or termination of the Noncompete Termination Date (as defined in the
Disclosure Schedule), the Field shall exclude cloned or chimeric mosaic non-human animals, tissues
and cells, and the creation and production thereof, both transgenic and non-transgenic, and all
products and by products comprised of, made in, produced by, derived from, extracted from or
isolated from such animals, tissues and cells, in each case for (x) xenotransplantation or (y)
production of polyclonal antibodies in non-human animals and stem cells (the “Xenotrans-Antibody
Subfield”), and (ii) with respect to Patents and Technology Rights governed by the CT Agreement,
the Field shall exclude cloned or chimeric mosaic Endangered Species animals, tissues and cells,
and the creation and production thereof, both transgenic and non-transgenic, for any and all
purposes, and products and by products comprised of, made in, produced by, derived from, extracted
from or isolated from such Endangered Species animals, tissues and cells. For the purposes of this
definition, “Endangered Species” means any species that is or has ever been (i) extinct or (ii)
classified as threatened, vulnerable or in danger of extinction throughout all or a significant
portion of its range by any governmental or international authority, treaty, law or regulation or
(iii) classified under the guidelines of the Convention of International Trade of Endangered
Species of Wild Fauna and Flora.

     1.9 “Future Technology” means, with respect to a Licensor, any and all Technology that is (i)
owned, in-licensed or used by such Licensor, (ii) disclosed or otherwise provided by such Licensor
to NewCo after the Effective Date (regardless of

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whether or not such Licensor is obligated to do so), and (iii) not subject to any separate
agreement regarding its use or disclosure between NewCo and any of the Licensors entered after the
Effective Date other than this Agreement.

     1.10 “Future Technology Rights” means, with respect to a Licensor, any and all Technology
Rights in, to and under such Licensor’s Future Technology (i) which are owned by such Licensor, or
(ii) with respect to which, and only to the extent that, such Licensor has the right to grant the
licenses granted to NewCo under this Agreement without payment of royalties or license fees to
third parties on account of such a license, or (iii) with respect to which, and only to the extent
that, such Licensor has the right to grant the licenses granted to NewCo under this Agreement with
payment of royalties or license fees to third parties on account of such a license and NewCo has
agreed to pay such royalties or license fees; in each of (i), (ii) and (iii), owned or licensed at
any time after the Effective Date.

     1.11 “Governmental Authority” means any domestic or foreign government, governmental
authority, court, tribunal, agency or other regulatory, administrative or judicial agency,
commission or organization, and any subdivision, branch or department of any of the foregoing.

     1.12 “Improvement Patents” means, with respect to a Licensor, any and all Patents (i) which
are owned by such Licensor, or (ii) with respect to which, and only to the extent that, such
Licensor has the right to grant the licenses granted to NewCo under this Agreement without payment
of royalties or license fees to third parties on account of such a license, or (iii) with respect
to which, and only to the extent that, such Licensor has the right to grant the licenses granted to
NewCo under this Agreement with payment of royalties or license fees to third parties on account of
such a license and NewCo has agreed to pay such royalties or license fees; in each case, whether
owned or licensed as of the Effective Date or at any time thereafter and claiming inventions which
are covered by one or more claims of the Original Licensed Patents.

     1.13 “Licensed Patents” means the Original Licensed Patents and the Third-Party Patents.

     1.14 “Licensor Patents” means the Patents listed on Exhibit A, and any Related Patents
thereof or thereto (collectively, the “Original Licensed Patents”) together with any Improvement
Patents.

     1.15 “Licensor Technology” means, with respect to a Licensor, any and all Technology, with the
exception of the Third-Party Technology, existing and owned, in-licensed or used by a Licensor as
of the Effective Date that is necessary or without which it is impracticable to practice, utilize
and commercialize inventions claimed in the Licensed Patents or that is necessary or without which
it is impracticable to conduct activities, or operate NewCo’s business, within the Field.

     1.16 “Licensor Technology Rights” means, with respect to a Licensor, any and all Technology
Rights in, to and under Licensor Technology (i) which are owned by

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such Licensor, or (ii) with respect to which, and only to the extent that, such Licensor has
the right to grant the licenses granted to NewCo under this Agreement without payment of royalties
or license fees to third parties on account of such a license, or (iii) with respect to which, and
only to the extent that, such Licensor has the right to grant the licenses granted to NewCo under
this Agreement with payment of royalties or license fees to third parties on account of such a
license and NewCo has agreed to pay such royalties or license fees; in each case, owned or licensed
as of the Effective Date..

     1.17 “Original Licensed Patents” has the meaning set forth in Section 1.14.

     1.18 “Patent(s)” means (i) all patents, invention disclosures, inventor’s certificates and
patent applications throughout the world, together with (ii) any renewal, division, continuation
(in whole or in part), or continued prosecution application of any of such patents, inventor’s
certificates and patent applications, and any and all patents or inventor’s certificates issuing
thereon, and any and all reissues, reexaminations, extensions, divisions, renewals, substitutions,
confirmations, registrations, revalidations, revisions, and additions of or to any of the
foregoing, and any foreign counterparts of any of the foregoing and any other patents claiming
priority back to any of the foregoing (all of (ii) collectively being “Related Patents”).

     1.19 “Person” means a natural individual, partnership, firm, corporation, business
association, institute, organization, or other entity.

     1.20 “Pre-existing License Agreements” means the agreements and contracts listed on
Exhibit D, and any agreements governing any intellectual property rights arising therefrom
(e.g., license agreements resulting from the exercise of options or grant-backs thereunder by the
applicable Licensor).

     1.21 “Recipient” means (i), with respect to a Licensor’s Confidential Information, NewCo and
the other Licensor, as applicable, and (ii), with respect to NewCo Confidential Information, the
applicable Licensor.

     1.22 “Retained Licensor Rights” means (a) the license rights retained by the United States
government and UMass as described in the UMass Agreement, pursuant to which UMass retains certain
rights under its Third-Party Patents for academic research, teaching, and non-commercial patient
care and the United States government retains rights under UMass’s Third-Party Patents as set forth
in 35 U.S.C. §§ 201-211, and the regulations promulgated thereunder, as amended, or any successor
statutes or regulations; (b) rights retained by Roslin as described in the Geron Roslin Agreements,
under which Roslin retains the right, without Geron’s consent, to engage in research relating to
somatic cell nuclear transfer in non-human animals, alone or in collaboration with others, and in
humans, alone or in collaboration with nonprofit academic parties, charitable, research and other
not for profit organizations but not in collaboration with any for-profit organizations, solely for
the purpose of such permitted activities; and (c) the license rights retained by Roslin as
described in the Exeter Roslin Agreement, under which Roslin retains certain rights under its
Third-Party Patents for any research work.

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     1.24 “Roslin Agreements” means (in each case as may be amended by the applicable License
Consent) (i) the Licence Agreement between Geron and the Roslin Institute (Edinburgh), a company
incorporated in Scotland under the Companies Acts with registered number 157100 and having its
registered office at Roslin Biotechnology Centre, Roslin, Edinburgh, Midlothian, EH25, Scotland
(“Roslin”) dated as of April 30, 1999, as amended by the Agreement dated September 30, 2003 (the
“Geron Roslin Licence Agreement”); (ii) the Research and Licence Agreement between Geron and Roslin
dated as of May 3, 1999, as amended by the First Amendment to Research and Licence Agreement dated
as of October 1, 2002 and further amended by the Agreement dated September 30, 2003 (the “Geron
Roslin Research Agreement” and collectively, the agreements in (i) and (ii), the “Geron Roslin
Agreements”); and (iii) the Licence Agreement between Roslin and PPL Therapeutics – (Scotland)
Limited, dated as of June 2, 1998, as amended and assigned by PPL Therapeutics to ELS by the
Assignation and Variation Agreement between and among Roslin, ELS and PPL Therapeutics, dated
December 2003 (the “Exeter Roslin Agreement”).

     1.25 “Technology” means materials, information, ideas, inventions and other subject matter,
including, without limitation, works of authorship, products, discoveries, developments, creations,
designs, plans, specifications, drawings, writings, schematics, documents, reports, notebooks,
technical information, processes, know-how, methods, procedures, concepts, techniques, technology,
biological and chemical materials, compounds and substances, formulas, compositions, protocols,
data and databases or computer programs.

     1.26 “Technology Rights” means, throughout the world, any and all (i) copyrights, author’s
rights, related rights (including without limitation so called “neighboring rights” and “sui
generis” rights), database rights and similar rights; (ii) rights in, to and under trade secrets
and know-how; and (iii) any other proprietary rights to technology but specifically excluding
Patents, trademarks, trade names, trade dress, service marks and any rights therein or thereto.

     1.27 “Third-Party License Agreements” means the following agreements, individually or
collectively, as applicable in the context: the Roslin Agreements, the CT Agreement, and the other
license agreements listed in Exhibit C (as may be amended in writing from time to time).

     1.28 “Third-Party Licensor” means Roslin, ACT, and their successors and assigns.

     1.29 “Third-Party Patents” means (a) those Patents licensed to a Licensor under a Third-Party
License Agreement and listed in Exhibit B(I), (b) any Related Patents thereof or thereto,
and (c) any Patents issued or applied for with respect to the invention disclosures set forth in
Exhibit B(II) hereto; in each of (a), (b), and (c), only to the extent that a Licensor has
the right under the Third-Party License Agreements or under such Related Patents or Patents, as
applicable, to grant the licenses granted to NewCo under this Agreement.

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     1.30 “Third-Party Technology” means that Technology licensed by a Third-Party Licensor to a
Licensor under a Third-Party License Agreement.

     1.31 “Transaction Documents” means this Agreement, the Formation and Shareholders Agreement,
the Management Services Agreement, License Consents and Preferred Stock Repurchase Agreement (as
such terms are defined in the Formation and Shareholders Agreement).

     1.32 “UMass Agreement” means that certain Exclusive License Agreement between ACT and UMass
dated as of April 1, 2003.

     1.33 Collective Terms. For purposes of this Agreement, except as otherwise expressly provided
herein or unless the context otherwise requires: (a) the use herein of the plural shall include
the single and vice versa and the use of the masculine shall include the feminine; (b) unless
otherwise set forth herein, the use of the term “including” or “includes” means “including
[includes] but [is] not limited to”; and (c) the words “herein,” “hereof,” “hereunder” and other
words of similar import refer to this Agreement as a whole and not to any particular provision.
Additional terms may be defined throughout this Agreement.

2 PATENT LICENSES.

     2.1 License to NewCo Under Third-Party Patents. Each Licensor hereby grants, and agrees to
grant, to NewCo a worldwide, exclusive, fully-paid up, royalty-free (except as expressly
set forth in Section 8.9), non-transferable (except as permitted in Section 15.9) license, with the
right to sublicense in accordance with Section 4, under all of its rights and interests in the
Third-Party Patents under the Third-Party License Agreement(s), to exercise all rights in, and to
use and practice any process, art or method claimed in or covered by, and to otherwise
commercialize and exploit (in connection with research and development activities, products,
services, sublicensing, or otherwise) such Third-Party Patents, solely in the Field, to the maximum
extent permitted by such Third-Party License Agreement(s); provided, however, that the exclusive
nature of the license granted in this Section 2.1 shall be subject to the applicable Retained
Licensor Rights and the rights of the licensee(s) described in the applicable Pre-existing License
Agreements, if any.

     2.2 License to NewCo Under Licensor Patents. Each Licensor hereby grants, and agrees to
grant, to NewCo a worldwide, exclusive, fully-paid up, royalty free, non-transferable
(except as permitted in Section 15.9) license, under its Licensor Patents, with the right to
sublicense in accordance with Section 4, to make, have made, use, develop, sell, offer to sell,
lease, distribute, import, export and otherwise dispose of products, to develop and perform
services, to use and practice any process, art or method, and to otherwise commercialize and
exploit (in connection with research and development activities, products, services, sublicensing,
or otherwise) such Licensor Patents, solely in the Field; provided, however, that the exclusive
nature of the license granted herein shall be subject to the rights of the licensee(s) described in
the applicable Pre-existing License Agreements, if any.

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     2.3 Third Party Patents. The licenses granted in Section 2.1 shall be deemed to be sublicenses
under the applicable Third Party License Agreement, and NewCo shall be subject to all limitations,
obligations, and other restrictions, if any, expressly imposed on sublicensees pursuant to the
terms of the applicable Third Party License Agreement. NewCo shall comply, as if it were the
applicable Licensor, with all limitations, obligations, and restrictions applicable to Licensor
under any Third Party License Agreement to the extent such limitations, obligations and
restrictions arise out of exercise by NewCo of the license rights granted to NewCo under Article 2.
Notwithstanding the foregoing, NewCo shall not owe royalties, sublicensee income, minimum annual
royalties, or any other consideration due under Exeter’s Third-Party License Agreements as a
Licensor, but rather as a sublicensee or affiliate, as applicable, under such Third-Party License
Agreements as set forth in Section 8.9 of this Agreement.

3 TECHNOLOGY LICENSES.

     3.1 License to NewCo Under Third-Party Technology Rights. Each Licensor hereby grants, and
agrees to grant, to NewCo a worldwide, exclusive, fully-paid up, royalty-free (except as
expressly set forth in Section 8.9), non-transferable (except as permitted in Section 15.9)
license, with the right to sublicense in accordance with Section 4, under all of its Technology
Rights in the Third-Party Technology under the Third-Party License Agreement(s), to exercise all
rights in, and to use and practice any process, art or method embodied by, and to otherwise
commercialize and exploit (in connection with research and development activities, products,
services, sublicensing, or otherwise), such Third-Party Technology, solely in the Field, to the
maximum extent permitted by such Third-Party License Agreement(s); provided, however, that the
exclusive nature of the license granted in this Section 3.1 shall be subject to the applicable
Retained Licensor Rights and the rights of the licensee(s) identified in the applicable
Pre-existing License Agreements, if any.

     3.2 License to NewCo Under Licensor Technology Rights. Each Licensor hereby grants, and
agrees to grant, to NewCo a worldwide, exclusive, fully-paid up, royalty free,
non-transferable (except as permitted in Section 15.9) license, with the right to sublicense in
accordance with Section 4, under all of its Technology Rights in its Licensor Technology, to make,
have made, use, develop, sell, offer to sell, lease, distribute, import, export, reproduce,
display, perform and otherwise make available (publicly or otherwise) (subject to Section 14
(“Confidentiality”)), prepare derivatives based upon and otherwise modify, and otherwise practice,
commercialize and exploit (in connection with research and development activities, products,
services, sublicensing, or otherwise), (i) the Licensor Technology and (ii) any derivatives thereof
or modifications thereto prepared by or for NewCo in accordance with the foregoing, in each case
solely in the Field; provided, however, that the exclusive nature of the license granted herein
shall be subject to the rights of the licensee(s) identified in the applicable Pre-existing License
Agreements, if any.

     3.3 License to NewCo Under Licensors’ Future Technology Rights. Solely for the purpose of
NewCo fulfilling its obligations (or assisting Licensors in fulfilling their obligations) under the
Pre-existing License Agreements, each Licensor

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hereby grants, and agrees to grant, to NewCo a worldwide, non-exclusive, fully-paid
up, royalty-free, non-transferable (except as set forth in Section 15.9) license, with the right to
sublicense in accordance with Section 4, under such Licensor’s Future Technology Rights, solely in
the Field, to reproduce, distribute, display and otherwise make available (publicly or otherwise)
(subject to Section 14), prepare derivatives based upon and otherwise modify, and otherwise
practice, commercialize and exploit (in connection with research and development activities,
products, services or otherwise), (i) such Licensor’s Future Technology and (ii) any derivatives
thereof or modifications thereto prepared in accordance with the foregoing.

     3.4 Third-Party Technology. With respect to any Technology or Technology Rights of any third
party that may be covered by any of the license(s) in this Section 3, such license(s) shall be
subject to the applicable license limitations, obligations and other restrictions, if any,
expressly imposed on sublicensees pursuant to the applicable Third Party License Agreement. For
the avoidance of doubt, the licenses granted in Section 3.1 are considered to be sublicenses under
the applicable Third Party License Agreement. Prior to inclusion of Future Technology or Future
Technology Rights in the licenses in this Section 3, the Licensor shall notify NewCo in writing of
any such limitations and restrictions with respect to Future Technology or Future Technology
Rights.

4 RIGHTS TO SUBLICENSE.

     NewCo may sublicense the rights granted to it in Sections 2 and 3 to third parties, provided
that each such sublicensee is bound in writing by (i) confidentiality obligations with respect to
the Licensors’ Confidential Information that are no less restrictive than the confidentiality
obligations of this Agreement and, if applicable, a Third-Party License Agreement, and (ii) in the
case of sublicenses of Third-Party Patents and Third-Party Technology, other terms and conditions
setting forth obligations and limitations that are consistent with those terms and conditions
required to be imposed on sublicensees pursuant to the applicable Third-Party License Agreement.
NewCo will require its sublicensees to provide written reports setting forth the calculation of the
royalties payable to NewCo, including the number of licensed products sold in each country, gross
sales, deductible expenses, and net revenues. If NewCo sublicenses any of the Third-Party Patents
set forth in Exhibit B, NewCo will require those sublicensees to provide a separate
accounting for products covered by such patents, to the extent necessary to permit royalties
payable to Third-Party Licensors to be properly calculated.

5 OWNERSHIP; RESERVATION OF RIGHTS.

     5.1 Reserved Rights. Each Licensor and NewCo acknowledges and agrees that each other Licensor
retains all right, title and interest in, to and under its intellectual property rights and other
proprietary rights, subject only to the rights and licenses expressly assigned or granted herein.
For the avoidance of doubt, except as may be expressly claimed in Patents licensed by a Licensor
under Sections 2.1 and 2.2 hereof, nothing in this Agreement shall be deemed to constitute a grant
of rights to transdifferentiation technology, telomerase technology, or embryonic stem cell

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technology of any Licensor. Notwithstanding the foregoing, and for the avoidance of doubt,
the rights granted to NewCo pursuant to Sections 2.1, 2.2, 3.1 and 3.2 hereof include the right to
employ the Third-Party Patents, Licensor Patents and Technology Rights in the Licensor Technology
and Third-Party Technology under the Third Party License Agreements to perform reproductive cloning
in the Field.

     5.2 No Restriction. Nothing in this Agreement shall in any way limit or restrict, or be
deemed to limit or restrict, the use or exploitation of any of a Licensor’s rights in, to or under
any of its intellectual property outside the Field. Nothing herein shall restrict a Licensor from
protecting any of its Licensor Technology under any patent or any other intellectual or industrial
property laws after the Effective Date, and each Licensor shall own all right, title and interest
in, to and under such Licensor Technology and any related intellectual property rights, subject
only to the rights of NewCo expressly set forth herein.

     6 TRANSFER OF PRE-EXISTING LICENSE AGREEMENTS.

     6.1 [Intentionally omitted]

     6.2 [Intentionally omitted]

     6.3 Modification or Replacement of Pre-Existing License Agreements. NewCo shall use
commercially reasonable efforts to negotiate a new direct license agreement with each licensee
under each Pre-existing License Agreement, except those set forth in the Disclosure Schedule, to
replace the applicable Pre-existing License Agreement (and the applicable Licensor will cooperate
with and assist NewCo in contacting the licensees and negotiating the new license agreement and in
terminating or amending, as appropriate, the Pre-existing License Agreement to be replaced).
NewCo’s obligation to negotiate and Licensor’s obligation to cooperate in any related negotiations
shall terminate 12 months after the Effective Date. To the extent that any Pre-existing License
Agreement cannot be replaced with a direct agreement between the licensee under the Pre-existing
License Agreement and NewCo, then the applicable Licensor will cooperate with NewCo in a mutually
agreeable arrangement under which NewCo will obtain the benefits under such Pre-existing License
Agreement, including such Licensor assigning such Pre-existing License Agreement to NewCo,
sublicensing or subcontracting to NewCo, appointing NewCo as its agent to administer and manage the
Pre-existing License Agreement, and enforcing for the benefit of NewCo the sublicensees’
obligations under the Pre-existing License Agreement.

     6.4 [Intentionally omitted]

     6.5 Effect of Termination of Pre-Existing License Agreement. On termination or expiration
(or assignment to NewCo), in whole or part, of any Pre-existing License Agreement, or any license,
option, or other right granted thereunder, such license or other right shall automatically be
deemed incorporated in the licenses and rights granted to NewCo under this Agreement (and each
Licensor hereby grants to NewCo a license under all of its rights thereto in the Field on the terms
of this Agreement), subject

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to the applicable terms, if any, in the Pre-existing License Agreement or applicable
Third-Party License Agreement affecting such transfer of rights.

     7 PATENT PROSECUTION

     7.1 Transition.

               (a) Transition Period. Each Licensor shall, at its sole expense, for a period of ninety (90)
days after the Closing (“Transition Period”), (a) continue to prosecute and maintain its Licensed
Patents in the ordinary course (including without limitation prosecuting any pending interferences
with non-Licensor third parties), consulting closely with and complying with the reasonable
instructions of NewCo with respect to any filings or communications with patent authorities during
such period, (b) permit NewCo ample opportunity to comment on any filings and communications with
patent authorities during such period prior to submission; and (c) not abandon the prosecution of
such patents and patent applications or any claims unless at NewCo’s written direction. A list of
the patents and patent applications to be prosecuted and maintained by Geron during the Transition
Period after Closing are set forth in Exhibit A and Exhibit B. Each Licensor and
NewCo agree to reasonably cooperate and assist each other in the transfer of such prosecution from
such Licensor to NewCo. Each Licensor shall provide to NewCo, within thirty (30) days after the
Closing, contact information for any outside counsel and any prosecution docket listings maintained
by such outside counsel, or, if prosecution is handled internally by such Licensor, such listings
maintained internally, especially those listings containing information concerning outstanding due
dates and deadlines associated with the patents and applications handled by such outside counsel or
internally by such Licensor. Each Licensor shall provide to NewCo, within thirty (30) days after
the Closing, all patent and patent application files (including paper copies and, to the extent
available, duplicate electronic copies) transferred from its outside counsel (or from such Licensor
if handled internally), unless instructed by NewCo otherwise. Each Licensor shall bear all its own
costs and expenses, and those of its counsel, in copying and delivering records, files and other
materials in connection with transitioning prosecution and maintenance responsibility for Licensed
Patents to NewCo hereunder. Each Licensor shall cooperate with NewCo to provide copies of any
documents identified by NewCo or discovered by such Licensor to be missing from files of Licensed
Patents provided to NewCo. The Licensor obligations in this Section 7.1(a) shall apply to Exeter
only to the extent that Exeter has or acquires during the Transition Period the relevant
prosecution and maintenance rights with respect to its Licensed Patents.

               (b) Pending or other Proceedings. Except as instructed by NewCo, neither Licensor shall
knowingly take any action during the Transition Period (or thereafter) with respect to any
opposition, inter partes re-examination, or interference (including any appeal thereof) involving
the Licensed Patents that is likely to adversely affect the value, validity, scope or
enforceability of any Licensed Patents.

     7.2 NewCo Prosecution Responsibility. Subject to this Section 7, commencing from end of the
Transition Period, NewCo shall be solely responsible for

11

 

and shall have sole control over (subject to any consultation, reporting and similar
requirements of the Third-Party License Agreements) prosecution and maintenance of the Licensed
Patents, except for those indicated on Exhibit B as excluded from this Section 7.2.

     7.3 Adversarial Actions. Opposition proceedings, interference proceedings, re-examination
proceedings, and appeals from any of the foregoing involving any of the Licensed Patents
(“Adversarial Actions”) that have been instituted, requested or are on-going as of the Effective
Date are listed in Exhibit E. Each Licensor shall provide to NewCo, within thirty (30)
days after the Closing, all materially relevant information, filings, correspondence, and other
documents (including, to the extent available, in electronic form) relating to any such pending or
contemplated Adversarial Actions. During the Transition Period, each relevant Licensor and NewCo
shall agree as to which Adversarial Actions listed in Exhibit E NewCo shall assume (the
“Assumed Adversarial Actions”) and how such actions shall be managed by NewCo. Commencing from the
end of the Transition Period, and subject to the provisions of Section 7.4(c), NewCo shall be
solely responsible for and shall have sole control over (subject to any consultation, reporting and
similar requirements of the Third-Party License Agreements) the Assumed Adversarial Actions. To
the extent that such actions must be maintained in the name of a Licensor, each Licensor will
reasonably cooperate with NewCo to maintain such actions at NewCo’s request, subject to
reimbursement of reasonable associated expenses by NewCo. NewCo shall have no responsibility for
Adversarial Actions listed in Exhibit E not assumed by NewCo.

7.4 Patent Filing Costs. Commencing from end of the Transition Period, NewCo (as between each
Licensor and NewCo) shall bear all costs and expenses associated with its prosecution and
maintenance of the Licensed Patents, subject to Section 7.3 and the following exceptions:

               (a) Each Licensor shall bear its own expenses associated with preparation, filing, prosecuting
and maintaining of patent applications and patents associated with any Patents outside the Field
(e.g., continuations, continuations-in-part, divisionals, re-issues or re-examinations of any
Licensed Patents filed to separate human from non-human claims, and the patent applications and
patents covering inventions applicable to human cloning resulting from such filings, and all its
Patents other than Licensed Patents) and all the costs and expenses incurred by NewCo (whether
incurred during or after the Transition Period), if any, for filing, prosecution and maintenance of
any continuations, divisions, re-issues, re-examinations or other applications filed for purposes
of transferring claims outside the Field (e.g., human claims) under such Licensor’s Licensed
Patents to such Licensor’s control. Each Licensor shall notify NewCo within sixty (60) days after
the Closing of the Patents for which it will file patent applications to separate human from
non-human claims. If such Licensor filings are not completed before prosecution control transfers
to NewCo at the end of the Transition Period, NewCo and the Licensor shall cooperate in effecting
such filings.

               (b) For any Licensed Patent having any material applicability outside the Field, NewCo shall
bear only a portion of its costs and expenses associated with

12

 

filing, prosecuting and maintaining the Licensed Patent, and the Licensor shall bear, and
reimburse NewCo for, the remainder of such NewCo expenses. The equitable allocation of such costs
and expenses shall be mutually agreed by the Licensor and NewCo based upon the scope of the claims
in the Licensed Patent in the Field and outside the Field and the relative value of such claims
scope. Except as otherwise provided in Section 7.4(a) herein, for any Licensed Patent having
material applicability outside the Field, NewCo and the applicable Licensor shall mutually agree
upon the strategy for filing, prosecuting and maintaining such Licensed Patents.

               (c) For any Adversarial Action involving any Licensed Patent having any material applicability
outside the Field, NewCo shall bear only a portion of its costs and expenses associated with such
Adversarial Action, and the Licensor shall bear, and reimburse NewCo for, the remainder of such
NewCo expenses. For any Adversarial Action involving any Licensed Patent having material
applicability outside the Field, NewCo and the applicable Licensor shall mutually agree upon the
strategy for defending and conducting such Adversarial Action and upon an equitable allocation of
such costs, expenses and any recovery arising from such Adversarial Action. No settlement of or
material concession with respect to such Adversarial Action shall be made or entered into without
Licensor’s or NewCo’s consent.

               (d) In any event, NewCo shall bear no costs under this Section 7.4 or Section 7.11 to the
extent any third party is obligated to pay, reimburse or credit a Licensor or Third-Party Licensor
(excluding a Licensor’s obligation to pay, reimburse or credit a Third-Party Licensor) for any such
costs; in such event, and provided such costs have been incurred by or are owed by NewCo, such
Licensor shall pay over to NewCo any such amounts to the extent that such amounts are not received
by NewCo from such third party pursuant to Section 6 hereof. Further, NewCo shall receive the
benefit afforded to any Licensor pursuant to a Third-Party License Agreement with respect to
reimbursement of costs and expenses incurred by NewCo under this Section 7.4 and Section 7.11, and
Licensors hereby agree to take all actions reasonably requested by NewCo to obtain such benefit,
except in each case as may be otherwise agreed by NewCo in writing.

     7.5 Licensor Cooperation.

               (a) Each Licensor shall make reasonable commercial efforts to cooperate fully with NewCo to
effectuate an orderly transition of the prosecution and maintenance relating to the Licensed
Patents and to cooperate fully with NewCo in the preparation, filing, prosecution, maintenance and,
as applicable, enforcement of all Licensed Patents. Cooperation includes, without limitation, (i)
promptly executing all papers and instruments or requiring employees of such Licensor to execute
papers and instruments as reasonably appropriate to enable NewCo to file, prosecute, maintain and
enforce Licensed Patents in any jurisdiction; (ii) making available to NewCo (or to NewCo’s
authorized attorneys, agents or representatives), such Licensor’s employees, agents or consultants
to the extent necessary or appropriate to enable NewCo to file, prosecute and maintain patent
applications and resulting patents with respect to Licensed Patents owned or licensed by a Licensor
and for reasonable periods of time sufficient for

13

 

NewCo to obtain the assistance it needs from such personnel; and (iii) promptly informing
NewCo of matters that may affect the preparation, filing, prosecution, future validity, or
maintenance of Licensed Patents (such as becoming aware of material prior art or references thereto
or of an additional inventor who is not listed as an inventor in a patent application).

               (b) If NewCo requests travel by a Licensor (or its employees, agents or consultants) in
connection with the preceding or, after the one-year anniversary of the Effective Date, directly
requests in writing substantial legal advice from a Licensor’s outside legal counsel for which the
Licensor is charged or from a Licensor’s in-house counsel (excluding any charges relating to file
transfer, execution of papers and instruments and similar costs), NewCo will reimburse the Licensor
for its out-of-pocket direct costs incurred for such travel or legal fees (or in the case of
in-house counsel, the charge allocated to Licensor’s applicable business division for such in-house
counsel’s time so incurred, in accordance with such Licensor’s standard past practices), provided
Licensor first obtains NewCo approval of the estimated cost thereof. In order to allow NewCo to
efficiently and economically prepare, file, prosecute, maintain and, as applicable, enforce the
Licensed Patents, the Licensors shall not challenge the validity, enforceability or scope of the
Licensed Patents through any means, including, without limitation, declaratory judgment actions,
litigation proceedings, opposition proceedings, interference proceedings, and re-examination
proceedings. Except as otherwise expressly provided for in this Agreement, a Licensor’s
performance of its obligations and exercise of its rights under this Agreement shall be at the sole
expense of such Licensor.

     7.6 NewCo Cooperation. After the Transition Period, NewCo shall keep each Licensor informed
of the status of prosecution of its Licensed Patents and provide such Licensor with copies of and
the opportunity to comment on associated filings with patent authorities. NewCo will not
unreasonably refuse to accept any reasonable suggestions of a Licensor’s patent counsel regarding
any filings made by NewCo with a patent authority with respect to such Licensor’s Licensed Patent,
provided that Licensor’s patent counsel provides such comments to NewCo in a timely manner (i.e.
not less than thirty (30) days prior to the patent office deadline (excluding extensions) for such
filing), and further provided that accepting such suggestion would not materially adversely affect
the patentability, enforceability, or validity of claims or the scope of the claims of such patent
or patent application having application within the Field. NewCo shall, if and to the extent
required by any Third-Party License Agreement, keep the Third-Party Licensor informed of the status
of prosecution of the applicable Third-Party Patents and provide such Third-Party Licensor with
copies of and the opportunity to comment on associated filings with patent authorities.

     7.7 Status Updates. Each Licensor agrees to keep NewCo informed in a timely manner of the
status of its and any Third-Party Licensor’s (and UMass’, as applicable) activities relating to any
of the Licensed Patents or Technology licensed to NewCo hereunder (e.g., developments of any
on-going litigation, interference proceedings, or other activities that could affect the value,
validity, or prosecution strategy of the Licensed Patents) to the extent such Licensor becomes
aware of such activities.

14

 

     7.8 Assignment of Prosecution Rights. Subject to Section 7.3 and 7.4 hereof, each Licensor
shall, and if necessary shall use reasonable commercial efforts to cause any Third-Party Licensor
(and UMass, as applicable) to, execute a power of attorney for the prosecution and maintenance of
the Licensed Patents, assign to NewCo (in written form reasonably acceptable to NewCo) all its
rights to prosecute and maintain the Licensed Patents in all jurisdiction(s), and otherwise perform
all acts and make all filings necessary to permit NewCo and its designees to, effective as of the
end of the Transition Period, prosecute, maintain and enforce each such patent or application in
all jurisdiction(s) and transact all matters connected therewith, including by way of example but
not limitation, controlling prosecution and resolving all interference, re-examination, re-issue,
and opposition proceedings relating thereto. Such acts shall include changing the address of the
patent attorney of record with the appropriate patent authorities and, as may be necessary on an
interim or extended basis, appointing NewCo as a Licensor’s delegatee or agent for the purpose of
continuing to exercise such Licensor’s prosecution, maintenance and enforcement rights under any of
the Third-Party License Agreements and appointing NewCo’s patent counsel as associate attorneys of
record. The foregoing assignment of rights shall include all rights to apply for, file, register,
prosecute, maintain, extend or renew the Licensed Patents in all jurisdictions and to settle or
otherwise terminate any interference proceedings, re-examinations, oppositions, or other challenges
to the validity, enforceability or scope of any Licensed Patent, and the right to bring actions for
past, present or future infringement of or otherwise enforce any of the Licensed Patents in
accordance with Section 7.11 hereof, and, subject to the terms and conditions of the applicable
Third Party License Agreement regarding reimbursement of a Third-Party Licensor’s costs and
expenses or sharing of recovery with a Third-Party Licensor, to settle and retain the proceeds of
such actions. Each Licensor shall execute and deliver such additional documents and perform such
additional acts as are necessary, to establish, perfect, enforce, evidence or otherwise protect
NewCo’s rights under this Section 7.8. The Licensor obligations in this Section 7.8 shall apply to
Exeter only to the extent that Exeter has or acquires the relevant prosecution, maintenance and
enforcement rights with respect to its Licensed Patents.

     7.9 Abandonment of Licensed Patents.

               (a) Before NewCo elects not to file outside the United States or ceases prosecuting or
maintaining, or otherwise allows abandonment of, any Licensed Patent in any jurisdiction, NewCo
shall use commercially reasonable efforts to provide written notice to the Licensors no later than
sixty (60) days prior to any abandonment of rights. Within thirty (30) days after receipt of such
notice, the Licensor that contributed the Licensed Patent to NewCo may provide a reply notice to
NewCo that the claims of the Licensed Patent have potential application outside of the Field and
request transfer of control of such patent’s prosecution and maintenance of the Licensed Patent in
the specified jurisdiction. (If such Licensor does not provide such a reply notice within thirty
(30) days or does not take control of such patent’s prosecution and maintenance, NewCo may abandon
such Licensed Patent or claims thereof without further obligation or liability to Licensor.)
Subject to any requirements under applicable Third Party License Agreements regarding transfer to a
Third-Party Licensor, NewCo shall thereafter and in a

15

 

timely manner so as to avoid any loss of rights, transfer control of such patent’s prosecution
and maintenance in the specified jurisdiction to such Licensor. If required by the Third-Party
License Agreements applicable to such Licensed Patent, NewCo shall also notify the Third-Party
Licensor of such Licensed Patent and provide such Third-Party Licensor such rights as are specified
in the Third-Party License Agreements; provided, however, that in the event that the Third-Party
Licensor’s instructions are incompatible with the Licensor’s instructions, NewCo shall notify the
Licensor and the Third-Party Licensor and then transfer control of such Licensed Patent’s
prosecution and maintenance in the specified jurisdiction to the Third-Party Licensor accompanied
by a copy of the Licensor’s instructions without further obligation or liability on the part of
NewCo.

               (b) Unless otherwise instructed by the Licensor, if the Licensor contributing such Licensed
Patent requests that NewCo transfer control of the Licensed Patent to the Licensor in accordance
with this Section 7.9, NewCo shall, within thirty (30) days thereafter, provide to the Licensor any
patent and patent application files (including paper copies and, to the extent available, duplicate
electronic copies), together with contact information for any outside counsel and any prosecution
docket listings, whether maintained by outside counsel or internally at NewCo, including those
listings containing information concerning outstanding due dates and deadlines, in each case
associated with the Licensed Patent being transferred. In the event that a Licensor or Third-Party
Licensor elects to have control of prosecution and maintenance of such Licensed Patent transferred
to it in accordance with this Section, such Licensed Patent shall no longer be deemed licensed to
NewCo under Article 2 in the applicable jurisdiction(s), except to the extent necessary to continue
licensing such Licensed Patents under Pre-existing License Agreements and any sublicenses granted
by NewCo before such transfer.

               (c) Notwithstanding the foregoing, this Section 7.9 shall not apply in the event NewCo elects
to not file, to cease prosecution or to abandon a patent application within the Licensed Patents (a
“Subject Patent”) in favor of a continuation or divisional application or the jurisdictional
equivalent thereof.

     7.10 Transfer Back Costs. The obligation of NewCo to transfer control of prosecution and
maintenance of any Licensed Patent as set forth in Section 7.9 shall be subject to the applicable
Licensor or Third-Party Licensor agreeing to reimburse NewCo for any out-of-pocket direct costs,
fees and other expenses reasonably incurred by NewCo with respect to any such Licensed Patent
after the date of such Licensor’s written request to transfer control. Upon the effective
transfer of control of any Licensed Patent to the applicable Licensor or Third-Party Licensor
pursuant to this Section 7.10, such transferee shall be solely responsible for, and shall bear all
costs and expenses associated with, the prosecution and maintenance relating to such Licensed
Patent in the specified jurisdiction(s) arising thereafter.

     7.11 Enforcement of Patent Rights. Each Party, first having knowledge of any of the
following, shall notify the others in writing of any third party infringement or misappropriation
of any Patents or of any Technology licensed to NewCo hereunder or any attempts to invalidate or
render unenforceable any of such rights licensed hereunder including, without limitation, by
declaratory judgment action or litigation.

16

 

               (a) NewCo shall have the initial right, but not the obligation, as to all other Parties to
institute, prosecute, defend and control any action, suit or proceeding (an “Action”) with respect
to such infringement or misappropriation that includes infringing activities or use of
misappropriated Technology within the Field or with respect to such attempts to invalidate or
render unenforceable any such rights licensed hereunder, including any declaratory judgment action
or litigation, at its expense. NewCo shall be entitled to use counsel of its choice and shall
consult with and keep the other Parties and, to the extent contractually required by Third-Party
License Agreements, the Third-Party Licensors, informed of the progress of the Action. All Parties
shall cooperate reasonably with NewCo, at NewCo’s request, in connection with any such Action. For
any Action involving any Licensed Patent having material applicability outside the Field, NewCo and
the applicable Licensor shall mutually agree upon the strategy for enforcing (or defending) such
Licensed Patent, and no settlement of or material concession with respect to such Action shall be
made or entered into by NewCo without Licensor’s consent and no settlement of or material
concession with respect to an Action involving any Licensed Patent having material applicability
within the Field shall be made or entered into by Licensor without NewCo’s consent. Subject to the
terms and conditions of the applicable Third Party License Agreement regarding reimbursement of a
Third-Party Licensor’s costs and expenses or sharing of recovery with a Third-Party Licensor, any
amounts recovered in such Action by NewCo shall (i) be used first to reimburse NewCo, then the
Licensors and, if applicable, the Third-Party Licensors, for the costs and expenses reasonably
incurred in connection with such Action (including attorneys and expert fees) and (ii) after such
reimbursement, NewCo shall retain any remainder.

               (b) Subject to the applicable terms and conditions of any Pre-existing License Agreements,
NewCo shall have the right to delegate its right in accordance with Section 7.11(a) to institute,
prosecute, defend and control any Action to any of its sublicensees which has received an exclusive
sublicense pursuant to Section 4 of any or all rights granted to NewCo in Sections 2 and 3,
provided that any such delegation shall be subject to such sublicensee agreeing in writing to be
bound by all relevant obligations of NewCo under Section 7.11(a). Such sublicensee shall be
entitled to use counsel of its choice and shall be required to keep the Parties and the Third-Party
Licensors, to the extent contractually required, informed of the progress of the Action. The
Parties shall cooperate reasonably with such sublicensee, at such sublicensee’s request, in
connection with any such Action. Subject to the terms and conditions of the applicable Third Party
License Agreement regarding reimbursement of a Third-Party Licensor’s costs and expenses or sharing
of recovery with a Third-Party Licensor, any amounts recovered in such Action by such sublicensee
shall (i) be used first to reimburse such Sublicensee, then NewCo, then the Licensors and, if
applicable, the Third-Party Licensors, for the costs and expenses reasonably incurred in connection
with such Action (including attorneys and expert fees), (ii) after such reimbursement, any
remainder attributable to lost profits or a reasonable royalty on infringing sales shall be
allocated to such sublicensee and (iii) after distribution under (i) and (ii) above, the remainder
of any recovery shall be retained by NewCo and/or the sublicensee as may be agreed by NewCo and the
sublicensee.

17

 

               (c) Limitation on Prosecution Rights. To the extent any Licensor does not have the right to
prosecute, maintain, enforce, defend, control or otherwise exercise the rights intended to be
assigned to NewCo under this Section 7 with respect to any third-party Patents licensed to NewCo
hereunder now or in the future, NewCo shall not have such rights or obligations with respect
thereto. To the extent any Licensor has such right or benefit, but it is not assignable to NewCo
or consent to such assignment is necessary but cannot be obtained, NewCo and the Licensor shall
cooperate in a mutually agreeable arrangement under which NewCo will obtain the benefits
thereunder, including, by way of example but not limitation, Licensor passing on NewCo’s comments
during patent prosecution to such third-party to the extent that Licensor has the right to comment
on patent prosecution and Licensor enforcing such rights for the benefit of NewCo under the
Third-Party License Agreement, subject to any confidentiality obligations in the applicable
Third-Party License Agreement.

8 OTHER RIGHTS AND OBLIGATIONS.

     8.1 Commercialization Efforts. NewCo shall make commercially reasonable efforts to
commercialize the Licensed Patents in accordance with the Annual Plan approved by its Board of
Directors. Such efforts with respect to Third-Party Patents shall, at a minimum, comport with the
level of diligence required by the applicable Third-Party Licensor under its Third-Party License
Agreement.

8.2 [intentionally omitted]

     8.3 No Obligation to Disclose to Other Licensors. Except as expressly set forth in this
Agreement, nothing in this Agreement shall obligate, or be construed to obligate, any Licensor to
disclose, explain or otherwise provide to any other Licensor any of such Licensor’s Technology.

8.4 [intentionally omitted]

     8.5 Grantback Licenses to Licensors. To the extent necessary, NewCo shall grant, and hereby
grants, to the applicable Licensor a non-exclusive, royalty-free license under any and all
intellectual property rights or contractual rights assigned, conveyed and transferred by such
Licensor to NewCo hereunder, of the scope necessary or useful for, but solely for the purpose of,
such Licensor discharging its duties, obligations, and liabilities under any Pre-existing License
Agreement. Such license shall be irrevocable for as long as both this Agreement and the applicable
Pre-existing License Agreement remain in effect.

     8.6 Grantback of Internal Research License to Licensors. NewCo hereby grants to each Licensor
(solely for internal research and development use by Licensor and by Licensor’s development
partners and collaborators) a nonexclusive, fully paid-up, royalty-free, non-transferable (except
as permitted in Section 15.9) license, under the Licensed Patents and Technology Rights in the
Licensor Technology and Third Party Technology licensed by such Licensor to NewCo hereunder, to
practice such Licensed

18

 

Patents and Technology Rights in the Field solely for internal research and development of
products or services outside of the Field.

     8.7 Delegation. NewCo shall have the right to delegate any of its obligations and associated
rights hereunder, in whole or in part, to the Manager (as defined in the Formation and Shareholders
Agreement) for the purpose of performing the management services for NewCo, including without
limitation the obligations to prosecute and maintain the Licensed Patents and the right to
institute, prosecute and control any Action.

     8.8 Prohibition on Human Cloning and Illegal Uses. NewCo acknowledges and agrees that it
shall not exercise any rights under the Third-Party Patents licensed from Geron pursuant to the
Geron Roslin Agreements or under the Third-Party Patents licensed from ELS pursuant to the Exeter
Roslin Agreement for the uterine implantation and development of a reconstructed embryo with
identical nuclear genetic information to another living or deceased human being or for the conduct
of any experiments or any research which is illegal within the applicable territory as of the date
on which such experiments and/or research are conducted.

     8.9 Payments by NewCo to Licensors. NewCo shall pay to the applicable Licensor the royalties,
minimum annual royalty payments, and maintenance fees and comply with the other payment obligations
in each case as set forth in the Disclosure Schedule, accruing after the Effective Date under the
applicable Third Party License Agreement. Where a Third-Party Licensor has agreed to accept direct
payment by NewCo, NewCo may pay directly to such Third-Party Licensor on behalf of the applicable
Licensor. Such payments shall be made in a timely manner as specified in the applicable
Third-Party License Agreement. Along with payment, NewCo will provide a statement showing the
calculation used to determine the amount owed and such additional information required in the
Disclosure Schedule, if any. Licensors shall not amend, or permit to be amended, the Third-Party
License Agreements in a manner that adversely affects the rights or benefits extended to or
obligations imposed upon NewCo hereunder without the prior written consent of NewCo.

9 TERM AND TERMINATION.

     9.1 Term. This Agreement shall be effective as of the Effective Date and shall continue in
effect until terminated pursuant to Section 9.2.

     9.2 Termination.

               (a) The Parties may terminate this Agreement upon the mutual written agreement of all Parties.

               (b) This Agreement shall automatically terminate on the effective date of the dissolution
and/or liquidation of NewCo pursuant to Section 6.6 (deadlock) or 8.3(b) (shareholder bankruptcy)
of the Formation and Shareholders Agreement.

               (c) NewCo may terminate this Agreement without cause by providing ninety (90) days’ prior
written notice thereof to the Licensors, but such notice may only

19

 

be provided after such time as all of the outstanding Securities (as such term is defined in
the Formation and Shareholders Agreement) of either Licensor have been acquired by the other
Licensor (and/or its Affiliates or permitted third parties).

               (d) For the avoidance of doubt, without limiting Sections 8.2(b) and 8.3(a) of the Formation
and Shareholders Agreement (which set forth certain rights triggered by breach of this Agreement),
breach or default of any provision of this Agreement by any Party hereto shall not be grounds for
termination of this Agreement or suspension of any right or the performance of any obligation or
duty created by this Agreement by any Party.

     9.3 Continuing Liability; Survival. Termination of this Agreement for any reason shall not
release any Party from any liability or obligation which has already accrued as of the effective
date of such termination, and shall not constitute a waiver or release of, or otherwise be deemed
to prejudice or adversely affect, any rights, remedies or claims, whether for damages or otherwise,
which a Party may have hereunder, at law, equity or otherwise or which may arise out of or in
connection with such termination. The rights and obligations of the Parties under the following
Sections shall survive any termination or expiration of this Agreement: 1 (Definitions), 9.3
(Continuing Liability; Survival), 9.4 (Return of Confidential Information), 9.7 (Survival of NewCo
Sublicenses), 9.8 (Prosecution Transition), 11 (Disclaimer), 12 (Limitation of Liability), 13
(Indemnification), 14 (Confidentiality) and 15 (Miscellaneous).

     9.4 Return of Confidential Information. Upon the termination of this Agreement, each
Recipient, at its own cost, shall promptly return to the Discloser any and all documents and
materials constituting or containing Confidential Information of the Discloser which are in its
possession or control, or at the Discloser’s option, shall destroy such documents and materials and
certify such destruction in writing to the Discloser, provided that NewCo may retain a copy of and
use such items as reasonably necessary to perform its obligations under Sections 9.7 and 9.8 and to
comply with tax and accounting laws and obligations, and each Recipient may retain a copy of such
items and use it solely to serve as a record of its compliance with this Agreement.

     9.5 Right to Cure. Without limiting any of their obligations under Section 10.4, if any
Licensor (i) receives a notice of any alleged or suspected breach by such Licensor of any
Third-Party License Agreement, or (ii) concludes without such a notice that such a breach has
occurred, such Licensor shall promptly notify NewCo in writing and shall use its best efforts to
cure any such breach. Notwithstanding the foregoing, NewCo shall be entitled, but not obligated,
to cure any alleged breach by such Licensor of such Third-Party License Agreement and set-off the
cost of such cure against amounts otherwise owed or payable to such Licensor by NewCo.

     9.6 Partial Termination Right. Upon termination of either of the CT Agreement (unless ELS
obtains a direct license from UMass of the UMass Third-Party Patents and Third-Party Technology) or
the Exeter Roslin Agreement or either of the Geron Roslin Agreements or (to the extent NewCo then
has an effective sublicense thereunder) any other Third-Party License Agreement, NewCo shall have
the right to

20

 

terminate this Agreement only with respect to the Third-Party Patents and Third-Party
Technology affected by termination of such Third-Party License Agreement (or with respect to
intellectual property jointly owned by a Licensor and a Third-Party Licensor, such Third-Party
Licensor’s interest in such intellectual property), effective immediately on notice to the
applicable Licensor, without prejudice to any rights that may survive such termination pursuant to
this Agreement or any agreement with a Third-Party Licensor.

     9.7 Survival of NewCo Sublicenses. In the event that NewCo has granted any sublicenses
hereunder (“NewCo Sublicenses”) and this Agreement subsequently terminates in accordance with the
provisions of Section 9, the Licensors acknowledge and agree that the sublicensees (“NewCo
Sublicensees”) of such NewCo Sublicenses shall retain their licensed rights as follows. The
Licensors agree that, effective as of the date of such termination, the licenses granted under any
NewCo Sublicenses shall survive to the extent such licenses relate to a Licensor’s rights to
Third-Party Patents, Third-Party Technology, Licensor Patents, and/or Licensor Technology, provided
that the applicable NewCo Sublicensee (i) continues to make all payments thereafter that would have
been owed by such NewCo Sublicensee to NewCo for the license to such Licensor’s rights in
accordance with the applicable NewCo Sublicense and (ii) continues to comply with its other
obligations under its NewCo Sublicense with respect to such Licensor’s rights. Absent any
agreement by the Licensors to the contrary at such time, all amounts payable thereafter by the
NewCo Sublicensees under the NewCo Sublicenses shall be applied first to pay any amounts owed to
any third-party licensors of NewCo (other than the Licensors) for rights licensed under and as a
result of such NewCo Sublicense and any remaining amounts shall be shared pro rata thereafter by
the Licensors based on their respective percentage ownership of NewCo Securities immediately prior
to the effective termination date of this Agreement. Subject to any applicable payment
arrangements prescribed by the Third-Party License Agreements, the NewCo Sublicensees shall be
instructed to pay all amounts to the Licensor holding the larger percentage ownership interest in
NewCo and such Licensor shall be responsible for remitting from such amounts any amounts payable to
the third-party licensors and to the other Licensor, accompanied by an explanatory statement. For
the avoidance of doubt, the sublicensees shall not be liable for any payments that may be owed by
NewCo or for performing any other obligations of NewCo to the Licensors under this Agreement.

     9.8 Prosecution Transition. Subject to the last sentence of this Section 9.8, upon any
termination of this Agreement, NewCo shall, at its sole expense, for a period of ninety (90) days
after termination (“Termination Transition Period”), (a) continue to prosecute and maintain the
Licensed Patents in the ordinary course, consulting closely with and complying with the
instructions of the applicable Licensor with respect to any filings or communications with patent
authorities during such period, (b) permit the applicable Licensor ample opportunity to comment on
any filings and communications with patent authorities during such period prior to submission; and
(c) not abandon the prosecution of such patents and patent applications or any claims unless at
NewCo’s written direction. NewCo shall provide to each Licensor, within thirty (30) days after
termination, all patent and patent application files (including paper copies and, to the extent
available, electronic copies) transferred from its outside counsel (or from NewCo

21

 

if handled internally), unless instructed by such Licensor otherwise. Notwithstanding the
foregoing, on partial termination of this Agreement by NewCo pursuant to Section 9.6, NewCo shall
have the right to retain its prosecution, maintenance and other rights under Section 7 to the
extent the applicable Third-Party Licensor agrees thereto.

10 WARRANTIES.

     10.1 Representations and Warranties by Each Licensor. Each Licensor represents, warrants and
covenants that:

               (a) The execution, delivery and performance of this Agreement by such Licensor (i) are within
its corporate powers, (ii) have been duly authorized by all necessary corporate action on such
Licensor’s part, and (iii) have been approved by the such Licensor’s Board of Directors;

               (b) The execution, delivery and performance of this Agreement by such Licensor, including the
grant of rights and licenses herein, do not and will not contravene, conflict, constitute or result
in a default under or breach of, and are not and will not be inconsistent with, any law or
regulation, any judgment, decree or order, or any term, condition or provision of any contract,
agreement (including without limitation the Third-Party License Agreements and Pre-existing License
Agreements) or other undertaking applicable to such Licensor or the Licensed Patents or licensed
Licensor Technology or Third-Party Technology and the intellectual property rights thereto;

               (c) Such Licensor has obtained all necessary consents to grant to NewCo the rights and
licenses granted herein, including consents from Third-Party Licensors;

               (d) Such Licensor (i) has licensed its Third-Party Patents with a sublicensable interest that
permits further sublicensing by NewCo without the consent of any Person, (ii) is the owner of the
entire right, title and interest in and to its Licensor Patent Rights; (iii) has the sole right and
authority to enter into this Agreement and grant the rights and licenses hereunder, without the
need for any licenses, releases, consents, approvals or immunities not yet granted or obtained, and
(iv) has the full legal right and power to grant to NewCo the licenses of the scope and on the
terms granted herein;

               (e) Such Licensor has provided to NewCo and the other Licensor, as set forth in the Disclosure
Schedule, a true and complete copy of each of its Third-Party License Agreements (including without
limitation any amendments, schedules, exhibits, or addenda thereto) in effect as of the Effective
Date;

               (f) Such Licensor has provided to NewCo and the other Licensor, a true and complete copy of
each of its Pre-existing License Agreements (including without limitation any amendments,
schedules, exhibits, or addenda thereto) in effect as of the Effective Date, and, except for such
Pre-existing License Agreements it has not granted to any Person (including Affiliates) any
licenses, options, immunities or rights of any nature in the Field under any Third-Party Patent or
Third-Party Technology and, to the best of the knowledge of its officers, except for retention of
certain nonexclusive noncommercial

22

 

rights by UMass and Roslin and, except as disclosed in the Disclosure Schedule, no other
Person has been granted any licenses, options, immunities or rights of any nature in the Field
under any Third-Party Patent or Third-Party Technology;

               (g) Such Licensor will continue to take all appropriate actions pursuant to applicable law to
perfect, protect its interest in, and enforce its Licensor Patents and, to the extent permitted by
the Third-Party License Agreements, the Third-Party Patents, until such time as prosecution and
enforcement rights (and associated records and files) have been fully transitioned to NewCo
pursuant to Section 7.1 and 7.5;

               (h) Except as disclosed in the Disclosure Schedule, such Licensor has received no written
communication claiming (or threatening to claim), and to the knowledge of such Licensor there is no
pending claim, that the practice of the inventions described in its Licensor Patents or its
Third-Party Patents or use of its Licensor Technology or Third-Party Technology infringes any
patents or patent applications or other rights of any third party;

               (i) Except as disclosed in the Disclosure Schedule, as of the Effective Date, the practice in
the Field of the inventions described in the Licensed Patents, including reproductive cloning
(i.e., the production of a cloned animal), does not necessarily infringe, violate or
misappropriate, and is not impracticable without infringing, violating or misappropriating, and
will not require any payment to such Licensor or any of its Affiliates, with respect to any other
technology, intellectual property rights, or patents owned or controlled by or licensed to such
Licensor or any of its Affiliates, or claims of patent applications that such Licensor or its
Affiliates have made or contemplate making (collectively, “Other Rights”). To the extent, if any,
there is a breach of the representations and warranties set forth in this Section 10.1(i), and, as
a result of such breach, NewCo or any of its sublicensees, in practicing an invention described in
the Licensed Patents, necessarily infringes, or such practice is not impracticable without
infringing, any Other Rights, then, as NewCo’s sole remedy for such breach (x) NewCo and its
sublicensees (and the users and purchasers of products and services infringing such Other Rights
made or sold by NewCo and its sublicensees) shall be immunized and indemnified by such Licensor
from liability, suit or other claims (by such Licensor, the Third-Party Licensor, and any of their
licensees, successors and assignees) under such Other Rights and (y) such Licensor shall grant, and
hereby grants, to NewCo, or shall acquire for NewCo, at Licensor’s sole expense, a nonexclusive,
worldwide, sublicensable license to such Other Rights of a scope sufficient to make practice of the
invention within the scope of the licenses granted herein possible and practicable without
infringement by NewCo and its sublicensees;

               (j) Except as disclosed in the Disclosure Schedule, such Licensor’s Third-Party License
Agreements are valid, binding and enforceable, and to the best of such Licensor’s knowledge,
neither such Licensor nor the Third-Party Licensor is in default in complying with any provision
thereof, and no condition or event or facts exist which, with notice or lapse of time or both,
would constitute a default thereunder;

23

 

               (k) Such Licensor’s Pre-existing License Agreements are valid, binding and enforceable, and to
the best of such Licensor’s knowledge, neither such Licensor nor the third-party sublicensee is in
default in complying with any provision thereof that has not been waived by such sublicensee in
accordance with the applicable agreement, and no condition or event or facts exist which, with
notice or lapse of time or both, would constitute a default thereunder;

               (l) Except as disclosed in the Disclosure Schedule, the Licensed Patents identified by a
Licensor (i) in Exhibit A and Exhibit B have the status indicated therein and all
applications are still pending and in good standing and have not been abandoned and (ii) in
Exhibit A and Exhibit B constitute all patents and patent applications owned,
licensed or controlled by such Licensor or its Subsidiaries having primary applicability in the
Field or having primary applicability to nuclear transfer or chromatin transfer and existing as of
the Effective Date.

               (m) Except as set forth in the Disclosure Schedule, the Third-Party License Agreements set
forth in Exhibit C constitute all agreements currently in effect between such Licensor, its
Subsidiaries, and any third party granting to such Licensor or its Subsidiaries, rights in the
Field in, to and under the Patents and/or Technology licensed or assigned to NewCo by such
Licensor, and the Pre-existing License Agreements set forth in Exhibit D constitute all
agreements currently in effect between such Licensor, its Subsidiaries and any third party granting
to such third party rights in the Field in, to and under the Patents and/or Technology licensed or
assigned to NewCo by such Licensor;

               (n) Except as disclosed in the Disclosure Schedule, neither such Licensor nor any of its
Subsidiaries has granted and is not aware of other outstanding and unexercised options or exclusive
licenses whereby a third party may acquire or has acquired rights under the Patents and/or
Technology licensed or assigned to NewCo hereunder; and

               (o) Such Licensor has provided to NewCo and the other Licensor, as set forth in Exhibit
E, a true and accurate list of all declaratory judgment actions, opposition proceedings,
re-examination proceedings, litigation or other adversarial proceedings relating to its Licensed
Patents that, to its actual knowledge without inquiry, have been instituted, requested or are
on-going as of the Effective Date.

     10.2 Representations and Warranties by ELS. ELS represents and warrants that:

               (a) Neither ELS nor any of its Affiliates is a party to any agreement with ACT, UMass, or
Roslin governing the license of, or option to license, or other rights under any intellectual
property rights other than those agreements listed in Exhibit C.

     10.3 Representations and Warranties by Geron. Geron represents and warrants that:

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               (a) Neither Geron nor any of its Affiliates is a party to any agreement with ACT, UMass, or
Roslin governing the license of, or option to license, any intellectual property rights other than
those agreements listed in Exhibit C; and

               (b) Options granted by Geron pursuant to the terms the following Pre-existing License
Agreements have expired without having been exercised: the Option Agreement between Geron and
AviGenics, Inc., dated December 12, 2000; the Option Agreement between Geron and Origen
Therapeutics, Inc., dated December 19, 2000; and the Option Agreement between Geron and Viragen,
Inc., dated May 15, 2001.

     10.4 Licensor Covenants. Each Licensor hereby covenants that such Licensor will:

               (a) comply with all terms of its Third-Party License Agreement(s) and the Pre-existing License
Agreement(s), unless waived by the other party in accordance with the applicable agreement, and
will be responsible for making all payments due under the Third-Party License Agreement(s) and/or
the Pre-existing License Agreements (except if and to the extent such terms or payment obligation
is assumed by NewCo pursuant to Section 6.3);

               (b) notify NewCo promptly if such Licensor receives any notice or written communication
threatening or stating that the Third-Party Licensor, UMass, or any third party sublicensee intends
to terminate the Third-Party License Agreement(s), the UMass Agreement, or Pre-existing License
Agreement, or modify, assign or amend such agreement(s) in any way that adversely affects this
Agreement or NewCo’s rights hereunder;

               (c) not terminate, amend or assign, nor by act or omission permit the termination, amendment
or assignment of, the Third-Party License Agreement(s) or the Pre-existing License Agreement
without the prior written consent of NewCo in the event such termination, amendment or assignment
would affect any of NewCo’s rights and obligations hereunder; and

               (d) promptly provide NewCo with copies of all communications regarding any alleged or actual
breach of the Third-Party License Agreements or the Pre-existing License Agreements.

     10.5 Representations and Warranties by NewCo. NewCo hereby represents and warrants that:

               (d) the execution, delivery and performance of this Agreement by NewCo (i) are within its
corporate powers, (ii) have been duly authorized by all necessary corporate action on NewCo’s part,
and (iii) have been approved by NewCo’s Board of Directors; and

               (e) to the knowledge of NewCo and to the extent consistent with applicable law, the terms and
conditions of this Agreement constitute legally binding

25

 

obligations of NewCo.

     10.6 NewCo Covenants. NewCo hereby covenants that NewCo will:

               (a) Notify the applicable Licensor if NewCo receives any notice or written communication
threatening or stating that a Third-Party Licensor, UMass, or any third party sublicensee intends
to terminate the Third-Party License Agreement(s), the UMass Agreement, or Pre-existing License
Agreement, or modify, assign or amend such agreement(s) in any way that adversely affects this
Agreement or the Licensor’s rights hereunder;

               (b) Promptly provide the applicable Licensor with copies of all communications regarding any
alleged or actual breach of the Third-Party License Agreements or the Pre-existing License
Agreements; and

               (c) Not knowingly take any action or knowingly omit to take any action NewCo is obligated to
take under this Agreement that NewCo knows is reasonably likely to result in a breach by a Licensor
of any of its Third-Party License Agreements that would give the applicable Third-Party Licensor
cause for termination of such Third-Party License Agreement in accordance with its terms, without
the written permission of the applicable Licensor.

     10.7 Patent Validity. Notwithstanding anything to the contrary herein, nothing in this
Agreement shall be deemed or construed as a representation or warranty by any Party that any patent
or inventor’s certificate within the Licensed Patents of such Licensor is valid or enforceable or
that valid and enforceable patents will result from prosecution of any associated patent
applications.

11 DISCLAIMER.

     EXCEPT AS PROVIDED IN SECTION 10, NO PARTY MAKES ANY REPRESENTATIONS OR WARRANTIES UNDER OR
RELATING TO THIS AGREEMENT OR THE SUBJECT MATTER HEREOF (INCLUDING, WITHOUT LIMITATION, ITS
TECHNOLOGY OR THE VALIDITY OF ANY PATENT). THE PARTIES HEREBY DISCLAIM ANY AND ALL OTHER
REPRESENTATIONS AND WARRANTIES OF ANY KIND, WHETHER EXPRESS, IMPLIED OR STATUTORY, WITH RESPECT TO
THIS AGREEMENT OR THE SUBJECT MATTER HEREOF, INCLUDING (WITHOUT LIMITATION) ANY WARRANTY OF
ACCURACY, TITLE, NON-INFRINGEMENT, FITNESS FOR A PARTICULAR PURPOSE, AND MERCHANTABILITY AND ANY
AND ALL WARRANTIES THAT MAY ARISE FROM COURSE OF DEALING, COURSE OF PERFORMANCE OR USAGE OF TRADE.

12 LIMITATION OF LIABILITY.

     IN NO EVENT SHALL ANY PARTY BE LIABLE FOR ANY INDIRECT, SPECIAL, PUNITIVE, INCIDENTAL OR
CONSEQUENTIAL DAMAGES OF ANY

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KIND OF ANY OTHER PARTY, INCLUDING, WITHOUT LIMITATION, ANY LOSS OF PROFITS, LOSS OF BUSINESS,
LOSS OF USE, LOSS OR INACCESSIBILITY OF DATA, OR INTERRUPTION OF BUSINESS, ARISING UNDER OR
RELATING TO THIS AGREEMENT OR THE SUBJECT MATTER HEREOF, EVEN IF SUCH PARTY HAS BEEN ADVISED OF THE
POSSIBILITY OF SUCH DAMAGES.

13 INDEMNIFICATION.

     13.1 Indemnification Obligations. Each Party shall indemnify, defend and hold harmless each
of the other Parties, their Affiliates, successors and assigns and their respective directors,
officers, employees and agents from and against any and all liabilities, damages, losses,
settlements, penalties, fines, costs and expenses, including, without limitation, reasonable
attorneys’ fees (any of the foregoing to be referred to herein as “Damages”) of whatever kind or
nature (but not including taxes), to the extent arising from any third party claim, action, suit
or proceeding based on any breach of such Party’s representations, warranties or covenants as set
forth in this Agreement, except to the extent attributable to a material breach by any other Party
of any term of this Agreement.

     13.2 NewCo Indemnification Obligations. NewCo shall indemnify, defend and hold harmless each
of the Licensors, their Affiliates, successors and assigns and their respective directors,
officers, employees and agents from and against any and all Damages of whatever kind or nature
(but not including taxes), to the extent arising from any third party claim, action, suit or
proceeding based on the exercise by (i) NewCo or (ii) a NewCo sublicensee of any or all of the
rights granted to NewCo in Sections 2 and 3 pursuant to a sublicense granted by NewCo under
Section 4 of those rights, except to the extent attributable to a material breach by any
Licensor(s) of any term of this Agreement.

     13.3 Procedure. For purposes of Section 13.1 and Section 13.2, the indemnified Party shall
give prompt written notice to the indemnifying Party of any suits, claims, actions, proceedings or
demands by third parties that may give rise to any claim for which indemnification may be required
under this Section 13; provided, however, that failure to give such notice shall not relieve the
indemnifying Party of its obligation to provide indemnification hereunder except, if and to the
extent that such failure materially and adversely affects the ability of the indemnifying Party to
defend or mitigate the applicable suit, claim, action, proceeding or demand. The indemnifying
Party shall be entitled to assume the defense and control of any such suit, claim, action
proceeding or demand at its own cost and expense; provided, however, that the other Party shall
have the right to be represented by its own counsel at its own cost in such matters. Neither the
indemnifying Party nor the indemnified Party shall settle or dispose of any such matter in any
manner that would adversely affect the rights or interests of the other Party (including the
obligation to indemnify hereunder) without the prior written consent of the other Party, which
shall not be unreasonably withheld or delayed. Each Party shall cooperate with the other Party
and its counsel in the course of the defense of any such suit, claim, action, proceeding or
demand, such cooperation to

27

 

include, without limitation, using reasonable efforts to provide or make available documents,
information and witnesses.

14 CONFIDENTIALITY.

     14.1 Confidential Information. The Parties recognize that, in connection with the performance
of this Agreement, each Discloser may disclose “Confidential Information” (as defined below) to the
other Recipients. For purposes of this Agreement “Confidential Information” means (i) proprietary
information (whether owned by the Discloser or a third party to whom the Discloser owes a
nondisclosure obligation) that is marked as confidential at the time of disclosure to the
Recipient, or if in oral or in other intangible form or in any form that is not so marked, that is
identified as confidential at the time of such disclosure and summarized in writing and transmitted
to the Recipient within thirty (30) days of such disclosure; and (ii) all unpublished invention
disclosures or patent applications and patent application file histories disclosed by a Licensor in
any form to NewCo. “Confidential Information” shall not include information which: (A) was known
to the Recipient at the time of the disclosure by the Discloser as indicated by the Recipient’s
contemporaneous written records; (B) has become publicly known through no wrongful act of the
Recipient; (C) has rightfully been received by the Recipient from a third party without a duty of
confidentiality; or (D) was independently developed by the Recipient without reference to the
Discloser’s Confidential Information. The Recipient agrees (x) not to use any such Confidential
Information for any purpose other than in the performance of its obligations or exercise of its
rights under this Agreement or any Transaction Document and (y) not to disclose any such
Confidential Information, except (1) to its employees, contractors, or other bona fide commercial
partners who are reasonably required to have the Confidential Information in connection herewith or
with any of the other Transaction Documents; (2) to its agents, representatives, lawyers,
accounting firms, and other advisers that have a need to know such Confidential Information; (3) to
Persons in connection with a financing, strategic partnership, merger, acquisition, investment or
proposed financing, strategic partnership, merger, acquisition or investment, where such Persons
are subject to an obligation of confidentiality at least comparable to that set forth in this
Section 14.1, (4) to sublicensees, in accordance with Section 4; (5) to third parties with whom
Recipient is in good faith discussions relating to entering into a sublicense relationship; (6) to
patent authorities and foreign patent associates and agents in NewCo’s exercise of its rights and
performance of its obligations pursuant to Section 7; (7) pursuant to, and to the extent of, a
request or order by a Governmental Authority, provided, however, that prior to any such requested
or ordered disclosure, Recipient shall give the Discloser reasonable advance notice of any such
disclosure and shall cooperate with Discloser in protecting against any such disclosure and/or
obtaining a protective order narrowing the scope of such disclosure and/or use of the Confidential
Information of Discloser; and/or (8) to the extent authorized by the Discloser in advance in
writing. The Recipient shall take the same degree of care that it uses to protect its own
confidential and proprietary information and materials of similar nature and importance (but in no
event less than reasonable care) to protect the confidentiality and avoid the unauthorized use or
disclosure of the Confidential Information of the Discloser.

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     14.2 Terms of Agreement. Each Party agrees that the terms and conditions of this Agreement
and the Transaction Documents shall be treated as confidential information and that no reference
thereto shall be made without the prior written consent of the other Parties (which consent shall
not be unreasonably withheld) except (a) as required by applicable law including, without
limitation, by the Securities and Exchange Commission (“SEC”), (b) to its accountants, banks,
financing sources, lawyers and other professional advisors, provided that such parties undertake in
writing (or are otherwise bound by rules of professional conduct) to keep such information strictly
confidential, (c) in connection with the enforcement of this Agreement, and (d) in connection with
a financing, strategic partnership, merger, acquisition or proposed financing, strategic
partnership, merger or acquisition. The Parties will consult with each other, in advance, with
regard to the terms of all proposed press releases, public announcements and other public
statements with respect to the transactions contemplated hereby. For the avoidance of doubt, the
Parties acknowledge and agree that Geron may disclose this Agreement to the SEC, provided Geron
seeks confidential treatment of confidential information contained herein identified by any Party.

     14.3 Remedies. Each Party acknowledges and agrees that (i) its obligations under this Section
14 are necessary and reasonable to protect the other Parties and each of the other Parties’
businesses, (ii) any violation of these provisions could cause irreparable injury to the other
Parties for which money damages would be inadequate, and (iii) as a result, the other Parties shall
be entitled to injunctive relief against a breach or a threatened breach of the provisions of this
Section 14 without the necessity of proving actual damages. The Parties agree that the remedy set
forth in this Section 14 is in addition to and in no way preclude any other remedies or actions
that may be available under this Agreement or under applicable law.

     15 MISCELLANEOUS.

     15.1 Governing Law; Consent to Jurisdiction.

               (a) Governing Law. The validity, construction and enforceability of this Agreement shall be
governed by and construed and interpreted in accordance with the laws of the State of California,
irrespective of the conflict of laws principles of the State of California, as to all matters;
provided, however, all questions with respect to validity or enforceability of any patents or
patent applications shall be determined in accordance with the laws of the respective country in
the territory in which such patents or patent applications shall have been granted or filed, as
applicable.

               (b) Consent to Jurisdiction. Each of the Parties irrevocably submits to the jurisdiction of
(i) the Superior Court of the State of Arizona, Maricopa County, (ii) the United States District
Court in Phoenix, Arizona, for the District of Arizona, (iii) the Superior Court of the State of
California, San Francisco County, and (iv) the United States District Court in San Francisco,
California, for the Northern District of California, for the purposes of any suit, action or other
proceeding not foreclosed by arbitration pursuant to Section 15.15. Each of the Parties further
agrees that service of any process, summons, notice or document by United States registered mail to
such

29

 

Party’s respective address set forth below shall be effective service of process for any
action, suit or proceeding in Arizona or California with respect to any matters to which it has
submitted to jurisdiction in this Section 15.1(b). Each of the Parties irrevocably and
unconditionally waives any objection to the laying of venue of any action, suit or other proceeding
not foreclosed by binding arbitration pursuant to Section 15.15 in (i) the Superior Court of the
State of Arizona, Maricopa County, (ii) the United States District Court in Phoenix, Arizona, for
the District of Arizona, (iii) the Superior Court of the State of California, San Francisco County,
and (iv) the United States District Court in San Francisco, California, for the Northern District
of California, and hereby further irrevocably and unconditionally waives and agrees not to plead or
claim in any such court that any such action, suit or other proceeding brought in any such court
has been brought in an inconvenient forum.

     15.2 Notices and Other Communications. Any and all notices, requests, demands and other
communications required or otherwise contemplated to be made under this Agreement shall be in
writing and in English and shall be provided by one or more of the following means and shall be
deemed to have been duly given (a) if delivered personally, when received, (b) if transmitted by
facsimile, on the first (1st) Business Day following receipt of a transmittal confirmation, or (c)
if by overnight courier service, on the second (2nd) Business Day following the date of deposit
with such courier service, or such earlier delivery date as may be confirmed in writing to the
sender by such courier service. All such notices, requests, demands and other communications
shall be addressed as follows:

If to ELS:

4455 East Camelback Road

Suite B100

Phoenix, AZ 85018

Attention: Jonathan Thatcher

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

12357A Riata Trace Pkwy, Suite 100

Austin, Texas 78727

Attention: Scott Davis

and

Morrison & Foerster LLP

425 Market Street

San Francisco, CA 94105

Attention: John Campbell, Esq.

Telephone: 415-268-7000

Facsimile: 415-268-7522

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If to NewCo:

stART Licensing, Inc.

4455 East Camelback Road

Suite B100

Phoenix, AZ 85018

Attention: Manager

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

12357A Riata Trace Pkwy, Suite 100

Austin, Texas 78727

Attention: Scott Davis

and to Geron at the address below.

If to Geron:

230 Constitution Drive

Menlo Park, CA 94025

Attention: Chief Executive Officer

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

230 Constitution Drive

Menlo Park, CA 94025

Attention: Senior Vice President, Business Development

or to such other address or facsimile number as a Party may have specified to the other
Parties in writing delivered in accordance with this Section 15.2.

     15.3 Severability. If any provision in this Agreement shall be found or be held to be invalid
or unenforceable then the meaning of said provision shall be construed, to the extent feasible, so
as to render the provision enforceable, and if no feasible interpretation would save such
provision, it shall be severed from the remainder of this Agreement which shall remain in full
force and effect unless the severed provision is essential and materially changes the economic
benefit of this Agreement to any Party. In such event, the Parties shall use best efforts to
negotiate, in good faith, a substitute, valid and enforceable provision or agreement which most
nearly effects the Parties’ intent in entering into this Agreement. Notwithstanding the foregoing,
if any provision of this Agreement is held to be invalid or unenforceable, the remaining provisions
of this Agreement shall remain in full force and effect.

     15.4 References; Subject Headings. The article, section and paragraph headings contained
herein are for the purposes of convenience only and are not intended

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to define or limit the contents of the articles, sections or paragraphs to which such headings
apply

     15.5 Further Assurances. NewCo and the Licensors shall each perform such acts, execute and
deliver such instruments and documents, and do all such other things as may be reasonably necessary
to accomplish the transactions contemplated in this Agreement.

     15.6 Expenses. Each of the Parties will bear its own costs and expenses, including, without
limitation, fees and expenses of legal counsel used or hired in connection with the negotiation and
preparation of this Agreement.

     15.7 No Waiver. No waiver of any term or condition of this Agreement shall be valid or
binding on a Party unless the same shall have been set forth in a written document, specifically
referring to this Agreement and duly signed by the waiving Party. The failure of a Party to
enforce at any time any of the provisions of this Agreement, or the failure to require at any time
performance by one or both of the other Parties of any of the provisions of this Agreement, shall
in no way be construed to be a present or future waiver of such provisions, nor in any way affect
the ability of a Party to enforce each and every such provision thereafter.

     15.8 Entire Agreement; Amendments. The terms and conditions contained in this Agreement
(including the Exhibits hereto) and the Transaction Documents, together with any other written
agreements executed contemporaneously herewith, constitute the entire agreement between the Parties
and supersede all previous and contemporaneous agreements and understandings, whether oral or
written, between the Parties with respect to the subject matter hereof. No agreement or
understanding amending this Agreement shall be binding upon any Party unless set forth in a written
document which expressly refers to this Agreement and which is signed and delivered by duly
authorized representatives of each Party.

     15.9 Assignment. The Parties agree that this Agreement and any of the Parties’ rights and
obligations hereunder may not be transferred or assigned, by contract, operation of law or
otherwise, (hereafter “assign”) to a third party without the prior written consent of the other
Parties hereto, which consent shall not unreasonably be withheld. Notwithstanding the foregoing, a
Party may assign this Agreement and all of its rights and obligations hereunder without consent of
the other Parties to (i) its Affiliates, and (ii) to the surviving or acquiring entity in
connection with a Change of Control; provided that any such assignee agrees in writing to be bound
by the terms and conditions of, and assumes in writing all obligations and liabilities under, this
Agreement and in the event that a Licensor assigns this Agreement, the Licensor may only assign
together with an assignment of all rights licensed to NewCo hereunder. Any assignment not in
conformance with this Section 15.9 shall be null, void and of no legal effect. This Agreement
shall inure to the benefit of, and shall be binding upon, the Parties and their respective
permitted successors and assigns.

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     15.10 Independent Contractors. The relationship of the Parties established by this Agreement
is that of independent contractors. Nothing in this Agreement shall be construed to create any
agency or other relationship between or among any of the Parties.

     15.11 No Beneficiaries. Nothing herein express or implied, is intended to or shall be
construed to confer upon or give to any person, firm, corporation or legal entity, other than the
Parties and their Affiliates who hold Securities, any interests, rights, remedies or other benefits
with respect to or in connection with any agreement or provision contained herein or contemplated
hereby.

     15.12 Effectiveness. This Agreement, if signed by a duly authorized representative of each
Party, shall be effective as of the Effective Date.

     15.13 Counterparts. This Agreement may be executed in any number of counterparts, and each
counterpart shall constitute an original instrument, but all such separate counterparts shall
constitute only one and the same instrument.

     15.14 Public Announcements. Any public announcement concerning this Agreement or the subject
matter hereof shall be subject to the prior written consent of ALL Parties. Such consent shall not
be unreasonably withheld or delayed by ANY Party. Prior to any such public announcement, the Party
wishing to make the announcement will submit a draft of the proposed announcement to the other
Parties in sufficient time to enable the other Parties to consider and comment thereon.

     15.15 Dispute Resolution. Any dispute, controversy, or claim arising out of or related to
this Agreement or to the breach, termination, or invalidity thereof (each a “Dispute”) shall be
solely and exclusively settled by confidential, binding arbitration in accordance with the
then-current commercial arbitration rules of the American Arbitration Association, subject to the
terms and conditions of this Section 15.15. The Parties agree that prior to initiating any
arbitration proceedings against the other(s) with respect to any Dispute, they will follow the
procedures set forth in this Section 15.15 in an attempt to resolve such Dispute.

               (a) Executive Negotiations. In the event of a Dispute, any Party may provide written
notice to the other Parties describing such Dispute and a proposed resolution in reasonable detail
“Resolution Notice”). The president or CEO of each Party involved in the Dispute, or their
respective designees who shall have the authority to resolve such Dispute, shall attempt to resolve
such Dispute through good faith negotiations. If any Dispute cannot be settled by agreement of the
involved Parties pursuant to the preceding sentence within sixty (60) days after receipt of the
Resolution Notice (“Negotiation Period”), then any Party may, by written notice to the other(s)
requesting resolution by arbitration (“Arbitration Demand”), invoke the dispute resolution
provisions of Section 15.15(b).

               (b) Arbitration. Any Dispute subject to arbitration under this Agreement shall be
adjudicated by three (3) neutral and impartial arbitrators. In the event that only two Parties are
parties to the dispute, each Party shall appoint one arbitrator

33

 

within thirty (30) days after the other Party’s receipt of the Arbitration Demand, and the two
arbitrators so appointed will then, within ninety (90) days of the receipt of the Arbitration
Demand, jointly appoint the third arbitrator, who shall serve as chairperson of the arbitration
tribunal; provided that if the two arbitrators cannot agree within such period on a third
arbitrator, the American Arbitration Association shall appoint the third arbitrator. In the event
that three Parties are parties to the dispute, each Party shall appoint one arbitrator within
thirty (30) days after the last date of receipt of the Arbitration Demand by a Party (other than
the Party submitting such demand) and the American Arbitration Association shall appoint one of
them to serve as chairperson of the arbitration tribunal. The decision of the arbitration tribunal
shall be final and binding upon the parties to the dispute, and may be entered in any competent
court for judicial acceptance of such an award and order of enforcement. All costs of the
arbitration and arbitrators shall be shared equally by the parties to the dispute, but each Party
shall be responsible for the costs of its own legal and other representatives and witnesses. The
arbitrators shall not have the right or authority to award punitive damages to any Party.
Arbitration will take place in Phoenix, Arizona. The Parties agree that the arbitration
proceedings and its contents shall be kept confidential, except as may otherwise be required by
applicable law.

               (c) Injunctive Relief. Notwithstanding anything to the contrary in this Section
15.15, each Party may, and expressly reserves the right to, seek judicial relief from any court of
competent jurisdiction in order to obtain an injunction or other equitable relief or to enforce the
provisions of Section 14 or to otherwise obtain temporary relief pending the outcome of the
arbitration for breaches or threatened breaches of this Agreement by any Party which have the
potential to cause irreparable injury to the other Party(ies). Examples of such breaches include,
without limitation, breaches of confidentiality obligations, use of technology outside the scope of
the licenses granted herein, actions or omissions with respect to Licensor’s obligations relating
to Third-Party License Agreements and Pre-existing License Agreements and breach of Licensor
obligations with respect to Adversarial Actions or other challenges to the Licensed Patents.

     15.16 Ambiguities. Ambiguities, if any, in this Agreement shall not be construed against any
Party, regardless of which Party may be deemed to have authored the ambiguous provision.

[SIGNATURE PAGE FOLLOWS]

34

 

     IN WITNESS WHEREOF, the Parties have executed this Agreement by their respective duly
authorized representatives.

	 	 	 	 	 	 	 	 	 
	For NewCo	 	 	 	For ELS	 	 
	 
	 	 	 	 	 	 	 	 
	Signature:

	 	/s/ Scott Davis
	 	 	 	Signature:
	 	/s/ Jonathan Thatcher
	

	 	 
	 	 	 	 	 	 
	Name:

	 	Scott Davis
	 	 	 	Name:
	 	Jonathan Thatcher
	Title:

	 	 	 	 	 	Title:	 	 
	

	 	 
	 	 	 	 	 	 
	Date:

	 	 	 	 	 	Date:	 	 
	

	 	 
	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 
	For Geron	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 
	Signature:

	 	/s/ David J. Earp	 	 	 	 	 	 
	

	 	 	 	 	 	 	 	 
	Name:

	 	David Earp	 	 	 	 	 	 
	Title:
	 	 	 	 	 	 	 	 
	

	 	 	 	 	 	 	 	 
	Date:
	 	 	 	 	 	 	 	 
	

	 	 	 	 	 	 	 	 

Geron Bio-Med Limited, a wholly owned Subsidiary of Geron, (“Bio-Med”) hereby acknowledges and
consents to Geron’s entering into this Agreement in accordance with its terms, and waives any and
all rights it may have under its agreements with Geron that may conflict with or otherwise be
violated by the terms and conditions of this Agreement absence such consent by Bio-Med.

	 	 	 
	 
	 	 
	For Geron Bio-Med Limited
	 
	 	 
	Signature:

	 	/s/ David L. Greenwood
	

	 	 
	Name:

	 	David Greenwood
	Title:
	 	 
	

	 	 
	Date:
	 	 
	

	 	 

[Signature Page to Contribution and License Agreement]

35

 

EXHIBIT A

Licensor Patents

ELS Patents

None.

Geron Patents1

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	Series	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	Geron	 	 	 	Issued in /	 	 	 	Pending in /	 	 	 	 	 	 
	Title	 	 	Reference	 	 	 	Patent No.	 	 	 	Serial No.	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 
	Improved Method for
Cloning Pigs /
Improved Cloning
Method Using
Oocytes Matured in Vivo
	 	 	 	720	 	 	 	 	U.S. 6,548,741	 	 	 	 	U.S. 10/414,458	 	 	 	 	720/002C
720/003C	 
	
	 	 	 		 	 	 	 		 	 	 	 		 	 	 	 		 
	 	 	 	 	 	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 
	Animal Tissue for
	 	 	 	730	 	 	 	 	 	 	 	 	 	*	 	 	 	 	730/002	 
	Xenotransplantation
	 	 	 		 	 	 	 	 	 	 	 	 	*	 	 	 	 		 
	 	 	 	 	 	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 
	Animal Tissue with
Carbohydrate
Antigens Compatible
for Human
Transplantation
[and a Carbohydrate
Determinant
Selection System
for Homologous
	 	 	 		 	 	 	 	 	 	 	 	 	*
*	 	 	 	 	731/002	 
	 	 	 	731	 	 	 	 	 	 	 	 	 	*
*	 	 	 	 	731/201AU	 
	Recombination]
	 	 	 		 	 	 	 	 	 	 	 	 	*
*	 	 	 	 	731/202EP	 
	 	 	 	 	 	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 
	Vectors for
Telomerizing
Nuclear Donor Cells
and Improving the
Efficiency of
Nuclear Transfer /
Use of Telomerase
Reverse
Transcriptase to
Create Knockout
	 	 	 	732	 	 	 	 	 	 	 	 	 	*	 	 	 	
	Animals
	 	 	 	 	 	 	 	 	 	 	 	 	 	*	 	 	 	 	732/002
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	*	 	 	 	732/201EP
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	*	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 
	A Strategy for
Maintaining
Pregnancy
	 	 	 	740	 	 	 	 	U.S. 6,673,987	 	 	 	 	 	 	 	 	 	740/001	 

	*	 	Certain information on this page has been omitted and filed separately with the Commission. Confidential treatment has been requested with respect to the omitted portions.
	 
	1	 	Note: all of the patents and patent applications in this section constitute Intellectual Property arising from a collaboration between Geron and Roslin relating to the Xeno Pig Project as those two terms are defined in the Geron Roslin Research Agreement

 

EXHIBIT B

Third-Party Patents

I. Patents

ELS

     1. Roslin Patents (under the Licence Agreement dated June 2, 1998):2

A. Quiescent Cell Populations for Nuclear Transfer

(Quiescence – Geron 700 Series

	 	 	 
	Prority Date:

	 	31 August 1995
	 
	 	 
	Priority Application No.:

	 	* filed in the name of ROSLIN INSTITUTE
	

	 	(EDINBURGH)*
	 
	 	 
	Priority Application No.:

	 	* filed in the name of ROSLIN INSTITUTE
	

	 	(EDINBURGH)*
	 
	 	 
	International Filing Date:

	 	30 August 1996

	 	 	 	 	 	 	 	 	 
	 
	 	Granted Patents	 	 	 	 	 	 	 
	 	Country	 	 	Patent No.	 	 	Geron Ref. No.	 
	 	U.S.
	 	 	6,147,276*	 	 	700/201	 
	 	Austria
	 	 	0849990; E 199115*	 	 	700/201AT	 
	 	Belgium
	 	 	0849990 *	 	 	700/201BE	 
	 	Denmark
	 	 	0849990 *	 	 	700/201DK	 
	 	Europe
	 	 	0849990*	 	 	700/201EP	 
	 	France
	 	 	0849990*	 	 	700/201FR	 
	 	Germany
	 	 	0849990 *	 	 	700/201DE	 
	 	Ireland
	 	 	0849990*	 	 	700/201IE	 
	 	Italy
	 	 	0849990*	 	 	700/201IT	 
	 	Luxembourg
	 	 	0849990*	 	 	700/201LU	 
	 

	*	 	Certain information on this page has been omitted and filed separately with the Commission.
Confidential treatment has been requested with respect to the omitted portions.
	 
	2	 	* The patents and patent applications in
this section constitute Existing Patents as that term is defined in the Exeter
Roslin License Agreement.

37

 

	 	 	 	 	 	 	 	 	 
	 	Monaco
	 	 	0849990*	 	 	700/201MC	 
	 	Netherlands
	 	 	0849990*	 	 	700/201NL	 
	 	Slovenia
	 	 	0849990*	 	 	700/201SI	 
	 	Spain
	 	 	0849990*	 	 	700/201ES	 
	 	Switzerland
	 	 	0849990*	 	 	700/201CH	 
	 	Australia**
	 	 	716956*	 	 	700/201AU	 
	 	Hong Kong
	 	 	HK1004938*	 	 	700/201HK	 
	 	 
	 	 	HK1019394*	 	 	700/202HK D	 
	 	New Zealand
	 	 	316149*	 	 	700/201NZ	 
	 	 
	 	 	334288*	 	 	700/202NZ D	 
	 	Singapore
	 	 	50267*	 	 	700/201SG	 
	 	 
	 	 	75155*	 	 	700/202SG D	 
	 	South Africa
	 	 	967390*	 	 	700/201ZA	 
	 	United Kingdom
	 	 	GB2318578*	 	 	700/201UK	 
	 	 
	 	 	GB2331751*	 	 	700/202UK D	 
	 

	**	 	Granted following successful outcome of opposition proceedings

Applications Pending in:

	 	 	 	 	 	 	 	 	 
	 
	 	Application	 	 	 	 	 	 	 
	 	Country	 	 	Serial No.	 	 	Geron Ref. No.	 
	 	*
	 	 	*    *	 	 	700/203AUD	 
	 	*
	 	 	*    *	 	 	700/201BR	 
	 	*
	 	 	*    *	 	 	700/201CA	 
	 	*
	 	 	*    *	 	 	700/201CN	 
	 	*
	 	 	*    *	 	 	700/202EP D	 
	 	 
	 	 	*    *	 	 	700/203EP D	 
	 	*
	 	 	*    *	 	 	700/201JP	 
	 	*
	 	 	*    *	 	 	700/201KR	 
	 	*
	 	 	*    *	 	 	700/201MX	 
	 	*
	 	 	*    *	 	 	700/203NZD	 
	 	*
	 	 	*    *	 	 	700/001UK	 
	 	*
	 	 	*    *	 	 	700/203C	 
	 	 
	 	 	*    *	 	 	700/202D	 
	 

	*	 	Certain information on this page has been omitted and filed separately with the Commission.
Confidential treatment has been requested with respect to the omitted portions.

38

 

B. Unactivated Oocytes as Cytoplast Recipients for Nuclear Transfer

(MAGIC – Geron 710 Series)

	 	 	 
	Priority Date:

	 	31 August 1995
	 
	 	 
	Priority Application No.:

	 	* filed in the name of ROSLIN INSTITUTE
(EDINBURGH)*
	 
	 	 
	International Application No.:

	 	* filed in the name of ROSLIN INSTITUTE
	

	 	(EDINBURGH)*
	 
	 	 
	International Filing Date:

	 	30 August 1996

	 	 	 	 	 	 	 	 	 
	 
	 	Granted Patents	 	 	 	 	 	 	 
	 	Country	 	 	Patent No.	 	 	Geron Ref. No.	 
	 	U.S.
	 	 	6,252,133*	 	 	710/201	 
	 	 
	 	 	6,525,243*	 	 	710/203C	 
	 	Australia**
	 	 	728809*	 	 	710/201AU	 
	 	Hong Kong
	 	 	HK1004937*	 	 	710/201HK	 
	 	 
	 	 	HK1024381*	 	 	710/202HK D	 
	 	New Zealand
	 	 	316148*	 	 	710/201NZ	 
	 	 
	 	 	335407*	 	 	710/202NZ D	 
	 	Singapore
	 	 	SG75919*	 	 	710/201SG D	 
	 	South Africa
	 	 	96/7383*	 	 	710/201ZA	 
	 	United Kingdom
	 	 	GB2318792*	 	 	710/201UK	 
	 	 
	 	 	GB2340493*	 	 	710/202UK D	 
	 

	** 	 	Granted following successful outcome of opposition proceedings

Applications pending in:

	 	 	 	 	 	 	 	 	 
	 
	 	Application	 	 	 	 	 	 	 
	 	Country	 	 	Serial No.	 	 	Geron Ref. No.	 
	 	*
	 	 	**	 	 	710/202AUD	 
	 	 
	 	 	**	 	 	710/203AUD	 
	 	*
	 	 	**	 	 	710/201BR	 
	 	*
	 	 	**	 	 	710/201CA	 
	 	*
	 	 	**	 	 	710/201CN	 
	 	*
	 	 	**	 	 	710/201EP	 
	 	*
	 	 	**	 	 	710/201JP	 
	 	*
	 	 	**	 	 	710/201KR	 
	 

	*	 	Certain information on this page has been omitted and filed separately with the Commission.
Confidential treatment has been requested with respect to the omitted portions.

39

 

	 	 	 	 	 	 	 
	*

	 	 	* *
	 	 	710/201MX
	 	 	 	 	 	 	 
	

	 	 	* *
	 	 	710/202MX D
	 	 	 	 	 	 	 
	*

	 	 	* *
	 	 	710/203NZ D
	 	 	 	 	 	 	 
	*

	 	 	* *
	 	 	710/201SG
	 	 	 	 	 	 	 
	*

	 	 	* *
	 	 	710/001UK
	 	 	 	 	 	 	 
	*

	 	 	* *
	 	 	710/202D
	 	 	 	 	 	 	 
	

	 	 	* 3 *
	 	 	710/204C
	 	 	 	 	 	 	 
	

	 	 	* 4 *
	 	 	710/205C
	 	 	 	 	 	 	 
	

	 	 	* 5 *
	 	 	710/206C
	 	 	 	 	 	 	 
	

	 	 	* 6 *
	 	 	710/207C
	 	 	 	 	 	 	 
	

	 	 	* 7 *
	 	 	710/214C
	 	 	 	 	 	 	 
	

	 	 	* 8 *
	 	 	710/215C
	 	 	 	 	 	 	 
	

	 	 	* *
	 	 	710/216C
	 	 	 	 	 	 	 
	

	 	 	* *
	 	 	710/217C

Geron Patents

     1. Roslin Patents (under the Research and License Agreement dated May 3, 1999):

     [None]9

     2. Roslin Patents (under the License Agreement dated April 30, 1999):10

	*	 	Certain information on this page has been omitted and filed separately with the Commission.
Confidential treatment has been requested with respect to the omitted portions.
	 
	3	 	*
	 
	4	 	*
	 
	5	 	*
	 
	6	 	*
	 
	7	 	*
	 
	8	 	*
	 
	9	 	No patents or patent applications
constituting Jointly Owned Intellectual Property (as that term is defined in
the Geron Roslin Research Agreement) are included in the Licensed Patents as of
the Effective Date.
	 
	10	 	* The patents and patent applications in
this section constitute Patent Rights as that term is defined in the Geron
Roslin License Agreement.

40

 

1. Quiescent Cell Populations for Nuclear Transfer

(Quiescence – Geron 700 Series

	 	 	 
	Prority Date:

	 	31 August 1995
	 
	 	 
	Priority Application No.:

	 	* filed in the name of ROSLIN INSTITUTE
	

	 	(EDINBURGH)
	 
	 	 
	Priority Application No.:

	 	* filed in the name of ROSLIN INSTITUTE
	

	 	(EDINBURGH)
	 
	 	 
	International Filing Date:

	 	30 August 1996

	 	 	 	 	 	 	 	 	 
	 
	 	Granted Patents	 	 	 	 	 	 	 
	 	Country	 	 	Patent No.	 	 	Geron Ref. No.	 
	 	U.S.
	 	 	6,147,276	 	 	700/201	 
	 	Austria
	 	 	0849990; E 199115	 	 	700/201AT	 
	 	Belgium
	 	 	0849990	 	 	700/201BE	 
	 	Denmark
	 	 	0849990	 	 	700/201DK	 
	 	Europe
	 	 	0849990	 	 	700/201EP	 
	 	France
	 	 	0849990	 	 	700/201FR	 
	 	Germany
	 	 	0849990	 	 	700/201DE	 
	 	Ireland
	 	 	0849990	 	 	700/201IE	 
	 	Italy
	 	 	0849990	 	 	700/201IT	 
	 	Luxembourg
	 	 	0849990	 	 	700/201LU	 
	 	Monaco
	 	 	0849990	 	 	700/201MC	 
	 	Netherlands
	 	 	0849990	 	 	700/201NL	 
	 	Slovenia
	 	 	0849990	 	 	700/201SI	 
	 	Spain
	 	 	0849990	 	 	700/201ES	 
	 	Switzerland
	 	 	0849990	 	 	700/201CH	 
	 	Australia**
	 	 	716956	 	 	700/201AU	 
	 	Hong Kong
	 	 	HK1004938	 	 	700/201HK	 
	 	 
	 	 	HK1019394	 	 	700/202HKD	 
	 	New Zealand
	 	 	316149	 	 	700/201NZ	 
	 	 
	 	 	334288	 	 	700/202NZD	 
	 	Singapore
	 	 	50267	 	 	700/201SG	 
	 	 
	 	 	75155	 	 	700/202SGD	 
	 	South Africa
	 	 	967390	 	 	700/201ZA	 
	 	United Kingdom
	 	 	GB2318578	 	 	700/201UK	 
	 	 
	 	 	GB2331751	 	 	700/202UKD	 
	 

	**	 	Granted following successful outcome of opposition proceedings
	 
	*	 	Certain information on this page has been omitted and filed separately with the Commission.
Confidential treatment has been requested with respect to the omitted portions.

41

 

Applications Pending in:

	 	 	 	 	 	 	 	 	 
	 
	 	Application	 	 	 	 	 	 	 
	 	Country	 	 	Serial No.	 	 	Geron Ref. No.	 
	 	*
	 	 	*	 	 	700/203AU D	 
	 	*
	 	 	*	 	 	700/201BR	 
	 	*
	 	 	*	 	 	700/201CA	 
	 	*
	 	 	*	 	 	700/201CN	 
	 	*
	 	 	*	 	 	700/202EP D	 
	 	 
	 	 	*	 	 	700/203EP D	 
	 	*
	 	 	*	 	 	700/201JP	 
	 	*
	 	 	*	 	 	700/201KR	 
	 	*
	 	 	*	 	 	700/201MX	 
	 	*
	 	 	*	 	 	700/203NZ D	 
	 	*
	 	 	*	 	 	700/001UK	 
	 	*
	 	 	*	 	 	700/203C	 
	 	 
	 	 	*	 	 	700/202D	 
	 

2. Unactivated Oocytes as Cytoplast Recipients for Nuclear Transfer

(MAGIC – Geron 710 Series)

	 	 	 
	Priority Date:

	 	31 August 1995
	 
	 	 
	Priority Application No.:

	 	* filed in the name of * * (EDINBURGH)
	 
	 	 
	International Application No.:

	 	* filed in the name of * * (EDINBURGH)
	 
	 	 
	International Filing Date:

	 	30 August 1996

	 	 	 	 	 	 	 	 	 
	 
	 	Granted Patents	 	 	 	 	 	 	 
	 	Country	 	 	Patent No.	 	 	Geron Ref. No.	 
	 	U.S.
	 	 	6,252,133	 	 	710/201	 
	 	 
	 	 	6,525,243	 	 	710/203C	 
	 	Australia**
	 	 	728809	 	 	710/201AU	 
	 	Hong Kong
	 	 	HK1004937	 	 	710/201HK	 
	 	 
	 	 	HK1024381	 	 	710/202HK D	 
	 	New Zealand
	 	 	316148	 	 	710/201NZ	 
	 	 
	 	 	335407	 	 	710/202NZ D	 
	 	Singapore
	 	 	SG75919	 	 	710/201SG D	 
	 	South Africa
	 	 	96/7383	 	 	710/201ZA	 
	 	United Kingdom
	 	 	GB2318792	 	 	710/201UK	 
	 	 
	 	 	GB2340493	 	 	710/202UK D	 
	 

	**	 	Granted following successful outcome of opposition proceedings
	 
	*	 	Certain information on this page has been omitted and filed separately with the Commission.
Confidential treatment has been requested with respect to the omitted
portions.

42

 

Applications pending in:

	 	 	 	 	 	 	 	 	 
	 
	 	Application	 	 	 	 	 	 	 
	 	Country	 	 	Serial No.	 	 	Geron Ref. No.	 
	 	*
	 	 	*	 	 	710/202AU D	 
	 	 
	 	 	*	 	 	710/203AU D	 
	 	*
	 	 	*	 	 	710/201BR	 
	 	*
	 	 	*	 	 	710/201CA	 
	 	*
	 	 	*	 	 	710/201CN	 
	 	*
	 	 	*	 	 	710/201EP	 
	 	*
	 	 	*	 	 	710/201JP	 
	 	*
	 	 	*	 	 	710/201KR	 
	 	*
	 	 	*	 	 	710/201MX	 
	 	 
	 	 	*	 	 	710/202MX D	 
	 	*
	 	 	*	 	 	710/203NZ D	 
	 	*
	 	 	*	 	 	710/201SG	 
	 	*
	 	 	*	 	 	710/001UK	 
	 	*
	 	 	*	 	 	710/202D	 
	 	 
	 	 	*11	 	 	710/204C	 
	 	 
	 	 	*12	 	 	710/205C	 
	 	 
	 	 	*13	 	 	710/206C	 
	 	 
	 	 	*14	 	 	710/207C	 
	 	 
	 	 	*15	 	 	710/214C	 
	 	 
	 	 	*16	 	 	710/215C	 
	 	 
	 	 	*	 	 	710/216C	 
	 	 
	 	 	*	 	 	710/217C	 
	 

II. Invention Disclosures

A. ELS

     1. UMass CT invention disclosure (under the CT License Agreement)

          UMA 01-02 *

The prosecution, maintenance and enforcement rights with respect to the Patents marked with * are
not transferable by the applicable Licensor (and will not be transferred) to NewCo at the Effective
Date (and are thus excluded from Section 7.2).

	*	 	Certain information on this page has been omitted and filed separately with the Commission.
Confidential treatment has been requested with respect to the omitted portions.
	 
	11  	 	*
	 
	12  	 	*
	 
	13  	 	*
	 
	14  	 	*
	 
	15  	 	*
	 
	16  	 	*

43

 

EXHIBIT C

Third-Party License Agreements

	A.  	ELS
	 
	   	Exclusive License Agreement by and between ACT and ELS dated as of October 22, 2003, as
amended by the Letter Agreement between ACT and ELS dated as of October 20, 2003, and as
further amended by the ACT letter signed by ACT and agreed and accepted by ELS and UMass
dated as of October 21, 2003.
	 
	   	Licence Agreement between Roslin and PPL Therapeutics – (Scotland) Limited, dated as of
June 2, 1998, as amended and assigned by PPL Therapeutics to ELS by the Assignation and
Variation Agreement between and among Roslin, ELS and PPL Therapeutics, dated December
2003, as further amended by the Roslin Consent dated as of April 5, 2005.
	 
	B.  	Geron
	 
	   	License Agreement between and among Geron, Roslin, and Roslin Bio-Med Limited dated April
30, 1999, as amended by the Agreement dated September 30, 2003, as further amended by the
Roslin Consent dated as of April 5, 2005.
	 
	   	Research and License Agreement between Geron and Roslin dated May 3, 1999, as amended by
the First Amendment to Research and License Agreement dated October 1, 2002, and the
Agreement dated September 30, 2003, as further amended by the Roslin Consent dated as of
April 5, 2005.

44

 

EXHIBIT D

Pre-existing License Agreements

A. ELS

	 	 	 
	 	 	Sublicense Agreement between ELS and ViaGen, Inc., dated April 4, 2005.

	 
	 	 
	 	 	Sublicense Agreement between ELS and Viable Genetics, LLC., dated April 4, 2005.

	 
	 	 
	 	 	Non-Exclusive License Agreement between ELS and Pharmathene. Inc. dated March 4, 2005.

B. Geron

	 	 	 
	 	 	Agreement among Geron, Clone Australia Pty Ltd., and AgResearch Ltd., dated July 11, 2001.

	 
	 	 
	 	 	Sublicence Agreement between Geron and Clone Australia Pty Ltd., dated December 21, 2000.

	 
	 	 
	 	 	License Agreement between Geron and ProLinia, Inc., dated May 15, 2001.

	 
	 	 
	 	 	License Agreement between Geron and Xenotrans, Ltd., dated April 6, 2004.

	 
	 	 
	 	 	License Agreement (Protein Field) between Geron and Revivicor, Inc., dated October 27,
2004.

	 
	 	 
	 	 	License Agreement (Xenotransplantation) between Geron and Revivicor, Inc., dated October
27, 2004.

45

 

EXHIBIT E

Adversarial Actions

1. Patent Interference No. 104,809

Strelchenko et al. (junior party) Application No. 09/357,445

v.

Campbell & Wilmut (senior party) Application No. 09/650,194

Status: Final Judgment entered. Not appealed.

2. Patent Interference No. 104,746

Stice et al. (junior party) Patent No. 5,945,577

v.

Campbell & Wilmut (senior party) Application No. 09/650,194

Status: Final Judgment entered December 20, 2004. Appealed.

Appeal:

U. Mass. & ACT v. Roslin, Geron & Exeter

U.S. District Court for the District of Columbia Case No. 1:05CV00353 (RMU)

Status: Pending

3. Patent Interference No. 105, 192.

Stice et al. (junior party) Patent No. 6,235,970 and Reissue Application No. 10/833,993)

v.

Campbell & Wilmut (senior party) Application No. 09/989,126

Status: Final Judgment entered February 11, 2005. Subject to appeal.

46exv10w1

 

Exhibit 10.1

LA QUINTA CORPORATION

2005 ANNUAL BONUS PROGRAM

INTRODUCTION

The Annual Bonus Program provides a clear connection between financial rewards and specific
business objectives that are the personal responsibility of each individual who is eligible for the
bonus plan. The achievement of these business objectives is a direct measure of the efforts and
results of the individual. The attainment of these objectives supports the overall success of La
Quinta.

This bonus program provides incentives to selected Corporate Management. The plan includes a
component of total compensation that is linked to both the achievement of our business objectives
and individual performance.

OBJECTIVES

	 	1.  	Link actual performance with financial incentives.
	 
	 	2.  	Provide enhanced rewards for exceeding budgeted financial returns.
	 
	 	3.  	Provide a financial incentive to achieve the business objectives.

PURPOSE

The purpose of this plan is to provide incentives for the achievement of company results.
This document provides information that enables the individual, at the beginning of the year, to
have a clear understanding of the financial rewards that can be earned for achieving specific
performance objectives and standards.

The principal cornerstones of this program are:

	 	1.  	Bonus amounts are earned each year. These rewards must be earned through actual
performance.
	 
	 	2.  	Maximize EBITDA.
	 
	 	3.  	Increase Corporate Revenues.
	 
	 	4.  	Increase Franchise success as determined by increased RevPAR and contribution to
EBITDA.
	 
	 	5.  	Improve Guest Satisfaction.
	 
	 	6.  	Increase RevPAR.
	 
	 	7.  	Control costs.
	 
	 	8.  	Achieve individual objectives.

PARTICIPATION

Participation in the plan is limited to Corporate Management. Determination of membership in
the plan is the sole responsibility of the Board of Directors Compensation Committee.

After the Compensation Committee has approved participation in the plan, each senior executive will
receive the necessary materials in order to enable him/her to communicate the plan to participants
in their area of responsibility.

 

 

ELIGIBILITY

	 	•  	Executive Committee Members – Job titles such as:

CEO, President, Executive Vice President, Senior Vice President, etc.
	 
	 	•  	Corporate Vice Presidents – Job titles such as:

Controller, Development Services, Reservation Systems, Revenue Management, Risk
Management, Sales, Tax, RVP’s, etc.
	 
	 	•  	Corporate Directors – Job titles such as:

Cash Management, Construction Services, Assistant Treasurer, Assistant Controller,
Relationship Marketing, Training, etc.
	 
	 	•  	Corporate Managers – Job titles such as:

System Development, Field Marketing, Corporate Tax, General Accounting, Payroll, Hotel
General Managers, etc.
	 
	 	•  	Corporate Staff – Job titles such as:

Benefits Specialist, Staff Accountant, Contracts Administrator, Administrative
Assistant, Accounting Clerk, etc.
	 
	 	•  	Other selected position titles – As determined by senior management.

Individuals are eligible for participation in the Annual Bonus Program:

	 	A.  	If the individual has not voluntarily or involuntarily terminated employment prior to
the date incentive payments are issued.
	 
	 	B.  	In cases where an eligible individual has been transferred or promoted by Sept.
30th of the year, the bonus payout will be pro-rated according to the number of
rounded whole months in each position. In cases where an eligible individual has been
transferred or promoted on or after October 1st of the year, the bonus payout
will be based on the location, bonus percentage entitlement, etc. of the old
position/location for the entire year (as if the promotion/transfer had not occurred).
	 
	 	C.  	In cases where an employee takes or omits to take any action that could result in
termination of that employee, including but not limited to manipulation of expenses or
revenues, the entire bonus for the employee will be at risk of forfeiture as determined by
the Compensation Committee.

ADMINISTRATION

The Board of Directors Compensation Committee is the sole interpreter and arbitrator of these
provisions and has the right to amend, withdraw, or revoke them at any time. Recommended bonus
payments (including any bonus amounts above target) are not final until approved by the
Compensation Committee.

DEFINITIONS

Pay is defined as the regular base pay earned during the year, as accounted for by the Payroll
system. It does not include any other bonus, auto allowance, relocation reimbursements, or other
similar types of payments received by the individual.

Threshold is defined as the minimum level of achievement eligible for a bonus payment.

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Target is defined as the planned level of achievement in the annual budget.

Quantitative goals are goals based on numbers set forth in the annual budget or operations plan.
Financial goals such as IOC, EBITDA, Revenue or a Guest Satisfaction target are examples of
quantitative goals.

Qualitative goals are individual goals determined between the individual and his/her supervisor.

Department budget is the budget for the department for which the bonus eligible person is
responsible.

Maximum Bonus is defined as the highest achievable annual bonus amount and is equal to two times
the target amount.

TARGET BONUS OPPORTUNITIES

Bonus opportunities are established through a goal setting exercise for each individual’s
immediate area of responsibility. The bonus opportunities are divided into quantitative and
qualitative categories.

The qualitative component of each individual’s bonus is determined by the achievement of individual
business objectives. The weighting for achievement of business objectives varies by individual.

The individual and his/her immediate supervisor at the beginning of the year set individual
business objectives. These objectives may be revised, eliminated, or
amended by the CEO during the course of
the plan year depending on changes in business needs and conditions.
Changes to the CEO’s MBO’s must be approved by
the Compensation Committee. Each business objective is given target points that represent the
importance of the objective. The total number of target points must be 100. At the end of the
year, the supervisor rates performance toward the achievement of the business objectives by
assigning achieved points for each objective. If the objective is achieved, the assigned points
equal the target points. If the objective is not achieved, the assigned points are a percentage of
the target points. This percentage represents the degree to which the objective was completed.
The achieved points determine the bonus amount paid, subject to the minimum required performance
level.

BONUSES ABOVE TARGET

A bonus amount above the target bonus level can be earned (up to the Maximum Bonus amount) by
exceeding expectations for planned objectives and exceptional performance. An individual who
exceeded their objectives or, who achieved unexpected results by overcoming unforeseen or difficult
business conditions, can earn an additional bonus payment based on the discretion of the Executive
Committee member and with the approval of the CEO and the Compensation Committee. The amount of
the additional bonus awarded is completely discretionary within the range of payment established
for that position, without limitation by component.

Reasons for granting this additional bonus are demonstrating leadership and management ability by
exceptionally:

	 	•  	Overcoming adverse business conditions and obstacles, or foreseeing issues to
avoid problems that would have had an adverse impact on Company results.
	 
	 	•  	Enhancing La Quinta’s shareholder value.
	 
	 	•  	Achieving outstanding results.
	 
	 	•  	Acting individually or as a member of a team to complete special assignments
that are especially critical to the success of the Company.

Where possible, the above accomplishments are to be supported by measurable results.
Recommendations for an additional bonus are submitted to Executive Committee members.

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DISCRETIONARY ADJUSTMENT FACTOR

The Compensation Committee may adjust any participant’s bonus amount by up to 20% of the
actual bonus amount otherwise earned, in order to address extraordinary or unusual performance
and/or events, notwithstanding the failure to meet established bonus criteria. This is in addition
to the Committee’s ability to pay bonuses above the target level.

BONUS AWARDS

All Bonus components (i.e., quantitative and qualitative goals) are earned separately. The
awarding of any single bonus component is not contingent upon the achievement of any other bonus
component. The Executive Committee will review all bonus recommendations with approval by the CEO
prior to submission to the Compensation Committee for final approval. All bonus award recipients
and their bonus payments shall be at the complete discretion of the Compensation Committee.

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