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                                                                 EXHIBIT 10.15

                        -------------------------------
                              PATENT AND KNOW-HOW

                               LICENSE AGREEMENT
                        -------------------------------

This Agreement is entered this 08-day of June 1999 ("Effective Date") into BY
AND BETWEEN:

-      PASTEUR MERIEUX SERUMS & VACCINS, - PASTEUR MERIEUX CONNAUGHT COMPANY -,
       a company organized and existing under the laws of France having its
       registered head office at 58 avenue Leclerc, 69007 Lyon, France,

       Represented by Mr. Michel GRECO, its DIRECTEUR GENERAL,

       (hereinafter referred to as "LICENSOR")

AND

-      DRUG ABUSE SCIENCES INC a corporation existing and organized under the
       laws of the United States its registered head office at 1430 O'Brien
       Drive, suite E, Menlo Park, CA 94025

       Represented by Mr Stanley KAPLAN, its Chief Executive Officer,

       (hereinafter referred to as "LICENSEE")

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          CERTAIN INFORMATION IN THIS EXHIBIT HAS BEEN OMITTED
          AND FILED SEPARATELY WITH THE COMMISSION. CONFIDENTIAL TREATMENT
          HAS BEEN REQUESTED WITH RESPECT TO THE OMITTED PORTIONS.

                                   WITNESSETH

WHEREAS, LICENSOR has developed intellectual property, including inventions
which are the subject matter of patents and patent applications and a secret and
substantial know-how, relating to the [********] technology.

WHEREAS, LICENSEE wishes to obtain from LICENSOR a license in order to have the
right to use LICENSOR' inventions relating to the pasteurization for use with
products that are directed toward alleviation of drug addictions, and LICENSOR
is willing to grant such licenses to LICENSEE, subject to the terms of and
conditioned upon this Agreement;

NOW, THEREFORE, in consideration of the respective representations
and covenants of each of the Parties as set forth below, LICENSOR and LICENSEE,
intending to be legally bound, agree as follows

ARTICLE 1 - DEFINITIONS AND INTERPRETATION.

1.1    DEFINITIONS: For the purposes of this Agreement the following words and
       phrases shall have the following meanings:

       (a)    "AFFILIATE" means, with respect to any Person, (i) any other
              Person of which the securities or other ownership interests
              representing fifty per cent (50%) or more of the equity or fifty
              per cent (50%) or more of the ordinary voting power or fifty per
              cent (50%) or more of the general partnership interest are, at the
              time such determination is being made, owned, Controlled or held,
              directly or indirectly, by such Person (a "Subsidiary"), or (ii)
              any other Person which, at the time such determination is being
              made, is Controlling or under common Control with, such Person. As
              used herein, the term "Control", whether used as a noun or verb,
              refers to the possession, directly or indirectly, of the power to
              direct, or cause the direction of, the management or policies of a
              Person, whether through the ownership of voting securities, by
              contract or otherwise.

       (b)    "AGREEMENT" means this agreement, all amendments and supplements
              to this Agreement and all schedules to this Agreement, including
              the following:

       SCHEDULE A - LICENSED PATENTS,

       SCHEDULE B - LICENSED KNOW-HOW

       (c)    "BIOLOGICAL MATERIALS" shall mean any biological materials
              including but not limited to structural genes, genetic sequences,
              promoters, enhancers, probes, linkage probes, vectors, hosts,
              plasmids, peptides, polypeptides, transformed cell lines,
              transgenic animals, proteins, biological modifiers, antigens,
              reagents, hybridomas, antibodies, toxins, lectins, enzymes,
              lipids, hormones, viruses, cells or parts of cells, cell lines,
              fragments of any of the foregoing and any other biologically
              active material or compound, whether or not occurring naturally or
              howsoever derived, modified, conjugated, cross-linked,
              immobilized, reduced, purified or produces, whether by recombinant
              DNA techniques and/or otherwise.

       (d)    "CALENDAR QUARTER" means any of the three-month periods beginning
              January 1, April 1, July 1 and October 1 in any year.

       (e)    "CONFIDENTIAL INFORMATION" has the meaning ascribed to it in
              Section 9.1. of this Agreement.

       (f)    "EVENT OF FORCE MAJEURE" has the meaning ascribed to it in Article
              12 of this Agreement.

       (g)    "FIELD OF USE" means the treatment of drug addiction.

       (h)    "FIRST COMMERCIAL SALE" means, in each country of the Territory,
              the first sale of a PRODUCT, after obtaining the regulatory
              approvals necessary to commercially market such PRODUCT in such
              country in the Territory, by LICENSEE, its

[*] CERTAIN INFORMATION IN THIS EXHIBIT HAS BEEN OMITTED AND FILED SEPARATELY
WITH THE COMMISSION. CONFIDENTIAL TREATMENT HAS BEEN REQUESTED WITH RESPECT
TO THE OMITTED PORTIONS.

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              Affiliates or Sublicensees, to Third-Parties, in each case for use
              or consumption of such PRODUCT in such country by the general
              public.

       (i)    "IMPROVEMENTS" means all patentable or non-patentable inventions,
              discoveries, technology and information of any type whatsoever,
              including without limitation Biological Materials, methods,
              processes, technical information, knowledge, experience and
              know-how which utilize, incorporate, derive from, are based on or
              could not be conceived, developed or reduced to practice but for
              the use of the LICENSOR Technology.

       (j)    "LICENSE" has the meaning ascribed to it in Section 2.1.1. of this
              Agreement.

       (k)    "LICENSED KNOW-HOW" means any and all technical information,
              discoveries, Improvements, processes, formulae, data, engineering,
              technical and shop drawings, inventions, Biological Materials,
              shop-rights, know-how and trade secrets which is useful or
              necessary to make, have made, use or sell the PRODUCTS or to
              practice under the LICENSED PATENTS in the Field of Use, which
              have been, or hereafter are, either developed by LICENSOR or its
              Affiliates, or acquired by LICENSOR or its Affiliates and to which
              LICENSOR or its Affiliates, to the extent to which it has the
              right to do so in the Field of Use.

       (l)    "LICENSED PATENTS" means:

              (i)    any existing patents and patent applications listed in
                     Schedule A to this Agreement;

              (ii)   any future patents issued from any patent applications
                     referred to in Paragraph 1.1(1)(i) above and any future
                     patents issued from a patent application filed in any
                     country in the Territory which corresponds to a patent or
                     patent application identified in Paragraph 1.1(1)(i) above;

              (iii)  any reissues, confirmations, renewals, extensions,
                     counterparts, divisions, continuations,
                     continuations-in-part, supplemental protection certificates
                     or utility models issued, assigned or licensed to LICENSOR
                     or its Affiliates of or relating to the patents or patent
                     applications identified in Paragraph 1.1(1)(i) and (ii)
                     above

              (iv)   any future patents and patent applications covering
                     LICENSOR Improvements, solely or jointly owned by LICENSOR
                     or its Affiliates, or licensed by LICENSOR or its
                     Affiliates with the right to sublicense.

       (m)    "NET SALES" shall mean the amount actually received on sales of
              PRODUCTS by LICENSEE, and its Affiliates and Sublicensees if the
              Sublicensees are Affiliates to the first Third-Party (including
              unaffiliated Third-Party distributors, except in the circumstances
              referred to in Section 6.3 hereof less), to the extent actually
              incurred or allowed and if not already deducted in the amount
              invoiced:

[*] CERTAIN INFORMATION IN THIS EXHIBIT HAS BEEN OMITTED AND FILED SEPARATELY
WITH THE COMMISSION. CONFIDENTIAL TREATMENT HAS BEEN REQUESTED WITH RESPECT
TO THE OMITTED PORTIONS.

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              (i)    normal or customary trade and/or quantity discounts,
                     credits, allowances, rebates, returns (including, but not
                     limited to, wholesaler and retailer returns);

              (ii)   retroactive price reductions;

              (iii)  excise taxes, other consumption taxes, customs duties and
                     compulsory payments made to governmental authorities;

              (iv)   sales commissions that are actually paid to Third-Party
                     distributors and selling agents; and

              (v)    transportation, transit and insurance for transportation
                     each to the extent separately invoiced and paid by
                     LICENSEE.

       (n)    "Notice of Dispute" has the meaning ascribed to it in Section
              16.4.(a) of this Agreement.

       (o)    "PARTIES" means LICENSEE and LICENSOR, and "Party" means any one
              of them.

       (p)    "PERSON" means an individual, corporation, partnership, trust,
              business trust, association, joint stock company, pool, syndicate,
              sole proprietorship, unincorporated organization, governmental
              authority or any other form of entity not specifically listed
              herein.

       (q)    "PHASE III" means the first pivotal safety and efficacy clinical
              trial relating to a PRODUCT.

       (r)    "PRODUCTS" means the COC are produced by or under license from
              DAS, the manufacture, sale or use of such PRODUCTS which would
              have constituted a misappropriation of substantial LICENSED
              KNOW-HOW, or LICENSOR Improvements, and/or an infringement of the
              LICENSED PATENTS, but for the LICENSE granted in this Agreement.

       (s)    "ROYALTY TERM" means, with respect to the PRODUCT in each country
              in the Territory, the period starting on the date of the First
              Commercial Sale of such PRODUCT in such country and ending when
              the PRODUCT is no longer commercially sold in such country.

       (t)    "SUBLICENSEE" means any Person acting pursuant to a sublicense
              granted to it by LICENSEE under the terms of this Agreement.

       (u)    "TERRITORY" means all countries in the world.

       (v)    "THIRD-PARTY" means any Person other than LICENSEE, LICENSOR and
              their respective Affiliates..

[*] CERTAIN INFORMATION IN THIS EXHIBIT HAS BEEN OMITTED AND FILED SEPARATELY
WITH THE COMMISSION. CONFIDENTIAL TREATMENT HAS BEEN REQUESTED WITH RESPECT
TO THE OMITTED PORTIONS.

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       (w)    "VALID PATENT CLAIM" means a claim of an issued and unexpired
              patent or patent application included in LICENSED PATENTS which
              has not been held permanently revoked, unenforceable or invalid by
              a decision of a court or other governmental agency of competent
              jurisdiction, unappealable or unappealed within the time allowed
              for appeal, and which has not been admitted to be invalid or
              unenforceable through reissue or disclaimer or otherwise. If there
              should be two or more decisions within the same country which are
              conflicting with respect to the invalidity of the same claim, the
              decision of the highest tribunal shall thereafter control.
              However, should the tribunals be of equal authority, then the
              decision or decisions holding the claim valid shall prevail where
              the conflicting decisions are equal in number and the majority of
              decisions shall prevail where the conflicting decisions are not
              equal in number.

       (x)    "LICENSOR IMPROVEMENT" means Improvements which are conceived,
              developed or reduced to practice during the term of this Agreement
              solely or jointly by employees or contractors acting on behalf of
              LICENSOR or its Affiliates.

       (y)    "LICENSOR TECHNOLOGY" means the LICENSED PATENTS, the LICENSED
              KNOWHOW and the LICENSOR Improvements.

1.2 CERTAIN RULES OF INTERPRETATION IN THIS AGREEMENT AND THE SCHEDULES:

       (a)    An accounting term not otherwise defined has the meaning assigned
              to it by, and every accounting matter will be determined in
              accordance with, generally accepted accounting principles in the
              United States of America;

       (b)    Unless otherwise specified, all references to monetary amounts are
              to United States dollars currency (US$);

       (c)    The descriptive headings of Articles and Sections are inserted
              solely for convenience of reference and are not intended as
              complete or accurate descriptions of the content of such Articles
              or Sections;

       (d)    The use of words in the singular or plural, or with a particular
              gender, shall not limit the scope or exclude the application of
              any provision of this Agreement to such Person or Persons or
              circumstances as the context otherwise permits;

       (e)    Whenever a provision of this Agreement requires an approval or
              consent by a Party to this Agreement and notification of such
              approval or consent is not delivered within the applicable time
              limit, then, unless otherwise specified, the Party whose approval
              or consent is required shall be conclusively deemed to have
              granted its approval or consent;

       (f)    Unless otherwise specified, time periods within or following which
              any payment is to be made or act is to be done shall be calculated
              by excluding the day on which the period commences and including
              the day on which the period ends and by extending the period to
              the next business day following if the last day of the

[*] CERTAIN INFORMATION IN THIS EXHIBIT HAS BEEN OMITTED AND FILED SEPARATELY
WITH THE COMMISSION. CONFIDENTIAL TREATMENT HAS BEEN REQUESTED WITH RESPECT
TO THE OMITTED PORTIONS.

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              period is not a business day in the jurisdiction of the Party to
              make such payment or do such act; and

       (g)    Whenever any payment is to be made or action to be taken under
              this Agreement is required to be made or taken on a day other than
              a business day, such payment shall be made or action taken on the
              next business day following such day in the jurisdiction of the
              Party to make such payment or do such act.

ARTICLE 2 - LICENSE.

2.1    GRANT.

       Subject to and conditioned upon the provisions of this Agreement,
       LICENSOR hereby grants to LICENSEE, and LICENSEE hereby accepts, a
       license ( the "LICENSE") in the Territory to make, have made, use and
       sell PRODUCTS under the LICENSED PATENTS and by using LICENSED KNOW-HOW
       and LICENSOR Improvements in the Field of Use.

              (i)    Subject to and conditioned upon the provisions of this
                     Agreement, the LICENSE granted pursuant to this Article 3
                     shall be exclusive (exclusive even as to LICENSOR) to
                     LICENSEE in the Field of Use. Without limiting the
                     generality of the foregoing, LICENSOR covenants that during
                     the term of this Agreement, neither LICENSOR nor its
                     Affiliates shall grant to any other Person any right,
                     license or privilege to make, have made, use or sell
                     PRODUCTS or to otherwise exploit LICENSOR Technology, or
                     any other Biological Matter or chemical substance (or any
                     derivative or formulation thereof), in the Field of Use.

              (ii)   For greater certainty, LICENSOR has and retains all rights
                     in and to the LICENSOR Technology outside the Field of Use
                     and LICENSEE has no rights in the LICENSOR Technology
                     outside the Field of Use.

2.2    LICENSEE'S RIGHTS TO SUBLICENSE.

              (i)    LICENSEE shall have the right, without obtaining the
                     further consent of LICENSOR, to sublicense in the Field of
                     Use all or any portion of the rights to the LICENSED
                     PATENTS, the LICENSED KNOW-HOW and LICENSOR Improvements
                     granted to it pursuant to this Agreement under the LICENSE
                     (i) to any of its Affiliates, and (ii) to any Person in any
                     country of the Territory without PMC's prior approval to
                     any third party unless such Person is well known as being
                     actively engaged in the business of researching,
                     developing, manufacturing and marketing immunoproteins at
                     the time the sublicense is contemplated, in which case the
                     grant of the sublicense to such a third party shall be
                     subject to PMC's prior approval in writing. Such approval
                     shall only be dependent upon PMC being reasonably satisfied
                     by the provision that DAS will propose to include in the
                     sublicense to, and only to, the effect that the Licensed
                     Technology may not be used and/or exploited by the
                     prospective

[*] CERTAIN INFORMATION IN THIS EXHIBIT HAS BEEN OMITTED AND FILED SEPARATELY
WITH THE COMMISSION. CONFIDENTIAL TREATMENT HAS BEEN REQUESTED WITH RESPECT
TO THE OMITTED PORTIONS.

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                     sublicensee in the immunoproteine field. For that purpose,
                     DAS shall provide to PMC a draft along with its request.
                     PMC shall have fifteen (15) days to confirm in writing its
                     consent or state in writing the material reasons, made in
                     good faith, why such provision will not protect the
                     Licensed Technology from use as restricted in the previous
                     two sentences, in which case the parties will use their
                     best efforts to expedite negotiations of an appropriate
                     provision. PMC shall be deemed to have approved a request
                     by DAS pursuant to this Section 2.2, if PMC fails to
                     respond as provided hereunder within the fifteen (15)
                     period set forth above.

              No permitted Sublicensee pursuant hereto shall have the right to
              grant further sublicenses to any Third-Party.

              (ii)   LICENSEE agrees that all sublicenses granted by LICENSEE
                     hereunder shall expressly bind Sublicensees to the terms of
                     Article 9, "Confidentiality" and to all other relevant
                     provisions of this Agreement.

              In the event LICENSEE grants sublicenses to its Affiliates,
              LICENSEE shall pay royalties to LICENSOR as if Net Sales of the
              Sublicensees if such Sublicensees are Affiliates were Net Sales of
              LICENSEE and LICENSOR shall be expressly made a Third-Party
              beneficiary thereof.

              For all other Sublicenses to Third-Parties except for the
              standalone Sublicenses as specified herebelow, the amount of
              royalties paid by Sublicensee(s) to LICENSEE shall be included
              into the amount of Net Sales. It is understood between the
              parties, that LICENSOR will be paid by LICENSEE [***] that would
              be equivalent to what LICENSOR would have received if LICENSEE has
              been selling directly the PRODUCTS. Such percentage shall not
              exceed [***] of the amount of revenue actually received by
              LICENSEE.

              If LICENSEE grants a Sublicense to the LICENSED PATENTS to a
              third-party on a standalone basis, LICENSEE shall pay to PMC [***]
              of any incremental consideration that LICENSEE may receive from
              any Third-Party Sublicensee such as but not limited to license
              issue fees, milestone payments and royalties.

              (iii)  Any sublicenses granted by LICENSEE shall include a
                     requirement that the Sublicensee maintains records and
                     permit inspection on terms essentially identical to Section
                     6.2 hereof. At LlCENSOR's request, LICENSEE shall arrange
                     for an independent certified public accountant selected by
                     LICENSOR, and at LlCENSOR's cost, to inspect the records of
                     Sublicensees for the purpose of verifying royalties due to
                     LICENSOR and shall cause such accountant to report the
                     results thereof to LICENSOR.

              (iv)   Any sublicenses granted by LICENSEE shall provide for the
                     termination of the sublicense, or, if the Sublicensee is a
                     Third-Party, at the option of such Sublicensee, the
                     conversion to a license directly between such

[*] CERTAIN INFORMATION IN THIS EXHIBIT HAS BEEN OMITTED AND FILED SEPARATELY
WITH THE COMMISSION. CONFIDENTIAL TREATMENT HAS BEEN REQUESTED WITH RESPECT
TO THE OMITTED PORTIONS.

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                     Sublicensee and LICENSOR, upon termination of this
                     Agreement under Article 10 (other than expiration under
                     Section 10.1 or a termination by LICENSEE further to a
                     breach by LICENSOR pursuant to Section 10.4). Such
                     conversion shall be subject to LlCENSOR's approval and
                     contingent upon acceptance by the Sublicensee of the
                     remaining provisions of this Agreement.

              (vi)   LICENSEE shall notify LICENSOR of each sublicense granted
                     to Third-Parties and shall provide LICENSOR with the name
                     and address of each Sublicensee and a description of the
                     PRODUCTS and territory covered by each sublicenses.

2.3    SUBLICENSES TO LICENSEE.

       To the extent LICENSED PATENTS have been, or shall be, licensed by
       LICENSOR from a Third-Party under an agreement with such Third-Party (a
       "Third-Party Licensee), LICENSEE understands and agrees as follows:

              (i)    The rights sub-licensed to LICENSEE by LICENSOR are subject
                     to the terms and conditions, restrictions, limitations and
                     obligations of the relevant Third-Party License that are
                     imposed upon LICENSOR;

              (ii)   LICENSEE shall comply with the terms and conditions,
                     restrictions, limitations and obligations of such
                     Third-Party License(s) to the extent LICENSEE has been
                     permitted to review such terms, conditions, restrictions,
                     limitations and obligations. LICENSOR shall give LICENSEE,
                     upon request, a reasonable opportunity to review the same
                     except to the extent that confidentiality obligations
                     towards Third-Parties may prevent LICENSOR from doing so.
                     In any event, LICENSOR shall act reasonably in advising
                     LICENSEE of the scope of LICENSEE's obligations pursuant to
                     any relevant Third Party License. LICENSOR represents and
                     warrants that, on the Effective Date, there are no Third
                     Party Licenses that apply to exploitation of the LICENSOR
                     Technology.

2.4    SUBCONTRACTING.

       Notwithstanding anything herein provided for to the contrary, LICENSEE
       shall be allowed to (i) sub-contract in whole or in part PRODUCTS
       development to Third-Parties such as, without limitation, clinical
       research organizations, (ii) appoint sales agents and distributors to
       market and distribute PRODUCTS and (iii) sub-contract manufacturing of
       PRODUCTS, or any part thereof, with Third-Parties or with LICENSEE's
       Affiliates including LICENSOR acting as toll manufacturer.

2.5  DISCLOSURE OF TECHNOLOGY.

       From time to time during the term of this Agreement, LICENSOR shall
       disclose or cause its Affiliates to disclose to LICENSEE such LICENSOR
       Technology as may be reasonably necessary to enable LICENSEE to develop,
       manufacture, commercialize and

[*] CERTAIN INFORMATION IN THIS EXHIBIT HAS BEEN OMITTED AND FILED SEPARATELY
WITH THE COMMISSION. CONFIDENTIAL TREATMENT HAS BEEN REQUESTED WITH RESPECT
TO THE OMITTED PORTIONS.

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       otherwise exploit the PRODUCTS in the Field of Use on the terms and
       subject to the conditions of this Agreement. In addition, during the term
       of this Agreement, LICENSOR shall, upon LICENSEE's reasonable request and
       with adequate notice to LICENSOR, make available to LICENSEE at
       LICENSEE's or its Affiliates' manufacturing facilities or the facility of
       a Third Party manufacturer who shall have contracted with LICENSEE to
       manufacture PRODUCTS, LICENSOR's or LICENSOR Affiliate's Personnel to
       provide technical assistance to LICENSEE's Personnel, or LICENSEE
       Affiliates' Personnel or Third-Party manufacturer's Personnel. LICENSEE
       shall pay or have paid by its concerned Affiliates all reasonable travel
       costs incurred by LICENSOR or its Affiliates in connection with rendering
       such technical assistance. Such Personnel shall render such assistance at
       the facilities designated by LICENSEE for periods of not less than three
       continuous business days per visit. In addition, LICENSOR shall make it
       or its Affiliates Personnel reasonable available for telephone
       consultation, as requested by LICENSEE.

2.6  PROVISION OF RELATED ASSISTANCE.

       (i)    In support of LICENSEE'S development and commercialization of
              PRODUCTS, LICENSOR shall promptly and timely provide and prepare,
              upon reasonable request of DAS and free of charge, relevant
              sections pertaining to (i) IND, BLA, PLA and ELA supplements and
              other regulatory approvals required by the FDA and other
              Regulatory Authorities to commercially market and sell PRODUCTS to
              the public in the Territory, and, (ii) such information as
              LICENSEE or Regulatory Authorities may request in connection with
              (a) LICENSEE's preclinical studies, Phase I, II III and IV studies
              for PRODUCTS. LICENSOR shall promptly conduct such manufacturing
              process development studies (including but not limited to
              stability studies) as are reasonably requested by LICENSEE or
              required by Regulatory Authorities in order to fulfill its
              obligations under this Agreement, and to permit LICENSEE to
              expeditiously submit complete applications to obtain marketing
              (and earlier) approvals to commercially develop, market and sell
              PRODUCTS in the Territory.

       (ii)   LICENSOR represents and warrants, to the best of its knowledge,
              that the information, data and technical assistance provided to
              LICENSEE hereunder shall not contain any material fact or
              omission, and shall indemnify and hold LICENSEE harmless from any
              liability or damage (including reasonable attorneys' fees arising
              from a breach of the foregoing.)

2.7  COMMUNICATION AMONG PARTIES.

       Each of LICENSEE and LICENSOR shall appoint (a) specific individual(s)
       who shall be available and shall act as (a) liaison Person(s) to
       facilitate the day-to-day communications among the Parties. The names and
       addresses of the liaison Persons who shall act on behalf of each of the
       Parties shall be provided by each of the Parties to the other

[*] CERTAIN INFORMATION IN THIS EXHIBIT HAS BEEN OMITTED AND FILED SEPARATELY
WITH THE COMMISSION. CONFIDENTIAL TREATMENT HAS BEEN REQUESTED WITH RESPECT
TO THE OMITTED PORTIONS.

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       immediately following the execution of this Agreement. Each of LICENSEE
       and LICENSOR agrees to notify the other in accordance with the terms of
       Section 16.1 of this Agreement in the event of a change in liaison
       Person.

2.8  IDENTIFICATION OF KNOW-HOW.

       The Parties agree that all information and Biological Materials comprised
       in the LICENSED KNOW-HOW to be transferred to LICENSEE pursuant to this
       Agreement shall be so transferred in the case of written information, by
       memoranda bearing the mention "Confidential", and, in the case of
       Biological Materials, by clearly marked and numbered containers. LICENSEE
       shall designate an individual who shall be responsible for receiving
       information and Biological Materials from LICENSOR and/or its Affiliates
       and the Parties agree that such information and Biological Materials
       shall in all cases (except where the Parties agree otherwise) be sent
       solely to the attention of such individual. Upon receipt of information
       and/or Biological Materials, the designated individual shall, on behalf
       of LICENSEE, send an acknowledgement to LICENSOR and/or its Affiliates
       confirming receipt of information and/or Biological Materials. The
       Parties agree that they shall in good faith work together to establish
       and maintain a system to record the transmission of information and/or
       materials under this Agreement and make all commercially reasonable
       efforts to ensure such system is followed.

2.9  CONFIDENTIALITY.

       All information transferred pursuant to this Agreement shall be deemed to
       be "Confidential Information" in accordance with Section 9.1 hereof.

ARTICLE 3 - DEVELOPMENT AND COMMERCIALIZATION.

3.1  DEVELOPMENT AND COMMERCIALIZATION EFFORTS.

       LICENSEE shall comply with all applicable good laboratory, clinical and
       manufacturing practices in the development and commercialization of
       PRODUCTS, and shall cause its Affiliates and subcontractors to do the
       same. LICENSEE shall be solely responsible for funding all costs incurred
       by LICENSEE for the development and commercialization of each PRODUCT.

3.2  DEVELOPMENT AND COMMERCIALIZATION REPORTS.

       During the term of this Agreement, LICENSEE shall keep LICENSOR
       reasonably informed as to the progress of the development of PRODUCTS by
       notifying LICENSOR of completion of PHASE III studies for each such
       PRODUCT (to the extent such studies are commenced and completed). All
       information disclosed by LICENSEE pursuant to this Section 4.2 shall be
       treated as LICENSEE Confidential Information subject to Article 8 hereof.

[*] CERTAIN INFORMATION IN THIS EXHIBIT HAS BEEN OMITTED AND FILED SEPARATELY
WITH THE COMMISSION. CONFIDENTIAL TREATMENT HAS BEEN REQUESTED WITH RESPECT
TO THE OMITTED PORTIONS.

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ARTICLE 4 - ROYALTIES AND MILESTONES.

4.1    EARNED ROYALTIES.

       During the Royalty Term, LICENSEE shall pay to LICENSOR a royalty as
       follows:

          (i)   during the [***]

                [***] percent of Net Sales of PRODUCTS.

          (ii)  As of the [***] and until the [***]:

                [***] of Net Sales of PRODUCTS on annual NET SALES below [***];

                [***] of Net Sales of PRODUCTS on annual NET SALES above [***]

          (iii) As of the [***] following the date of First Commercial Sale:
                [***]:

                [***] of Net Sales of PRODUCTS

                As of the [***] year, LICENSEE shall pay royalties in countries
                where there is no [***]; in all other cases, the LICENSE in any
                such country shall be royalty free).

4.2    SINGLE ROYALTY: NON-ROYALTY SALES.

       In no event shall more than one royalty be payable under Section 4.1.
       with respect to a particular unit of PRODUCTS. No royalty shall be
       payable under this Section 4 with respect to sales of PRODUCTS among
       LICENSEE and its Subsidiaries or Affiliates, or among Sublicensees and
       their respective Affiliates, or among LICENSEE and its Sublicensees,
       [***]. No royalty shall be payable for (i) PRODUCTS used in clinical
       trials, or (ii) PRODUCTS used by LICENSEE, its Affiliates or
       Sublicensees, for research, (iii) customary quantities of PRODUCTS
       distributed as free samples or (iv) reasonable quantities of PRODUCTS
       disposed by LICENSEE as donations to Third-Parties.

4.3    [***].

       In those cases where LICENSEE or its Affiliates sell PRODUCTS in bulk to
       a Third-Party, [***].

4.4    ROYALTY ADJUSTMENTS.

       The royalty due hereunder shall be reduced in the following circumstances
       and in the following manner:

          (i)   Where LICENSEE is required to obtain additional rights to make,
                use or sell PRODUCTS and to pay a third party a royalty in order
                to obtain such

[*] CERTAIN INFORMATION IN THIS EXHIBIT HAS BEEN OMITTED AND FILED SEPARATELY
WITH THE COMMISSION. CONFIDENTIAL TREATMENT HAS BEEN REQUESTED WITH RESPECT
TO THE OMITTED PORTIONS.

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                rights, the royalty hereunder shall be reduced by an amount
                [***] to the third party until such time as (a) [***], or (b)
                [***].

          (ii)  At any time (and only for such time) that the sum of (a) the
                royalty due hereunder for PRODUCTS, and (b) the transfer price
                for PMC Product due LICENSOR pursuant to that certain
                Manufacturing and Supply Agreement between the Parties, dated of
                even date herewith (the "Combined Price"), [***] (referred to as
                the "Margin"), the royalty on such PRODUCT shall be suspended.
                Thereafter, LICENSEE shall not owe any royalty on PRODUCTS until
                the Combined Price is less than the Margin, and then only to the
                extent of the difference between the Combined Price and the
                Margin.

          (iii) With respect to any PRODUCTS that are not manufactured by
                LICENSOR (whether through termination of the Manufacturing and
                Supply Agreement, force majeure or otherwise), the royalty due
                for such PRODUCTS shall be [***] of the Net Sales received on
                the sales of the PRODUCTS manufactured by the Third-Party. For
                the avoidance of doubt, LICENSEE shall pay LICENSOR the
                royalties mentioned in Section 4.1 of the Net Sales received on
                the PRODUCTS manufactured by LICENSOR.

ARTICLE 5 - ROYALTY REPORTS AND ACCOUNTING.

5.1    REPORTS, EXCHANGE RATES.

       During the term of this Agreement following the First Commercial Sale,
       LICENSEE shall furnish to LICENSOR, with respect to each Calendar
       Quarter, a written report showing in reasonably specific detail, for the
       European Union, North America, and the rest of the Territory,
       respectively: (a) the gross sales of PRODUCTS sold by LICENSEE, its
       Affiliates and its Sub-licensees in the Territory during the
       corresponding Calendar Quarter and the calculation of Net Sales from such
       gross sales; (b) the royalties payable in United States dollars, if any,
       which shall have accrued hereunder based upon Net Sales of PRODUCTS; (c)
       the withholding taxes, if any, required by law to be deducted in respect
       of such royalties; (d) the date of the First Commercial Sale of PRODUCTS
       having occurred in each country in the Territory during the corresponding
       Calendar Quarter; and (e) the exchange rates used in determining the
       royalty amount expressed in United States dollars.

       With respect to sales (if any) of PRODUCTS invoiced in United States
       dollars, the gross sales, Net Sales, and royalties payable shall be
       expressed in United Sates dollars. With respect to sales of PRODUCTS
       invoiced in a currency other than United Sates dollars, the gross sales,
       Net Sales and royalties payable shall be expressed in the currency of the
       invoice issued by the Party making the sale together with the United
       States dollars equivalent of the royalty payable, calculated using the
       rate of exchange published in the Wall Street Journal for such currency
       on the last business day of the concerned Calendar Quarter. Reports and
       payments shall be due [***]. LICENSEE shall keep complete and

[*] CERTAIN INFORMATION IN THIS EXHIBIT HAS BEEN OMITTED AND FILED SEPARATELY
WITH THE COMMISSION. CONFIDENTIAL TREATMENT HAS BEEN REQUESTED WITH RESPECT
TO THE OMITTED PORTIONS.

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<PAGE>

       accurate records in sufficient detail to properly reflect all gross sales
       and Net Sales and to enable the royalties payable hereunder to be
       determined.

5.2    AUDITS.

5.2.1. Upon the written request of LICENSOR and not more than once in each
       calendar year, LICENSEE shall permit an independent certified public
       accounting firm of internationally recognized standing, selected by
       LICENSOR and reasonably acceptable to LICENSEE, at LlCENSOR's expense, to
       have access during normal business hours to such of the records of
       LICENSEE as may be reasonably necessary to [***]. The accounting firm
       shall disclose to LICENSOR only whether the records are correct or not
       and the specific details concerning any discrepancies. No other
       information shall be shared.

5.2.2. If such accounting firm concludes that additional royalties were owed
       during such period, LICENSEE shall pay the [***] LICENSOR delivers to
       LICENSEE such accounting firm's written report so concluding. The fees
       charged by such accounting firm shall be paid by LICENSOR; provided,
       however, if the audit discloses that the royalties payable by LICENSEE
       for the audited period are more than [***] actually paid for such period,
       then LICENSEE shall pay the reasonable fees and expenses charged by such
       accounting firm.

5.2.3. LICENSEE shall include in each permitted sublicense granted by it
       pursuant to the Agreement a provision requiring the SUBLICENSEE to make
       reports to LICENSEE, to keep and maintain records of sales made pursuant
       to such sublicense and to grant access to such records by LlCENSOR's
       independent accountant to the same extent required with respect to
       LICENSEE's records under this Agreement.

5.2.4. Except in the case of circumstances which would have prevented an error
       or anomaly from being disclosed during the audit hereabove mentioned,
       such as fraud or other failure to provide accurate information, upon the
       expiration of [***] following the end of any calendar year, the
       calculation of royalties payable with respect to such year shall be
       binding and conclusive upon LICENSOR, and LICENSEE, its Affiliates and
       Sublicensees shall be released from any liability or accountability with
       respect to royalties for such year.

5.3    CONFIDENTIAL FINANCIAL INFORMATION.

       LICENSOR shall treat all financial information subject to review under
       this Article 5 or under any sublicense agreement as confidential, and
       shall cause its accounting firm to retain all such financial information
       in confidence.

[*] CERTAIN INFORMATION IN THIS EXHIBIT HAS BEEN OMITTED AND FILED SEPARATELY
WITH THE COMMISSION. CONFIDENTIAL TREATMENT HAS BEEN REQUESTED WITH RESPECT
TO THE OMITTED PORTIONS.

                                       12

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ARTICLE 6 - PAYMENTS.

6.1    PAYMENT TERM.

       Royalties shown to have accrued by each royalty report provided for under
       Article 4 of this Agreement shall be due [********]. Payment of royalties
       in whole or in part may be made in advance of such due date.

6.2    PAYMENT METHOD.

       All payments by LICENSEE to LICENSOR under this Agreement shall be paid
       in United States dollars, and all such payments shall be made without
       deduction of bank transfer fees by bank wire transfer in immediately
       available funds to the following bank account:

       [********]

6.3    WITHHOLDING TAXES.

       Royalties shall be paid by LICENSEE to LICENSOR, after deduction of any
       applicable withholding taxes. Prior to any payment by LICENSEE to
       LICENSOR, LICENSEE shall provide to LICENSOR any forms required to attest
       LlCENSOR's fiscal domiciliation in order to allow LICENSEE to claim
       application of the reduced rate of withholding tax provided for in any
       applicable bilateral fiscal convention. LICENSOR shall promptly return
       such forms to LICENSEE. In the event LICENSOR fails to promptly return
       such forms duly filled and signed, LICENSEE shall declare and pay
       withholding tax at the common law rate of the applicable corporate income
       tax, and such tax shall then be deducted from the corresponding payment
       by LICENSEE to LICENSOR. LICENSEE shall pay withholding tax to the proper
       taxing authority and proof of payment of such tax shall be secured and
       sent to LICENSOR as evidence of such payment. If, in the opinion of
       either Party, the provisions of this Section become extremely burdensome,
       the Parties agree to meet and discuss such other options as may be
       available to them.

ARTICLE 7 - INVENTIONS AND PATENTS.

7.1    OWNERSHIP OF INVENTIONS.

       The entire right and title to technology, whether or not patentable, and
       any patent applications or patents based thereon, made or conceived
       during the term of this Agreement which directly relates to and are not
       severable from LICENSOR Technology and which are Improvements thereto
       and/or more generally relate to PRODUCT (a) by employees or others acting
       solely on behalf of LICENSOR or its Affiliates shall be

[*] CERTAIN INFORMATION IN THIS EXHIBIT HAS BEEN OMITTED AND FILED SEPARATELY
WITH THE COMMISSION. CONFIDENTIAL TREATMENT HAS BEEN REQUESTED WITH RESPECT
TO THE OMITTED PORTIONS.

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<PAGE>

       owned solely by LICENSOR (the LICENSOR Improvements" as more fully
       defined in Article 1 hereof), (b) by employees or others acting solely on
       behalf of LICENSEE or its Affiliates shall be owned solely by LICENSEE
       and (c) by both employees or others acting on behalf of LICENSEE or its
       Affiliates, and employees or others acting on behalf of LICENSOR and its
       Affiliates shall be jointly owned by LICENSEE and LICENSOR.

       LICENSOR and LICENSEE each hereby represents that all employees and other
       Persons acting on its behalf in performing its obligations under this
       Agreement shall be obligated under a binding written agreement to assign
       to it, or as it shall direct, all Improvements conceived or reduced to
       practice by such employees or other Persons.

7.2    PATENT PROSECUTION AND MAINTENANCE.

       LICENSED PATENTS. LICENSOR shall be responsible for and shall control the
       preparation, filing, prosecution, grant and maintenance of all LICENSED
       PATENTS. LICENSOR shall prepare, file, prosecute and maintain such
       LICENSED PATENTS in good faith consistent with its customary patent
       policy and its reasonable business judgement, and shall consider in good
       faith the interests of LICENSEE in so doing.

       JOINT INVENTIONS. As to any joint inventions made by the Parties during
       the term of this Agreement, LICENSEE shall have the first right to file
       patent applications with respect to such inventions in the name of both
       Parties. LICENSEE may elect not to file and if it does so, LICENSOR shall
       have the right to file the patent application in the name of both
       Parties. In each case regarding joint inventions, the filing Party shall
       give the non-filing Party an opportunity to review the text of the
       application before filing, shall consult with the non-filing Party with
       respect thereto and shall supply the non-filing Party with a copy of the
       applications as filed, together with notice of its filing date and serial
       number and [***] the out-of-pocket costs and expenses of the filing Party
       shall be reimbursed by the other Party. Both Parties shall keep the other
       advised of the status of actual and prospective patent application
       filings and upon request, provide advanced copies of any documents
       related to such filings and thereafter to the prosecution and maintenance
       of all patent applications and patents.

       COSTS. With respect to all filings hereunder, the filing Party shall be
       responsible for payment of all costs and expenses related to such
       filings, prosecution and maintenance, unless relieved of same pursuant to
       Section 7.3 hereinafter, and except for jointly owned patents, for which
       [***] of all such costs and expenses shall be reimbursed to the filing
       Party by the other Party.

7.3    OPTION TO PROSECUTE AND MAINTAIN PATENTS.

       LICENSOR shall give notice to LICENSEE of any intention to cease
       prosecution and/or maintenance, or not to proceed with an extension, of
       LICENSED PATENTS and, in such case, shall permit LICENSEE, at LICENSEE's
       sole discretion, to continue prosecution or maintenance or proceed with
       the extension at its own expenses. If LICENSEE elects to continue
       prosecution or maintenance or to proceed with the extension, LICENSOR
       shall execute such documents and perform such acts at LICENSEE's expense
       as may be

[*] CERTAIN INFORMATION IN THIS EXHIBIT HAS BEEN OMITTED AND FILED SEPARATELY
WITH THE COMMISSION. CONFIDENTIAL TREATMENT HAS BEEN REQUESTED WITH RESPECT
TO THE OMITTED PORTIONS.

                                       14

<PAGE>

       reasonably necessary to effect an assignment of such LICENSED PATENTS to
       LICENSEE in a timely manner, and more generally to permit LICENSEE to
       continue such prosecution and maintenance or to proceed with the
       extension. Any patents and patent applications so assigned shall not be
       considered as LICENSED PATENTS as of the date of such assignment. No
       royalties shall be payable by LICENSEE on sales of PRODUCTS covered only
       by a Valid Patent Claim of a LICENSED PATENT which has been assigned to
       LICENSEE pursuant to this Section 7.3.

7.4    INTERFERENCE, OPPOSITION, REEXAMINATION AND REISSUE.

              (i)    The Parties shall use their respective best efforts to
                     within [***] of learning of any interference, opposition,
                     reexamination or reissue event, inform the other Party of
                     any request for, or filing or declaration thereof relating
                     to LICENSED PATENTS. The Parties shall thereafter consult
                     and cooperate fully to determine the course of action with
                     respect to any such proceeding. Both Parties shall have the
                     right to review and comment on any submission to be made in
                     connection with any such proceeding.

              (ii)   LICENSOR shall not institute any reexamination or reissue
                     proceeding relating to LICENSED PATENTS without having
                     first consulted LICENSEE.

              (iii)  In connection with any interference, opposition, reissue or
                     reexamination proceeding relating to LICENSED PATENTS, the
                     Parties shall cooperate fully and shall provide each other
                     with any information or assistance that either Party may
                     reasonably request. LICENSOR shall keep LICENSEE informed
                     of developments in any such action or proceeding,
                     including, to the extent permissible, the status of any
                     settlement negotiations and the terms of any offer related
                     thereto.

              (iv)   LICENSOR shall bear the expense of any interference,
                     opposition, reexamination or reissue proceeding relating to
                     LICENSED PATENTS.

7.5    ENFORCEMENT AND DEFENSE.

              (i)    Each Party shall give the other notice of either (a) any
                     infringement of LICENSED PATENTS, or (b) any
                     misappropriation or misuse of LICENSED KNOW-HOW that has
                     come to its attention. The Parties shall thereafter consult
                     and cooperate fully to determine a course of action,
                     including but not limited to the commencement of legal
                     action by either or both Parties to terminate any
                     infringement of LICENSED PATENTS or any misappropriation or
                     misuse of LICENSED KNOW-HOW.

              (ii)   In the event that LICENSED PATENTS are infringed by any
                     Third-Party with respect to a PRODUCT in the Field of Use,
                     LICENSEE, upon notice to LICENSOR, shall for a period of
                     [***] have the first right, but not the obligation, to
                     institute and prosecute any action or proceeding under
                     LICENSED PATENTS with respect to such infringement, by
                     counsel of

[*] CERTAIN INFORMATION IN THIS EXHIBIT HAS BEEN OMITTED AND FILED SEPARATELY
WITH THE COMMISSION. CONFIDENTIAL TREATMENT HAS BEEN REQUESTED WITH RESPECT
TO THE OMITTED PORTIONS.

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<PAGE>

                     its choice, or to control the defense of any declaratory
                     judgment action arising from such infringement or from the
                     misappropriation or misuse of LICENSED KNOW-HOW, at its own
                     expense and in the name of both Parties. LICENSEE shall not
                     otherwise settle, compromise or take any action in such
                     litigation which diminish, limit or inhibit the scope,
                     validity or enforceability of LICENSED PATENTS without the
                     express permission of LICENSOR. LICENSEE shall keep
                     LICENSOR advised of the progress of such proceedings.

              (iii)  In the event that a Third-Party is infringing any LICENSED
                     PATENTS with respect to a PRODUCT in the Field of Use and
                     LICENSEE does not elect to institute an action, LICENSOR,
                     upon notice to LICENSEE, shall have the right, but not the
                     obligation, to institute and prosecute any action or
                     proceeding under LICENSED PATENTS with respect to such
                     infringement, by counsel of its choice, or to control the
                     defense of any declaratory judgment action arising from
                     such infringement or from the misappropriation or misuse of
                     LICENSED KNOW-HOW, at its own expense and in the name of
                     both Parties. LICENSOR shall not settle, compromise or take
                     any action in such litigation which diminish, limit or
                     inhibit the scope, validity or enforceability of LICENSED
                     PATENTS without the prior approval of LICENSEE, which shall
                     not be unreasonably withheld.

              (iv)   With respect to any action to terminate any infringement of
                     LICENSED PATENTS or any misappropriation or misuse of
                     LICENSED KNOW-HOW, the Parties shall cooperate fully and
                     shall provide each other with any information and
                     assistance that either Party may reasonably request. In
                     particular, either Party shall execute such documents
                     necessary for the other Party to initiate and prosecute the
                     action or proceeding and cause its Affiliates, Sublicensees
                     and LICENSEE to execute all such documents, if required. In
                     the event that either Party is unable to initiate or
                     prosecute an action solely in its own name, the other Party
                     shall then join such action voluntarily. Each Party shall
                     keep the other informed of the development of any action or
                     proceeding including, to the extent permissible by law, the
                     status of any settlement negotiations and the terms of any
                     offer related thereto.

              (v)    Any recovery obtained by either or both Parties in
                     connection with or as a result of any action or proceeding
                     contemplated by this Section 8.3, whether by settlement or
                     otherwise, shall be allocated in order as follows:

                     (a)    The Party which initiated and prosecuted the action
                            shall recoup all of its costs and expenses incurred
                            in connection with the action (provided that if
                            LICENSEE was the initiating Party and that the
                            action proceeds were not sufficient for LICENSEE to
                            recoup all its costs and expenses, then LICENSEE
                            shall be allowed to deduct the

[*] CERTAIN INFORMATION IN THIS EXHIBIT HAS BEEN OMITTED AND FILED SEPARATELY
WITH THE COMMISSION. CONFIDENTIAL TREATMENT HAS BEEN REQUESTED WITH RESPECT
TO THE OMITTED PORTIONS.

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<PAGE>

                            balance of its unrecovered costs and expenses from
                            royalties payable to LICENSOR under Article 4
                            hereof);

                     (b)    The other Party shall then, to the extent possible,
                            recover its costs and expenses incurred in
                            connection with the action; and

                     (c)    The amounts of any recovery remaining shall then be
                            allocated between the Parties with LICENSEE
                            receiving all amounts in respect of damages in the
                            Field of Use and LICENSOR receiving all amounts in
                            respect of damages out of the Field of Use, except
                            that any amounts recovered in connection with
                            infringement actions relating to jointly-owned
                            patents shall be equally shared between the Parties.

              (vi)   LICENSOR shall inform LICENSEE of any certification
                     regarding any LICENSED PATENTS it has received pursuant to
                     21 United States Code Sections355(b)(2)(A)(iv) or
                     (j)(2)(A)(vii)(lV), or any similar provision in other
                     countries, and shall provide LICENSEE with a copy of such
                     certification within [***] of receipt. Both Parties rights
                     with respect to the initiation and prosecution of any legal
                     action as a result of such certification or any recovery
                     obtained as a result of such legal action shall be as
                     defined in paragraphs (a) to (c) of this Section 7.6.

7.6    NOTICE OF PATENT EVENTS.

       LICENSOR shall promptly give notice to LICENSEE of the grant, lapse,
       revocation, surrender or invalidation of any LICENSED PATENTS.

7.7    PATENT TERM RESTORATION.

       LICENSOR shall notify LICENSEE of (a) the issuance of each U.S. patent
       included within the LICENSED PATENTS, giving the date of issue and patent
       number for each such patent, and (b) each notice pertaining to any patent
       included within the LICENSED PATENTS which it receives as patent owner
       pursuant to the United Sates Drug Price Competition and Patent Term
       Restoration Act of 1984 (hereinafter called the "Act"), including notices
       pursuant to Sections 101 and 103 of the Act from Persons who have filed a
       biological license application ("BLA") or an abbreviated new drug
       application ("ANDA"), whichever is applicable. Such notices shall be
       given promptly, but in any event within five (5) calendar days of each
       such patent's date of issue or receipt of each such notice pursuant to
       the Act, whichever is applicable. LICENSOR shall notify LICENSEE of each
       filing for patent term restoration under the Act, any allegations of
       failure to show due diligence and all awards of patent term restoration
       (extensions) with respect to the LICENSED PATENTS.

       Likewise, LICENSOR or LICENSEE, as the case may be, shall inform the
       other Party of patent extensions and periods of data exclusivity in the
       rest of the world regarding any PRODUCTS and more generally the Parties
       shall diligently cooperate with respect to any procedures for patent and
       period of data exclusivity extensions, such as but not limited to

[*] CERTAIN INFORMATION IN THIS EXHIBIT HAS BEEN OMITTED AND FILED SEPARATELY
WITH THE COMMISSION. CONFIDENTIAL TREATMENT HAS BEEN REQUESTED WITH RESPECT
TO THE OMITTED PORTIONS.

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       Supplementary Protection Certificates, the above-mentioned Patent Term
       Restoration and corresponding GATT regulations.

ARTICLE 8 - GENERAL PROVISIONS.

8.1    CONFIDENTIALITY.

       (a)    -GENERAL

       Except as expressly set forth in this Section 8, each party shall cause
       its respective Affiliates, officers, directors, employees, agents and
       subcontractors (collectively, "Representatives") to keep confidential any
       and all technical, commercial, scientific and other data, processes,
       documents or other information (whether in oral form and identified as
       confidential within 30 days after the date of disclosure, or if written
       form, if marked as "confidential" at the time of disclosure) or physical
       object (including, without limitation, intellectual property, marketing
       data, agreements between any party and a third-party, license
       applications, and business plans and projections of any party ) that have
       been marked as "confidential" at the time of disclosure) acquired from
       the other party (the "Other Party"), its Affiliates or its
       Representatives after the Effective Date ("Confidential Information"),
       and each party shall not disclose directly or indirectly, and shall cause
       its Representatives not to disclose directly or indirectly, any
       Confidential Information to anyone outside such Person, in the case of
       LICENSEE, its Sublicensees, and each of their Affiliates and their
       respective Representatives, except that the foregoing restriction shall
       not apply to any information disclosed hereunder to any party, if such
       Person (the "Receiving Person") can demonstrate that such Confidential
       Information:

              (i)    is or hereafter becomes generally available other than by
                     reason of any breach or default by the Receiving Person,
                     any of its Affiliates or any Representative of the
                     foregoing with respect to a confidentiality obligation
                     under this Agreement;

              (ii)   was already known to the Receiving Person or such affiliate
                     or Representative;

              (iii)  is disclosed to the Receiving Person or such affiliate or
                     Representative by a third party who has the right to
                     disclose such information;

              (iv)   is independently developed by the Receiving Person;

              (v)    based on such Person's good faith judgement with the advice
                     of counsel, is otherwise required to be disclosed in
                     compliance with applicable legal requirements to a public
                     authority.

       Whenever the Receiving Person becomes aware of any state of facts which
       would or might result in disclosure of Confidential Information pursuant
       to subparagraph (v) above, it shall, if possible, promptly notify the
       Person making disclosure "Disclosing Person") prior to any such
       disclosure so that the Disclosing Person may seek a protective

[*] CERTAIN INFORMATION IN THIS EXHIBIT HAS BEEN OMITTED AND FILED SEPARATELY
WITH THE COMMISSION. CONFIDENTIAL TREATMENT HAS BEEN REQUESTED WITH RESPECT
TO THE OMITTED PORTIONS.

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       order or other appropriate remedy and/or waive compliance with the
       provisions of this Agreement.

       In any event, if the Receiving Person is unable to promptly notify the
       Disclosing Person or if such protective order or other remedy is not
       obtained, or if the Disclosing Person waives compliance with the
       provisions of this Agreement, the Receiving Person will furnish only that
       portion of the information which it is advised by counsel is legally
       required and will exercise reasonable efforts to obtain assurance that
       confidential treatment will be accorded the Confidential Information.

       Each party shall be entitled, in addition to any other right or remedy it
       may have, at law or in equity, to an injunction, without the posting of
       any bond or other security except as required by the relevant laws,
       enjoining or restraining any other party from any violation or threatened
       violation of this Section 8.1.

       (b)    -USE OF CONFIDENTIAL INFORMATION

              Each party agrees that no Confidential Information shall:

              (i)    be used in its own business except as necessary to exercise
                     the rights and obligations of such Party under this
                     Agreement;

              (ii)   be assigned, licensed, sublicensed, marketed, transferred
                     or loaned, directly or indirectly to any third party other
                     than a Representative or an Affiliate Representative of
                     such party, except as necessary or contemplated for the
                     exercise of the rights and obligations of the Parties under
                     this Agreement;

              The obligations set forth in this Section 8.1 shall extend to
              copies, if any, of Confidential Information made by any
              Representatives referred to in paragraph (a) and to documents
              prepared by such Persons which embody or contain Confidential
              Information.

       (c)    -PROTECTION OF CONFIDENTIAL INFORMATION

              Each party shall deal with Confidential Information so as to
              protect it from disclosure with a degree of care not less than
              that used by it in dealing with its own information intended to
              remain exclusively within its knowledge and shall take reasonable
              steps to minimize the risk of disclosure of Confidential
              Information which shall include, without limitation, ensuring that
              only those Persons who have a bona fide need to know such
              Confidential Information for purposes permitted or contemplated by
              this Agreement shall have access thereto. Each party, shall notify
              all of its Representatives who have access to Confidential
              Information of its confidentiality and the care therefor required,
              and shall obtain from any Affiliate or any agent or subcontractor
              who is a Representative that is permitted access to such
              Confidential Information in accordance with this Section 8.1, an
              agreement of confidentiality incorporating the restrictions set
              forth herein.

[*] CERTAIN INFORMATION IN THIS EXHIBIT HAS BEEN OMITTED AND FILED SEPARATELY
WITH THE COMMISSION. CONFIDENTIAL TREATMENT HAS BEEN REQUESTED WITH RESPECT
TO THE OMITTED PORTIONS.

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<PAGE>

       (d)    -SURVIVAL OF OBLIGATIONS

              The obligations set forth in this Section 8.1 shall survive the
              termination of this Agreement for a period of [***].

       (e)    -RETURN OF CONFIDENTIAL INFORMATION

              Within thirty (30) days after the termination of this Agreement,
              the Receiving Person shall (and shall cause its Affiliates'
              Representatives and its Affiliates to) return to the Disclosing
              Person or destroy all related documents and tangible items then in
              its possession which it has received from the Disclosing Person or
              any affiliate or Representative thereof pertaining, referring or
              relating to the Disclosing Person's Confidential Information, as
              well as all copies, summaries, records, descriptions,
              modifications, and duplications that it, or any of its Affiliates
              or Representatives, has made from the documents or tangible items
              received from the Disclosing Person or any affiliate or
              Representative thereof; provided, however, that the Receiving
              Person may retain one copy of each document in its legal files
              solely to permit the Receiving Person to continue to comply with
              its obligations hereunder and, in addition, may upon notice to the
              Disclosing Person, retain in its legal files or in the office of
              outside legal counsel one copy of any document solely for use in
              any pending legal proceeding to which such document relates.
              Notwithstanding the foregoing, this provision shall not apply with
              respect to Confidential Information obtained from LICENSOR that is
              comprised of LICENSOR KNOW-HOW, in the event of expiration of the
              Agreement in accordance with its terms or termination of this
              Agreement for breach by LICENSOR.

8.2    TERM AND TERMINATION.

8.2.1. EXPIRATION.

       Unless terminated earlier pursuant to this Article 8, the Agreement shall
       expire on the expiration of LICENSEE's obligation to pay royalties under
       the Agreement in accordance with the Section 4 of this Agreement.

8.2.2. TERMINATION BY LICENSEE.

       LICENSEE shall have the right at any time, in its sole discretion, to
       terminate this Agreement, by giving not less than three (3) months prior
       written notice to LICENSOR of such termination.

8.2.3. TERMINATION FOR CAUSE.

              (i)    Either Party may terminate this Agreement, at its option,
                     upon or after the breach of any material provision of the
                     Agreement by the other Party, if such breaching Party has
                     not cured such breach within one-hundred and twenty
                     (120) days after written notice thereof from the other
                     Party.

[*] CERTAIN INFORMATION IN THIS EXHIBIT HAS BEEN OMITTED AND FILED SEPARATELY
WITH THE COMMISSION. CONFIDENTIAL TREATMENT HAS BEEN REQUESTED WITH RESPECT
TO THE OMITTED PORTIONS.

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             (ii)    LICENSEE or LICENSOR may terminate this Agreement upon
                     written notice to the other party if the other party makes
                     a general assignment for the benefit of creditors, is the
                     subject of proceedings in voluntary or involuntary
                     bankruptcy or has a receiver or trustee appointed for
                     substantially all of its property; PROVIDED that in the
                     case of an involuntary bankruptcy proceeding such right to
                     terminate shall only become effective if the other party
                     consents thereto or such proceeding is not dismissed within
                     ninety (90) days after the filing thereof.

            (iii)    Each of the parties hereto acknowledges and agrees that
                     this Agreement (i) constitutes a license of Intellectual
                     Property (as such term is defined in the United States
                     Bankruptcy Code, as amended (the "Code"), and (ii) is an
                     executory contract, with significant obligations to be
                     performed by each party hereto. The parties agree that
                     LICENSEE as LICENSEE may fully exercise all of its rights
                     and elections under the Code, including, without
                     limitation, those set forth in Section 365 (n) of the Code.
                     The parties further agree that, in the event that LICENSEE
                     elects to retain its rights as a licensee under the Code,
                     LICENSEE shall be entitled to complete access to the
                     LICENSOR Technology licensed to it hereunder and all
                     embodiments of such technology. Such embodiments of the
                     LICENSOR Technology shall be delivered to LICENSEE not
                     later than (a) the commencement of bankruptcy proceedings
                     against LICENSOR, unless LICENSOR elects to perform its
                     obligations under the Agreement, or (b) if not delivered
                     under (a) above, upon the rejection of the Agreement by or
                     on behalf of LICENSOR.

8.2.4. EFFECT OF EXPIRATION AND TERMINATION.

       Expiration or termination of the Agreement shall not relieve the Parties
       of any obligation accruing prior to such expiration or termination.

8.3    FORCE MAJEURE.

       No Party (or any of its Affiliates) shall be held liable or responsible
       to the other Party (or any of its Affiliates) nor be deemed to have
       defaulted under or breached the Agreement for failure or delay in
       fulfilling or performing any term of the Agreement when such failure or
       delay is caused by or results from causes beyond the reasonable control
       of the affected Party (or any of its Affiliates) including but not
       limited to fire, floods, embargoes, war, acts of war (whether war be
       declared or not), insurrections, riots, civil commotions, strikes,
       lockouts or other labor disturbances, acts of God or acts, omissions or
       delays in acting by any governmental authority or the other Party
       (collectively, "Events of Force Majeure"); provided, however, that the
       affected Party (i) shall immediately notify the other Party of the
       occurrence of any such Event of Force Majeure and (ii) shall exert all
       reasonable efforts to eliminate, cure or overcome any such Event of Force
       Majeure and to resume performance of its covenants with all possible
       speed; and provided, further, that nothing contained herein shall require
       any Party to settle on terms unsatisfactory to such Party any strike,
       lockout or other labor difficulty, any investigation

[*] CERTAIN INFORMATION IN THIS EXHIBIT HAS BEEN OMITTED AND FILED SEPARATELY
WITH THE COMMISSION. CONFIDENTIAL TREATMENT HAS BEEN REQUESTED WITH RESPECT
TO THE OMITTED PORTIONS.

                                       21

<PAGE>

       or proceeding by any governmental authority or any litigation by any
       Third-Party. Notwithstanding the foregoing, to the extent that an
       Event of Force Majeure continues for a period in excess of [***] the
       affected Party shall promptly notify in writing the other Party of
       such Event of Force Majeure and [***] of the other Party's receipt of
       such notice, the Parties agree to negotiate in good faith either (i)
       to resolve the Event of Force Majeure, if possible, (ii) to extend by
       mutual agreement the time period to resolve, eliminate, cure or
       overcome such Event of Force Majeure, (iii) to amend this Agreement to
       the extent reasonably 'possible, or (iv) to terminate this Agreement.

8.4    ASSIGNMENT.

       This Agreement may not be assigned or otherwise transferred, nor, except
       as expressly provided hereunder, may any right or obligations hereunder
       be assigned or transferred to any Third-Party by either Party without the
       consent of the other Party; PROVIDED, HOWEVER, that either Party may,
       without such consent, assign this Agreement and its rights and
       obligations hereunder to any of its Affiliates or in connection with the
       transfer or sale of all or substantially all of its business, or in the
       event of its merger or consolidation or change in control or similar
       transaction. Any permitted assignee shall assume all obligations of its
       assignor under this Agreement. Without limiting the generality of the
       foregoing, without the prior written consent of LICENSEE, LICENSOR shall
       not under any circumstances assign or transfer any LICENSOR Technology
       unless (i) all of the rights and obligations of LICENSOR under this
       Agreement are assigned to the same transferee(s) concurrently therewith,
       and (ii) such transferee(s) expressly assume(s) in writing the
       performance of all terms and conditions of this Agreement to be performed
       by LICENSOR and such assignment shall not relieved the assignor of any of
       its obligations under this Agreement. Each Party acknowledges that the
       other Party would suffer irreparable injury in the event of any breach of
       this Article 8 and that therefore the remedy at law for any breach or
       threatened breach hereof by any Party shall be inadequate. Accordingly,
       upon a breach or threatened breach hereof by any Party, the other Party
       shall, in addition and without prejudice to any other rights and remedies
       it may have, be entitled as a matter of right, without proof of actual
       damages, to seek specific performance hereof and to such other injunctive
       or equitable relief to enforce, or prevent any violations (whether
       anticipatory, continuing or future) hereof.

8.5    ADVERSE EXPERIENCE REPORTING.

       During the term of the Agreement, each Party shall notify the other
       immediately of any information (howsoever obtained and from whatever
       source) concerning any unexpected side effect, injury, toxicity or
       sensitivity reaction, or any unexpected incidence, and the severity
       thereof, associated with the clinical uses, studies, investigations,
       tests and marketing of a PRODUCTS. For purposes of this Section 8.5,
       "unexpected" shall mean (x) for a nonmarketed PRODUCTS, an experience
       that is not identified in nature, severity or frequency in the current
       clinical investigator's confidential information brochure, and (y) for a
       marketed PRODUCTS, an experience which is not listed in the current
       labeling for such PRODUCTS, and includes an event that may be
       symptomatically and patho-physiologically related to an event listed in
       the labeling but differs from the event because of increased frequency or
       greater severity or specificity. Each Party further shall

[*] CERTAIN INFORMATION IN THIS EXHIBIT HAS BEEN OMITTED AND FILED SEPARATELY
WITH THE COMMISSION. CONFIDENTIAL TREATMENT HAS BEEN REQUESTED WITH RESPECT
TO THE OMITTED PORTIONS.

                                       22

<PAGE>

       immediately notify the other of any information received regarding any
       threatened or pending action by an agency which may affect the safety
       and efficacy claims of a Product. Upon receipt of any such
       information, the Parties shall consult with each other in an effort to
       arrive at a mutually acceptable procedure for taking appropriate
       action; provided, however, that nothing contained herein shall be
       construed as restricting either Party's right to make a timely report
       of such matter to any government agency or take other action that it
       deems to be appropriate or required by applicable law or regulation.

8.6    SEVERABILITY.

       Each Party hereby agrees that it does not intend to violate any public
       policy, statutory or common laws, rules, regulations, treaty or decision
       of any government agency or executive body thereof of any country or
       community or association of countries. Should one or more provisions of
       this Agreement be or become invalid, the Parties hereto shall substitute,
       by mutual consent, valid provisions for such invalid provisions which
       valid provisions in their economic effect are sufficiently similar to the
       invalid provisions that it can be reasonably assumed that the Parties
       would have entered into this Agreement with such provisions. In case such
       provisions cannot be agreed upon, the invalidity of one or several
       provisions of this Agreement shall not affect the validity of this
       Agreement as a whole, unless the invalid provisions are of such essential
       importance to this Agreement that it is to be reasonably assumed that the
       Parties would not have entered into this Agreement without the invalid
       provisions.

8.7    MISCELLANEOUS.

8.7.1. NOTICES.

       Any consent, notice or report required or permitted to be given or made
       under this Agreement by one of the Parties hereto to the other shall be
       in writing, delivered Personally or by facsimile (and promptly confirmed
       by Personal delivery, first class air mail or courier), first class air
       mail or courier, postage prepaid (where applicable), addressed to such
       other Party at its address indicated below, or to such other address as
       the addressee shall have last furnished in writing to the addressor and
       (except as otherwise provided in this Agreement) shall be effective upon
       receipt by the addressee.

       IF TO LICENSOR:

       LICENSOR

       Pasteur Merieux Serums & Vaccins
       58 avenue Leclerc
       69007 Lyon, France
       Attention: General Counsel
       Telefax: 33.4.37.37.70.61
       Telephone: 33.4.37.37.01.00

[*] CERTAIN INFORMATION IN THIS EXHIBIT HAS BEEN OMITTED AND FILED SEPARATELY
WITH THE COMMISSION. CONFIDENTIAL TREATMENT HAS BEEN REQUESTED WITH RESPECT
TO THE OMITTED PORTIONS.

                                       23

<PAGE>

       IF TO LICENSEE:

       LICENSEE

       1430 O'Brien Drive, suite E,
       Menlo Park, CA 94025
       USA
       Attention: CEO
       Telefax: 650.462.1000
       Telephone: 650.462.1003

8.7.2. APPLICABLE LAW.

       The Agreement shall be governed by and construed in accordance with the
       laws of State of California without regard to the conflict of law
       principles thereof.

8.7.3. REPRESENTATIONS, WARRANTIES AND COVENANTS.

8.7.3.1 REPRESENTATIONS AND WARRANTIES OF LICENSEE.

       (a)    LICENSEE is a corporation duly organized and existing under the
              laws of the State of California, with the corporate power to own,
              lease and operate its properties and to carry on its business as
              now conducted.

       (b)    LICENSEE has all necessary corporate power and authority to enter
              into this Agreement and to consummate the transactions
              contemplated hereby.

       (c)    The execution, delivery or performance of this Agreement will not
              conflict with or result in a breach of, or entitle any party
              thereto to terminate, any material agreement or instrument to
              which LICENSEE is a party, or by which any of its assets or
              properties is bound.

       (d)    This Agreement has been duly authorized, executed and delivered by
              LICENSEE and constitutes a legal, valid and binding agreement of
              LICENSEE, enforceable against LICENSEE in accordance with its
              terms, except as enforceability may be limited by bankruptcy,
              insolvency, moratorium, reorganization or other similar laws
              affecting creditors' rights generally.

8.7.3.2 REPRESENTATIONS, WARRANTIES AND COVENANTS OF LICENSOR.

       (a)    LICENSOR is a corporation duly incorporated and validly existing
              as a corporation in good standing under the laws of France with
              the corporate power to own, lease and operate its properties and
              to carry on its business as now conducted.

       (b)    LICENSOR has all necessary corporate power and authority to enter
              into this Agreement and to consummate the transactions
              contemplated hereby.

[*] CERTAIN INFORMATION IN THIS EXHIBIT HAS BEEN OMITTED AND FILED SEPARATELY
WITH THE COMMISSION. CONFIDENTIAL TREATMENT HAS BEEN REQUESTED WITH RESPECT
TO THE OMITTED PORTIONS.

                                       24

<PAGE>

       (c)    The execution, delivery and performance of this Agreement by
              LICENSOR does not conflict with or contravene its certificate of
              incorporation or by-laws, nor will the execution, delivery or
              performance of this Agreement conflict with or result in a breach
              of, or entitle any party thereto to terminate, any agreement or
              instrument to which LICENSOR is a party, or by which any of its
              assets or properties is bound.

       (d)    This Agreement has been duly authorized, executed and delivered by
              LICENSOR and constitutes a legal, valid and binding agreement of
              LICENSOR, enforceable against LICENSOR in accordance with its
              terms, except as enforceability may be limited by bankruptcy,
              insolvency, moratorium, reorganization or other similar laws
              affecting creditors' rights generally.

       (e)    All LICENSED PATENTS listed on Schedule A as amended from time to
              time have been registered in, filed in or issued by the
              appropriate patent offices of each jurisdiction as indicated on
              such Schedule A, and in each case is currently in effect and all
              maintenance fees and renewals thereof have been duly made with
              respect thereto. LICENSOR owns or has full and exclusive rights to
              use and exploit under licenses (and to license or sublicense) all
              its rights under such LICENSED PATENTS and the LICENSED KNOW-HOW.
              There have been no material claims made against LICENSOR asserting
              the invalidity or non-enforceability of, or with respect to such
              LICENSED PATENTS, the misuse of such LICENSED PATENTS or the
              LICENSED KNOW-HOW, nor is LICENSOR aware that any such claims
              exist. LICENSOR has not received a notice of conflict of such
              LICENSED PATENTS or the LICENSED KNOW-HOW with the asserted rights
              of others, or otherwise challenging its rights to use any of such
              LICENSED PATENTS, or the LICENSED KNOW-HOW. None of the rights of
              LICENSOR under the LICENSED PATENTS or LICENSED KNOW-HOW shall be
              adversely affected by the execution, delivery or performance of
              this Agreement, or the consummation of the transaction
              contemplated herein. EXCEPT AS OTHERWISE EXPRESSLY SET FORTH IN
              THIS SECTION, NEITHER PARTY MAKES ANY REPRESENTATION OR EXTENDS
              ANY WARRANTIES OF ANY KIND EITHER EXPRESS OR IMPLIED, INCLUDING
              BUT NOT LIMITED TO WARRANTIES OF MERCHANTABILITY, FITNESS FOR A
              PARTICULAR PURPOSE, OR VALIDITY OF ANY PATENT RIGHTS PENDING.

8.7.4. DISPUTE RESOLUTION.

       Any and all disputes arising in connection with this Agreement that will
       not be solved on an amicable basis between the parties shall be finally
       settled by arbitration under the Rules of Conciliation and Arbitration of
       the International Chamber of Commerce, rules that the Parties recognize
       that they know. The arbitration shall be conducted in Paris, France, in
       English by one arbitrator if the dispute involves a claim of damage of
       and [***] appointed in accordance with the said rules. The arbitrator(s)
       shall apply French law to the merits of the case. The arbitration shall
       be final and binding upon the parties.

[*] CERTAIN INFORMATION IN THIS EXHIBIT HAS BEEN OMITTED AND FILED SEPARATELY
WITH THE COMMISSION. CONFIDENTIAL TREATMENT HAS BEEN REQUESTED WITH RESPECT
TO THE OMITTED PORTIONS.

                                       25

<PAGE>

       in the event of a dispute regarding any payments owing under this
       Agreement, all undisputed Agreements shall be paid when due and the
       balance, if any, promptly after resolution of the dispute.

8.7.5. ENTIRE AGREEMENT.

       This Agreement contains the entire understanding of the Parties with
       respect to the subject matter hereof. All express or implied agreements
       and understandings, either oral or written, heretofore made, including
       but not limited to Option Agreements to the extent, but only to the
       extent, they are inconsistent with any provisions of this Agreement (in
       which case the relevant provision of this Agreement shall prevail) are
       expressly superseded by this Agreement. This Agreement may be amended, or
       any term hereof modified, only by a written instrument duly executed by
       both Parties hereto.

8.7.6. INDEPENDENT CONTRACTORS.

       LICENSOR and LICENSEE each acknowledge that they shall be independent
       contractors and that the relationship between the two Parties shall not
       constitute a partnership, joint venture or agency. Neither LICENSOR nor
       LICENSEE shall have the authority to make any statements, representations
       or commitments of any kind, or to take any action, which shall be binding
       on the other Party, the prior consent of the other Party to do so.

8.7.7. AFFILIATES.

       Each Party shall cause its respective Affiliates to comply fully with the
       provisions of this Agreement to the extent such provisions specifically
       relate to, or are intended to specifically relate to, such Affiliates, as
       though such Affiliates were expressly named as joint obligors hereunder.

8.7.8. WAIVER.

       The waiver by either Party hereto of any right hereunder or the failure
       to perform or of a breach by the other Party shall not be deemed a waiver
       of any other right hereunder or of any other breach or failure by said
       other Party whether of a similar nature or otherwise.

8.7.9. NO IMPLIED LICENSE.

       Nothing in this Agreement shall be deemed to constitute, by implication
       or otherwise, the grant by LICENSEE to LICENSOR, or by LICENSOR to
       LICENSEE, of any license to, or interest in, or other rights under any
       patent, patent application, proprietary know-how, trade secrets or other
       intellectual property rights owned or possessed by LICENSEE or LICENSOR,
       whichever is applicable, except as expressly provided for herein. For the
       avoidance of doubt, LICENSEE shall at all times own all right, title and
       interest in and to COC ab and all intellectual and industrial property
       rights relating thereto, in whatever form and however derived or
       modified, and LICENSOR shall make any assignments necessary from time to
       time to effect such ownership.

[*] CERTAIN INFORMATION IN THIS EXHIBIT HAS BEEN OMITTED AND FILED SEPARATELY
WITH THE COMMISSION. CONFIDENTIAL TREATMENT HAS BEEN REQUESTED WITH RESPECT
TO THE OMITTED PORTIONS.

                                       26

<PAGE>

8.7.10. LIABILITY LIMITATION.

       In no event shall either party be liable with respect to any subject
       matter of this agreement under any contract, negligence, strict liability
       or other legal or equitable theory for any incidental or consequential
       damages, lost profits or lost data.

8.7.11. COUNTERPARTS.

       This Agreement may be executed in two or more counterparts, each of which
       shall be deemed an original, but all of which together shall constitute
       one and the same instrument.

[*] CERTAIN INFORMATION IN THIS EXHIBIT HAS BEEN OMITTED AND FILED SEPARATELY
WITH THE COMMISSION. CONFIDENTIAL TREATMENT HAS BEEN REQUESTED WITH RESPECT
TO THE OMITTED PORTIONS.

                                       27

<PAGE>

IN WITNESS WHEREOF, the Parties have executed this Agreement as of the date
first set forth above.

For LICENSOR.

By: /s/ Michel Greco
   -------------------------------
Name:  Michel GRECO
Title: DIRECTEUR GENERAL

For LICENSEE.

By: /s/ Stanley Kaplan
   -------------------------------
Name:  Stanley KAPLAN
Title:  CEO & President

[*] CERTAIN INFORMATION IN THIS EXHIBIT HAS BEEN OMITTED AND FILED SEPARATELY
WITH THE COMMISSION. CONFIDENTIAL TREATMENT HAS BEEN REQUESTED WITH RESPECT
TO THE OMITTED PORTIONS.

                                       28

<PAGE>

--------------------------------------------------------------------------------
                                   SCHEDULE A
--------------------------------------------------------------------------------

                                LICENSED PATENTS

US Patent nDEG. 5.234.991 of August 10, 1993 "POROUS MINERAL SUPPORT COATED
WITH AN ANIMATED POLYSACCHARIDE POLYMER

US Patent nDEG. 4.849.508 of July 18, 1989 "PASTEURIZATION OF IMMUNOGLOBULIN
SOLUTIONS"

[*] CERTAIN INFORMATION IN THIS EXHIBIT HAS BEEN OMITTED AND FILED SEPARATELY
WITH THE COMMISSION. CONFIDENTIAL TREATMENT HAS BEEN REQUESTED WITH RESPECT
TO THE OMITTED PORTIONS.

                                       29

<PAGE>

--------------------------------------------------------------------------------
                                   SCHEDULE B
--------------------------------------------------------------------------------

                               LICENSED KNOW-HOW

[***]
[***]
[***]

[*] CERTAIN INFORMATION IN THIS EXHIBIT HAS BEEN OMITTED AND FILED SEPARATELY
WITH THE COMMISSION. CONFIDENTIAL TREATMENT HAS BEEN REQUESTED WITH RESPECT
TO THE OMITTED PORTIONS.

                                       30<PAGE>

                                                                  EXHIBIT 10.16

                   ------------------------------------------
                       MANUFACTURING AND SUPPLY AGREEMENT

                              COC AB FAB'2 SOLUTION
                   ------------------------------------------

This Agreement is entered into as of 08 June 1999 by and between

-    PASTEUR MERIEUX SERUMS & VACCINS, a PASTEUR MERIEUX CONNAUGHT company,
     SOCIETE ANONYME, existing and organized under the laws of the Republic of
     France, having its registered head office at 58, avenue Leclerc, 69007,
     LYON, FRANCE, which capital is 1.698.859.000 FRF, which registered number
     in LYON is B 349 505 370

     Represented by Mr. Michel GRECO, acting as Directeur General.

     (hereinafter referred to as "PMC")

                                                              OF THE FIRST PART,

AND :

-    DRUG ABUSE SCIENCES SA a corporation existing and organized under the laws
     of France having its registered head office at, 2 rue de Crucy, 44000
     Nantes, France.

     Represented by Mrs Maryvonne HIANCE, President,

And

-    DRUG ABUSE SCIENCES INC a corporation existing and organized under the laws
     of the United States its registered head office at 1430 O'Brien Drive,
     Suite E, Menlo Park CA 94025,

     Represented by Mr Stanley Kaplan, its Chief Executive Officer,

     (hereinafter collectively referred to as "DAS")

                                                             OF THE SECOND PART,
<PAGE>

          CERTAIN INFORMATION IN THIS EXHIBIT HAS BEEN OMITTED
          AND FILED SEPARATELY WITH THE COMMISSION. CONFIDENTIAL TREATMENT
          HAS BEEN REQUESTED WITH RESPECT TO THE OMITTED PORTIONS.

                                   WITNESSETH

                  WHEREAS, DAS is a specialty pharmaceutical company dedicated
to drug addiction care applying a disease approach to the treatment of
substance abuse.

                  WHEREAS, PASTEUR MERIEUX Serums & Vaccins is a leading
manufacturer of human vaccines and other related immunological products for
prevention, treatment and cure of diseases in human beings and has extensive
world-wide research, development, manufacturing and marketing operations in
that field and has developed a certain know-how in the Fab'2 technology.

                  WHEREAS, DAS has approached PMC in to manufacture and supply
for DAS a product manufactured according to the Fab'2 technology.

                  NOW, THEREFORE, the parties hereto agree as follows:

                                    ARTICLE 1

                                   DEFINITIONS

                  1.1 "ADDITIONAL EQUIPMENT" shall mean any and all equipment,
other than the Equipment required for the manufacturing of the Equine Plasma
which shall be purchased by PMC pursuant to an Approved Proposal contemplated
in Article 11 herein.

                  1.2 "ADDITIONAL EQUIPMENT COSTS" shall mean the cost of
Additional Equipment.

                  1.3 "COMMERCIAL PERIOD" shall mean the period beginning on
the date of First Commercial Sale and continuing throughout the term of this
Agreement.

                  1.4 "IDAS CERTIFICATE" shall mean the certificate
accompanying the Immunogen provided by DAS to PMC pursuant to Article 3.3 of
this Agreement. A model of a DAS Certificate is attached to this Agreement as
Exhibit 4.

                  1.5 "IDAS PRODUCT" shall mean the COC ab produced by DAS.

                  1.6 "IDAS SPECIFICATIONS" shall mean the specifications
relating to the production of the PMC Product for use as an active ingredient
in the DAS Product, as more particularly described in Exhibit 3 hereto, which
are the sole and exclusive property of DAS.

                  1.7 "DEVELOPMENT PERIOD" shall mean the period beginning on
the Effective Date and ending on the date of First Commercial Sale of the DAS
Product, which period includes the preclinical and clinical phases.

                  1.8 "EFFECTIVE DATE" shall mean the date of execution of this
Agreement.

                  1.9 "EQUIPMENT" shall mean any and all equipment located at
the PMC Facilities and required for the manufacturing of the Equine Plasma at
the Effective Date.

                  1.10 "FIRST COMMERCIAL SALE" shall mean the first sale of a
DAS Product, after obtaining the regulatory approvals necessary to commercially
market (whether under Biological License Application or an the orphan drug
status) such DAS Product by DAS to third-parties, in each case for use or
consumption of such DAS Product by the general public.

                  1.11 "IMMUNOGEN" shall mean the [********]

                  1.12 "LABORATORY" shall mean the laboratory jointly by the
parties to resolve a Product quality dispute as described in Article 13
hereunder and the name of which is mentioned in Exhibit 7 hereto.

[*] CERTAIN INFORMATION IN THIS EXHIBIT HAS BEEN OMITTED AND FILED SEPARATELY
WITH THE COMMISSION. CONFIDENTIAL TREATMENT HAS BEEN REQUESTED WITH RESPECT
TO THE OMITTED PORTIONS.

                                       1

<PAGE>

                  1.13 "MANUFACTURING ORDER" shall mean an order for PMC
Product placed by DAS, a model of which is attached as Exhibit 6 of this
Agreement.

                  1.14     "PARTY" shall mean PMC or DAS.

                  1.15 "PMC PRODUCT" shall mean [********]

                  1.16 "PMC FACILITIES" shall mean, as applicable, the facility
in which the PMC Product is manufactured, purified, stored and at which quality
control procedures are effected. The names and addresses of the PMC Facilities
are specified in Exhibit 1 hereto.

                  1.17 "PMC SOP" shall mean the procedures describing (or
otherwise called in French "CAHIER DES CHARGES") the manufacturing and testing
of the PMC Product and set forth in Exhibit 3 hereto which are PMC's sole and
exclusive property

                  1.18 "PMC CERTIFICATE" shall mean the certificate issued by
PMC at delivery of the PMC Product. A model of a PMC Certificate is attached to
this Agreement as Exhibit 5.

                  1.19 "PROTOCOL" shall mean the Protocol relating to the COC
ab Protocol mutually agreed upon between the parties required for the
manufacturing of the PMC Product and attached hereto as Exhibit 2.

                  1.20 "REGULATORY AUTHORITY" shall mean (i) with respect to
the United States, the United States Food and Drug Administration or such other
agency or instrumentality of the United States to which the responsibilities
and authority of the FDA are given or delegated from time to time, (ii) with
respect to France, the Agence du Medicament, or such other agency or
instrumentality of France to which the responsibilities and authority of the
Agence du Medicament are given or delegated from time to time, (iii) with
respect to the European Union, the Agence Europeenne du Medicament and (iv)
with respect to each other jurisdiction, the agencies or instrumentalities of
such jurisdiction having substantially the same responsibilities and authority
of the Agence du Medicament.

                                    ARTICLE 2

                            PURPOSE OF THE AGREEMENT

                  Subject to the terms and conditions set forth in this
Agreement, DAS hereby appoints PMC, who accepts, as an exclusive manufacturer
and supplier of the PMC Product according to the Protocol, DAS Specifications
and PMC SOPs. [***].

                                    ARTICLE 3

                     MANUFACTURING AND SUPPLY OF PMC PRODUCT

                  3.1 DESCRIPTION OF PMC PRODUCT. Subject to the terms and
conditions of this Agreement and in particular, capacity limitation set forth
in the last sentence of Article 4.4, PMC agrees to manufacture and supply to
DAS, who accepts to purchase, subject to the terms and conditions of this
Agreement, exclusively from PMC, the PMC Product that is produced as bulk
active ingredient and in compliance with the Manufacturing Orders placed by DAS
in accordance with this Agreement.

                  The manufacturing, packaging and labeling of the PMC Product
shall be in accordance with DAS Specifications.

                  3.2 RESTRICTIONS. PMC agrees to manufacture and supply the
PMC Product (and any other anti-cocaine immunoglobulin derivatives) [***].

                  3.3 TRANSFER OF IMMUNOGEN. DAS agrees to provide free of
charge to PMC the Immunogen in reasonable sufficient quantities for PMC to
manufacture quantities of PMC Product according to the annual forecast

[*] CERTAIN INFORMATION IN THIS EXHIBIT HAS BEEN OMITTED AND FILED SEPARATELY
WITH THE COMMISSION. CONFIDENTIAL TREATMENT HAS BEEN REQUESTED WITH RESPECT
TO THE OMITTED PORTIONS.

                                       2
<PAGE>

by DAS. PMC shall not be held liable by DAS in the event the Immunogen is not
provided to PMC in the required quantities and timelines. Each quantity of
Immunogen shall be delivered to PMC with a DAS Certificate without which PMC
shall not process such quantity Immunogen. DAS shall advise PMC in advance in a
timely manner of any planned change or modification of the manufacturing
process of the Immunogen, in order to permit PMC to assess the impact, if any,
on the manufacturing of the PMC Product and PMC shall not be held liable in the
event of a change or modification of the process of the Immunogen.

                  At the beginning of each calendar year, PMC shall provide DAS
with a non-binding immunization schedule which shall be coherent with the
non-binding forecast in order to permit DAS to prepare the Immunogen in
sufficient amounts to insure its availability during this Agreement. DAS shall
promptly inform PMC of any event or problem which could have an impact on the
preparation by DAS of the Immunogen.

                  PMC agrees to use the Immunogen only for the purpose of
manufacturing PMC Product on behalf of DAS.

                  3.4 PMC FACILITIES. PMC Product shall be manufactured in the
PMC Facilities unless otherwise mutually agreed by the parties in advance in
writing.

                  For the purposes of manufacturing PMC Product for use in the
DAS Product, PMC shall maintain the PMC Facilities in compliance with
requirements of applicable Regulatory Authority. In the event that the
applicable Regulatory Authorities require any modifications to the PMC
Facilities for such purposes, PMC shall use all diligent efforts to make such
modifications as soon as possible in accordance with Article 12 hereunder.

                  3.5 PMC SOPS. The PMC SOPs listed in Exhibit 3 are PMC's sole
and entire property and can be updated or amended by PMC at any moment provided
that if such update or amendment (i) does not affect production or distribution
of the DAS Product, then PMC shall notify DAS in advance with thirty-days prior
notice, (ii) could affect the production or distribution of the DAS Product and
such change is not mandated by a Regulatory Authority, then PMC shall obtain
DAS's prior written consent, and (iii) could affect the production or
distribution of the DAS Product and such change is mandated by a Regulatory
Authority, PMC shall inform DAS as soon as possible and the parties shall work
in good faith to affect such change in a manner that least disrupts production
or distribution of the DAS Product.

                                    ARTICLE 4

                       FORECASTS AND MANUFACTURING ORDERS

                  4.1      FORECASTS.

                           4.1.1 FORECAST DURING DEVELOPMENT PERIOD: The
Parties have agreed upon a forecast of DAS expected requirements of the PMC
Product during the Development Period attached hereto as Exhibit 8. In the
event that DAS reasonably believes that the Development Period may exceed the
period set forth in Exhibit 8, or that it may require during the Development
Period quantities of PMC Product in excess of those set forth in Exhibit 8, it
shall advise PMC in writing and the parties shall update the forecast to
include such increased [***] days after receipt of such notice by PMC. Should
the increase of total quantities of PMC Product [***] of the amount mentioned
in the forecast, the parties shall discuss in good faith the planning of
delivery of such PMC Products in excess.

                           4.1.2 FORECAST DURING COMMERCIAL PERIOD: During the
year preceding the expected launch of the DAS Product, DAS shall provide within
reasonable time a non-binding forecast of the quantities of PMC Product to be
manufactured on a [***]. This forecast shall be updated by DAS at each year
end, for the following Year 2 and 3, it being understood that all the forecasts
provided by DAS shall be non binding. Within a reasonable period of time
thereafter, PMC shall provide DAS with its proposed immunization schedule for
such period. This non-binding immunization schedule shall be updated by PMC at
each year end, and at such times as DAS's forecasts are adjusted, for the
following two years.

                  4.2      MANUFACTURING ORDER. At each year end, the parties
shall meet in order to discuss the imminent Manufacturing Orders, immunization
schedule and non-binding forecast modification for the following two years. DAS
shall at least [***] before the date upon which it desires that any shipment of
PMC Product be delivered to it, place a Manufacturing Order in writing with
respect to such shipment. All Manufacturing Orders shall be binding on the
parties when received by PMC.

[*] CERTAIN INFORMATION IN THIS EXHIBIT HAS BEEN OMITTED AND FILED SEPARATELY
WITH THE COMMISSION. CONFIDENTIAL TREATMENT HAS BEEN REQUESTED WITH RESPECT
TO THE OMITTED PORTIONS.

                                       3

<PAGE>

                  More precisely, DAS shall provide PMC with a Manufacturing
Order for the immunization of horses and the transformation of the equine
plasma within the following dates:

                  (I)      In January of each year, DAS shall provide its
                           Manufacturing Orders for delivery of PMC Product
                           during the third calendar quarter of such year;

                  (II)     In April of each year, DAS shall provide its
                           Manufacturing Orders for deliver, of PMC Product
                           during the fourth calendar quarter of such year,

                  (III)    In July of each year, DAS shall provide its
                           Manufacturing Orders for delivery of PMC Product
                           during the first calendar quarter of the next year;
                           and

                  (IV)     In October of each year, DAS shall provide its
                           Manufacturing Orders for delivery of PMC Product
                           during the second calendar quarter of the next year

                  The models of a Manufacturing Order attached in Exhibit 6
cannot be amended by either party unless mutually agreed between the parties.

                  4.3 INCREASE OF NON-BINDING FORECAST. PMC shall use
commercially reasonable efforts but have no obligation to supply quantities of
PMC Product for Manufacturing Orders that exceed in the second year after [***]
of the aggregate quantities ordered under Manufacturing Orders from the
previous calendar year, and [***] of the aggregate quantities ordered under
Manufacturing Orders from the previous calendar year. In any case, in the event
of [***]amount (as applicable) ordered in the prior year, PMC shall have a [***]
 . Notwithstanding the foregoing, the parties acknowledge and agree that the
maximum capacity of PMC Facilities of the production of PMC Product is limited
to the greater of [***].

                  4.4 FORECASTS AND MANUFACTURING ORDERS IN EXCESS OF CAPACITY.
In the event that Manufacturing Orders or forecasts are likely to require more
than the number of Batches or quantity of PMC Product per year described in
Section 4.3 above, then the Parties shall meet and confer in good faith in
order to discuss an increase capacity at the PMC Facilities, or if such an
increase is not feasible both technically and financially to PMC and DAS, (i)
increase capacity at the PMC Facilities, or if such an increase is not feasible
both technically and financially to PMC and DAS, (ii) use commercially
reasonable efforts to assist DAS to obtain a second source, and PMC shall use
reasonable efforts to assist DAS to implement such second source (including
transfer of the PMC SOPs for use by such second source) to manufacture PMC
Product.

                                    ARTICLE 5

                       TIMELY MANUFACTURING OF PMC PRODUCT

                  PMC undertakes to use all diligent efforts to manufacture and
supply DAS with PMC Product in a timely manner, and in full accordance with the
Manufacturing Orders and this Agreement. For information purposes, a non
binding guideline on the time period for the manufacturing of the PMC Product
is specified in Exhibit 9 hereto.

                                    ARTICLE 6

                             SHIPPING AND RECEPTION

                          ACCEPTANCE OF THE PMC PRODUCT

                  6.1 SHIPPING. PMC shall deliver the PMC Product to DAS ex
works at PMC's Facilities at Marcy L'Etoile (France). DAS shall be in charge of
the transportation and insurance of the PMC Product upon delivery of the PMC
Product to DAS.

                  6.2 DEFECTIVE SHIPMENTS; REMEDIES. In the event that any PMC
Product supplied by PMC fails to conform to the Protocol at delivery, the
parties shall meet and PMC shall at DAS's option either use its best efforts to
replace it as promptly as possible, taking into account the time required to
manufacture quantities of PMC Product, or issue a refund therefor. In the event
that the parties cannot mutually agree on the fact that the PMC Product fails
to perform the Protocol, then the parties shall refer to the quality dispute
procedure described in Article 13 of this Agreement.

[*] CERTAIN INFORMATION IN THIS EXHIBIT HAS BEEN OMITTED AND FILED SEPARATELY
WITH THE COMMISSION. CONFIDENTIAL TREATMENT HAS BEEN REQUESTED WITH RESPECT
TO THE OMITTED PORTIONS.

                                       4

<PAGE>

                           6.2.1 PRODUCTION RECORDS. PMC agrees to maintain
records in accordance with the applicable rules and regulations relative to the
PMC Facilities, materials used in the PMC Product and batch processing thereof
for a period of not less than five (5) years after the date of manufacture of
the applicable batch of the PMC Product. Upon DAS's request with a seven (7)
business days notice and at DAS's expense, PMC shall permit DAS and/or an
independent auditor selected by DAS to have access to such records from time to
time during ordinary business hours to verify compliance by PMC with such rules
and regulations.

                  6.3 PMC CERTIFICATE. PMC will provide DAS with the PMC
Certificate and any other documents required by a Regulatory Authority and that
PMC may reasonably provide relating to the PMC Product to enable DAS to conform
to regulatory requirements.

                                    ARTICLE 7

                             TITLE AND RISK OF LOSS

                  Title to the PMC Product shall at all times remain with DAS.
Risk of loss to each shipment of PMC Product shall pass to DAS upon its
transfer by PMC to the common carrier as specified in Article 6.1 hereabove.

                                    ARTICLE 8

                       WARRANTY, DISCLAIMER AND INSURANCE

                  8.1 WARRANTY. PMC warrants that all PMC Product delivered to
DAS:

-        will have been manufactured in compliance with Good Manufacturing
         Practices, in a GMP facility and in compliance any applicable
         regulations relating to the supply of the PMC Product as a raw material
         for producing DAS Product and in accordance with appropriate rules and
         regulations and regulatory guideline for each stage of production;

-        will have been manufactured, packaged, labeled and shipped in
         compliance with DAS specifications;

-        shall conform to the Protocol, DAS Specifications and PMC SOPs.

                  8.2 DISCLAIMER. PMC hereby disclaims any other warranties,
express or implied, including warranties as to its merchantability or fitness
for any particular purpose.

                                    ARTICLE 9

                                  COORDINATION

                  In order to coordinate the Services, the parties have decided
to create a Manufacturing Coordinating Committee as follows:

                  9.1 MEMBERS OF THE MANUFACTURING COORDINATING COMMITTEE

                  The parties have agreed to appoint 2 people of their
organization on the Manufacturing Coordinating Committee which are:

                  -        For PMC

-        A pharmaceutical Affairs representative

-        A qualified Industrial Operation Department Representative

                  -        FOR DAS

-        President of DAS SA or one of its designated persons

[*] CERTAIN INFORMATION IN THIS EXHIBIT HAS BEEN OMITTED AND FILED SEPARATELY
WITH THE COMMISSION. CONFIDENTIAL TREATMENT HAS BEEN REQUESTED WITH RESPECT
TO THE OMITTED PORTIONS.

                                       5

<PAGE>

-        CEO of DAS Inc or one of its designated persons

                  Internal or external expert may from time to time assist the
Manufacturing Coordinating Committee meetings according to the agenda of such
meeting at the request of one of the party which will inform the other party
within a reasonable delay before the date of the meeting in order to obtain its
approval.

                  9.2 OBJECTIVE OF THE MANUFACTURING COORDINATING COMMITTEE

                  The purpose of the Manufacturing Coordinating Committee shall
be to review the Manufacturing of PMC Product at a high quality and in a timely
manner, discuss annual forecasts for PMC Products and any possible adjustments
to the forecast that may be proposed by one of the parties from time to time,
and such other matters as the parties may mutually agree.

                  9.3 FUNCTIONING

                  The Manufacturing Coordinating Committee shall meet regularly
at least once each calendar quarter at Marcy-L'Etoile facilities or another
location mutually agreed upon by the Parties. The Manufacturing Coordinating
Committee may take action only by the unanimous written consent of the Parties
(all the members of the Manufacturing Coordinating Committee of one Party
representing one voting right). The minutes of the meetings shall be signed by
each party, each party keeping one copy.

                  If an issue remains unresolved after consideration by the
Manufacturing Coordinating Committee, the Manufacturing Coordinating Committee
may escalate it to the chief executive officers of the parties for resolution.

                                   ARTICLE 10

                                PRICE AND PAYMENT

                  10.1 PRICE.

                          The price of the PMC Product is set at the Effective
Date :

                  [***] per gram of PMC Product.

This Price [***].

                  10.2 PAYMENT. PMC shall invoice DAS for any batch of PMC
Product upon delivery of the same as specified hereunder. [***] after the date
of the corresponding invoice. No PMC Product shall be delivered prior to the
delivery date set forth on the applicable Manufacturing Order. Payments shall be
remitted by wire transfer in the invoice currency to a bank account to be
designated in writing from time to time by PMC.

                  [***] (and are not subject to a good faith dispute between the
parties) shall bear interest on the outstanding amount of [***].

                  10.3 ADDITIONAL EQUIPMENT COSTS. DAS shall pay PMC the
Equipment Costs as specified in Article 11 hereunder.

                                   ARTICLE 11

                       ACQUISITION OF ADDITIONAL EQUIPMENT

                  11.1 GENERAL. The Parties recognize that the acquisition of
Additional Equipment for manufacturing of PMC Product may be necessary to
supply DAS's future requirements of PMC Product that exceed [***] Batches of
PMC Product per year. The Parties contemplate that PMC's existing equipment
shall continue to be employed to supply PMC Product and that PMC may, upon
payment of the sums required by this Agreement and provided the relevant terms
and conditions of this Agreement are met, embark upon a program to acquire and
install Additional Equipment designed to meet any unexpected supply forecasts
of DAS in excess of [***] Batches of PMC Product at the PMC Facilities.

[*] CERTAIN INFORMATION IN THIS EXHIBIT HAS BEEN OMITTED AND FILED SEPARATELY
WITH THE COMMISSION. CONFIDENTIAL TREATMENT HAS BEEN REQUESTED WITH RESPECT
TO THE OMITTED PORTIONS.

                                       6

<PAGE>

                  11.2 ADDITIONAL EQUIPMENT PROPOSAL PROCEDURE.

                           11.2.1   PROPOSAL

                  In the event the Parties determine in writing that Additional
Equipment is required to be purchased during the Term of this Agreement to
supply DAS's future requirements of PMC Product, PMC shall, within thirty (30)
days after each such determination, prepare and deliver to DAS a proposal for
the purchase and installation of such Additional Equipment (a "Proposal"). Each
Proposal shall include a detailed statement of all Additional Equipment Costs,
the schedule of required payments of such Additional Equipment Costs.

                           11.2.2   APPROVAL OF PROPOSAL

                  Upon DAS's receipt of each Proposal, DAS shall review the
Proposal and shall notify PMC promptly of any respects in which such Proposal is
not satisfactory. The Parties shall thereafter enter into discussions to resolve
any remaining differences and shall revise such Proposal accordingly. If and
when the Parties mutually agree in writing to proceed under such Proposal, such
Proposal shall be an Approved Proposal. for purposes of this Agreement. If the
Parties do not mutually agree to proceed under such Proposal, DAS shall accept
continued performance by PMC using PMC's existing capacity.

                  11.3 REIMBURSEMENT OF ADDITIONAL EQUIPMENT COSTS. Since PMC
would not, in the absence of this Agreement, undertake to acquire Additional
Equipment specified in an Approved Proposal, the Parties hereby acknowledge that
PMC requires certain undertakings from DAS concerning reimbursement of any
Additional Equipment Costs incurred by PMC. Accordingly, DAS agrees that all
Additional Equipment Costs incurred by PMC shall be reimbursed by DAS in
accordance with the mechanism established in Exhibit 8.

                  11.4 CANCELLATION BY DAS OF APPROVED PROPOSALS. PMC hereby
acknowledges that DAS shall have the right to cancel any Approved Proposal at
any time prior to the beginning of execution of the Approved Proposal by PMC.

                  11.5 LOSS OR DESTRUCTION OF EQUIPMENT OR PMC FACILITIES. In
the event that any of PMC's Facilities or Equipment used, or to be used, for the
production of the PMC Product is destroyed or incapacitated by fire or other
events beyond the control of PMC, PMC hereby agrees, at its expense, to use all
best efforts to provide alternative means of supplying in a timely fashion as
much of DAS requirements for PMC Product as soon as possible, and to use its
best efforts in order to commence rebuilding or restoring such facilities to
full capacity and/or replacing damaged Equipment. PMC also hereby agrees to
maintain at all times during the term of this Agreement, at its own expense,
applicable insurance against the losses described in this Article 11.5. Upon
written request, PMC shall furnish DAS with satisfactory evidence of such
insurance coverage.

                  11.6 OWNERSHIP OF ADDITIONAL EQUIPMENT. DAS hereby
acknowledges that all Additional Equipment once installed are and shall be the
property of DAS, and shall be held by PMC as DAS's bailee, and all rights of
title and ownership shall vest in DAS. Upon termination of this Agreement, PMC
shall arrange for the transfer of such equipment to DAS or its designee upon one
hundred and twenty (120) days prior written notice.

                  11.7 USE OF ADDITIONAL EQUIPMENT FOR OTHER PURPOSES. In the
event that PMC desires to use the Additional Equipment for any purpose other
than production of the PMC Product, PMC shall give DAS prompt written notice of
the same, and thereafter, the Parties shall negotiate in good faith (without
further obligation) the terms of appropriate compensation to be paid by PMC to
DAS for such use, based upon the percentage of the total capacity of the
Additional Equipment dedicated to such other use.

                                   ARTICLE 12

                           CHANGES OF THE PMC PRODUCT

                  12.1 REQUIRED BY DAS FOR REGULATORY PURPOSES. DAS will inform
PMC in writing of any modifications to the Protocol, DAS Specifications or PMC
Product required for regulatory purposes, including any changes to regulations
that could affect the PMC SOPs or the production of PMC Product. Such notice
shall be accompanied with a brief description of the corresponding regulation.
PMC shall exercise its best efforts, subject to the terms of this Section, to
timely and efficiently make such modifications as may be required by such
changes. PMC shall not make any change or modification described in the
applicable DAS Specifications, Protocol or the production of PMC Product unless
instructed in writing by DAS.

[*] CERTAIN INFORMATION IN THIS EXHIBIT HAS BEEN OMITTED AND FILED SEPARATELY
WITH THE COMMISSION. CONFIDENTIAL TREATMENT HAS BEEN REQUESTED WITH RESPECT
TO THE OMITTED PORTIONS.

                                       7

<PAGE>

                  PMC will inform DAS of the amount of the additional costs
(including investment) PMC would incur due to the modification, if any, and if
DAS elects to adopt the modification DAS will reimburse PMC for required direct
capital expenditures in accordance with the mechanism set forth in Exhibit 8
hereto, and the relevant documents and related schedules will be revised
accordingly. PMC will provide DAS a written explanation of such investment and
additional costs.

                  If PMC is technically unable to comply with a proposed
modification or if DAS is unwilling to pay PMC's direct capital expenditures,
DAS shall have the option to withdraw the proposed modification (and hold PMC
harmless of any consequences due to such withdrawal) or to negotiate a payment
plan acceptable to PMC. DAS will notify PMC as soon as reasonably practical of
any changes to any DAS Specifications; procedures or other areas that are filed
with Regulatory Authorities and that could have an impact on PMC's performance
of this Agreement, and will advise PMC of the granting of approval and effective
date of such changes. Any such changes shall be deemed modifications under this
Section.

                  In the event that DAS decides not to adopt the modifications,
PMC shall continue to provide PMC Product in accordance with the DAS
Specification still in force and DAS shall hold PMC harmless of any consequences
resulting from the non-amendment of such DAS Specification.

                  12.2 MODIFICATION FOR NON-REGULATORY PURPOSES. Any
modification required to the production of PMC Product for non-regulatory
purposes shall be discussed between the parties. The parties shall negotiate in
good faith the changes to the PMC Product, the financial conditions and the time
schedule for the works to be performed.

                  In no event shall such a modification be implemented without
PMC's prior written approval, which shall not be unreasonably withheld and PMC
shall exercise its best efforts, subject to the terms of this Section, to timely
and efficiently make such modifications as may be required and agreed to
pursuant to this Section.

                  DAS shall hold PMC harmless of any consequences of such
changes.

                                   ARTICLE 13

                                QUALITY DISPUTES

                  13.1 PMC PRODUCT QUALITY DISPUTES. If DAS rejects any PMC
Product and if the parties have not agreed mutually on a remedy as per Article
6.2.3 of this Agreement, the parties, through the Manufacturing Coordinating
Committee shall timely consult with each other and attempt to resolve the
discrepancies. If the parties cannot resolve the discrepancies in a timely
manner after notification thereof to PMC, they shall promptly nominate a
Laboratory, which shall carry out analyses with respect to such Product as may
be jointly agreed upon by PMC and DAS and at the parties' joint expense.

                  The results obtained by the Laboratory shall be binding on the
parties for purposes of this Agreement.

                  If the results conclude that the PMC Product conformed to the
Protocol, DAS Specifications and PMC SOPs, DAS will reimburse PMC amounts paid
to the Laboratory. If the results conclude that the PMC Product does not conform
to the Protocol, DAS Specifications and PMC SOPs, PMC shall reimburse DAS
amounts paid to the Laboratory. In the event the Laboratory cannot conclude to
whether the PMC Product conform or not to the Protocol, DAS Specifications or
PMC SOPs, the parties shall equally share the Laboratory expenses.

                  Until such time as the Laboratory determines whether the PMC
Product conforms to PMC and DAS Specifications, DAS may withhold payment to PMC
of any amounts due in respect of the subject Manufacturing Order and deposit
such withheld payment in an interest-bearing bank account with a French bank,
and shall provide evidence of the same to PMC. In the event that the subject PMC
Product is determined to be conforming PMC shall receive all amounts in such
interest bearing bank account.

                  13.2 NON-PAYMENT FOR NON-CONFORMING PMC PRODUCT. If DAS
rejects any PMC Product and if it is determined by the Laboratory that such PMC
Product did not or would conform with the Protocol, DAS Specifications or PMC
SOPs, PMC shall at DAS's option use its best efforts to replace the non
conforming PMC Product as promptly as possible in accordance with the duration
of the production of PMC Product or issue a refund therefor, the costs of such
PMC Product shall not be paid to PMC, and PMC shall credit DAS with (i) DAS's
direct

[*] CERTAIN INFORMATION IN THIS EXHIBIT HAS BEEN OMITTED AND FILED SEPARATELY
WITH THE COMMISSION. CONFIDENTIAL TREATMENT HAS BEEN REQUESTED WITH RESPECT
TO THE OMITTED PORTIONS.

                                       8

<PAGE>

cost of the Immunogen used to produce the PMC Product that DAS demonstrates
cannot be shipped due to the defect; and (ii) the transportation charges paid
by DAS for such Immunogen.

                                   ARTICLE 14

                                QUALITY ASSURANCE

                  14.1 AUDIT OF PMC FACILITIES. Upon advance notice of [***] PMC
shall permit DAS representatives to enter PMC Facilities during regular business
hours for the purpose of making quality control inspections of the PMC
Facilities and limited to the part of the PMC Facilities in which PMC produces
the PMC Product.

                  In the event of an inspection by a Regulatory Authority, the
Regulatory Authority representative accompanied by DAS representatives shall be
permitted to enter PMC Facilities in the same conditions as described above.
However, the notice period in such case shall be [***] or such other time as may
be requested by Regulatory Authorities.

                  DAS shall cause its representatives and the Regulatory
Authority representatives to follow the security and facility access procedures
as are reasonably designated by PMC. PMC may require that at all times DAS
representative be accompanied by a PMC representative and that DAS
representative not enter some areas of the PMC facility to assure protection of
PMC or third party confidential information.

                  14.2 SAFETY PROCEDURES. PMC undertakes to adopt and enforce
safety procedures for the manufacturing of the PMC Product by PMC and handling
and disposal of waste relating to the PMC Product that comply with
environmental, safety and health requirements. Such responsibilities shall
include the proper disposal of waste in an appropriate manner consistent with
the nature of the waste and at a permitted waste disposal facility.

                                   ARTICLE 15

                                   DECLARATION

PMC shall use its best efforts to assist DAS, at DAS cost calculated according
to Exhibit 8, to address and resolve regulatory issues relating to the DAS
Product and more particularly, shall provide DAS, upon reasonable notice, and at
no cost, provide all necessary and available data relating to the PMC Product in
order to obtain regulatory approvals to develop and commercialize the DAS
Product. Without limiting the foregoing, DAS shall diligently process its own
ELA or the appropriate supplement of the existing ELA in accordance with a
timetable sufficient to permit DAS to meet its own timetable with regard to its
filing of a IND, 8LA and PLA's for DAS Products. PMC acknowledges and agrees
that (a) it shall be required to pass a preapproval inspection by the FDA and
other Regulatory Authorities prior to DAS obtaining regulatory approval by such
authority, (b) it has reviewed, understands and shall comply with all applicable
laws, regulations and other requirements of the FDA and other Regulatory
Authorities in manufacturing, processing and packaging as active ingredient bulk
of the PMC Products, and (c) it shall provide DAS with copies of all notices it
or its contractors receive from Regulatory Authorities that could affect the PMC
Product, DAS Product or the ability to manufacture the PMC Product in the PMC
Facilities. PMC shall provide any manufacturing, quality control or quality
assurance data and other information relating to obtaining all approvals from
all Regulatory Authorities to commercially market and sell DAS Product
(including without limitation, any other information as may be useful or
required (in DAS'S reasonable opinion or upon request of a Regulatory Authority)
for FDA and other Regulatory Authorities approval of DAS Products) to the
public.

                                   ARTICLE 16

                                   SUPERIORITY

                  No provision on DAS's purchase order form or on PMC's general
conditions of sale or invoice which may purport to impose different conditions
upon DAS or PMC shall modify or otherwise alter the terms of this Agreement.

[*] CERTAIN INFORMATION IN THIS EXHIBIT HAS BEEN OMITTED AND FILED SEPARATELY
WITH THE COMMISSION. CONFIDENTIAL TREATMENT HAS BEEN REQUESTED WITH RESPECT
TO THE OMITTED PORTIONS.

                                       9

<PAGE>

                                   ARTICLE 17

                                 CONFIDENTIALITY

(a)  -   GENERAL

         Except as expressly set forth in this Article 17, each party shall
         cause its respective Affiliates, officers, directors, employees, agents
         and subcontractors (collectively, "Representatives") to keep
         confidential any and all technical, commercial, scientific and other
         data, processes, documents or other information (whether in oral form
         and identified as confidential within 30 days after the date of
         disclosure, or if written form, if marked as "Confidential" at the time
         of disclosure) or physical object (including, without limitation,
         intellectual property, marketing data, agreements between any party and
         a third-party, license applications, and business plans and projections
         of any party) that have been marked as "confidential" at the time of
         disclosure) acquired from the other party (the "Other Party"), its
         Affiliates or its Representatives after the Effective Date
         ("Confidential Information"), and each party shall not disclose
         directly or indirectly, and shall cause its Representatives not to
         disclose directly or indirectly, any Confidential Information to anyone
         outside such Person and each of their Affiliates and their respective
         Representatives, except that the foregoing restriction shall not apply
         to any information disclosed hereunder to any party, if such Person
         (the Receiving Person") can demonstrate that such Confidential
         Information:

         (i)      is or hereafter becomes generally available other than by
                  reason of any breach or default by the Receiving Person, any
                  of its Affiliates or any Representative of the foregoing with
                  respect to a confidentiality obligation under this Agreement;

         (ii)     was already known to the Receiving Person or such affiliate or
                  Representative;

         (iii)    is disclosed to the Receiving Person or such affiliate or
                  Representative by a third party who has the right to disclose
                  such information;

         (iv)     is independently developed by the Receiving Person;

         (v)      based on such Person's good faith judgement with the advice of
                  counsel, is otherwise required to be disclosed in compliance
                  with applicable legal requirements to a public authority.

         Whenever the Receiving Person becomes aware of any state of facts which
         would or might result in disclosure of Confidential Information
         pursuant to subparagraph (v) above, it shall, if possible, promptly
         notify the Person making disclosure "Disclosing Person") prior to any
         such disclosure so that the Disclosing Person may seek a protective
         order or other appropriate remedy and/or waive compliance with the
         provisions of this Agreement.

         In any event, if the Receiving Person is unable to promptly notify the
         Disclosing Person or if such protective order or other remedy is not
         obtained, or if the Disclosing Person waives compliance with the
         provisions of this Agreement, the Receiving Person will furnish only
         that portion of the information which it is advised by counsel is
         legally required and will exercise reasonable efforts to obtain
         assurance that confidential treatment will be accorded the Confidential
         Information.

         Each party shall be entitled, in addition to any other right or remedy
         it may have, at law or in equity, to an injunction, without the posting
         of any bond or other security except as required by the relevant laws,
         enjoining or restraining any other party from any violation or
         threatened violation of this Section 8.1.

(b)  -   USE OF CONFIDENTIAL INFORMATION

         Each party agrees that no Confidential Information shall:

         (i)      be used in its own business except as necessary to exercise
                  the rights and obligations of such Party under this Agreement;

         (ii)     be assigned, licensed, sublicensed, marketed, transferred or
                  loaned, directly or indirectly to any third party other than a
                  Representative or an Affiliate Representative of such party,
                  except as

[*] CERTAIN INFORMATION IN THIS EXHIBIT HAS BEEN OMITTED AND FILED SEPARATELY
WITH THE COMMISSION. CONFIDENTIAL TREATMENT HAS BEEN REQUESTED WITH RESPECT
TO THE OMITTED PORTIONS.

                                       10

<PAGE>

                  necessary or contemplated for the exercise of the rights
                  and obligations of the Parties under this Agreement;

         The obligations set forth in this Article 17 shall extend to copies, if
         any, of Confidential Information made by any Representatives referred
         to in paragraph (a) and to documents prepared by such Persons which
         embody or contain Confidential Information.

(c)  -   PROTECTION OF CONFIDENTIAL INFORMATION

         Each party shall deal with Confidential Information so as to protect it
         from disclosure with a degree of care not less than that used by it in
         dealing with its own information intended to remain exclusively within
         its knowledge and shall take reasonable steps to minimise the risk of
         disclosure of Confidential Information which shall include, without
         limitation, ensuring that only those Persons who have a bona fide need
         to know such Confidential Information for purposes permitted or
         contemplated by this Agreement shall have access thereto. Each party,
         shall notify all of its Representatives who have access to Confidential
         Information of its confidentiality and the care therefor required, and
         shall obtain from any Affiliate or any agent or subcontractor who is a
         Representative that is permitted access to such Confidential
         Information in accordance with this Article 17, an agreement of
         confidentiality incorporating the restrictions set forth herein.

(d)  -   SURVIVAL OF OBLIGATIONS

         The obligations set forth in this Article 17 shall survive the
         termination of this Agreement for a period of five (5) years.

(e)  -   RETURN OF CONFIDENTIAL INFORMATION

         Within thirty (30) days after the termination of this Agreement, the
         Receiving Person shall (and shall cause its Affiliates' Representatives
         and its Affiliates to) return to the Disclosing Person or destroy all
         related documents and tangible items then in its possession which it
         has received from the Disclosing Person or any affiliate or
         Representative thereof pertaining, referring or relating to the
         Disposing Person's Confidential Information, as well as all copies,
         summaries, records, descriptions, modifications, and duplications that
         it, or any of its Affiliates or Representatives, has made from the
         documents or tangible items received from the Disclosing Person or any
         affiliate or Representative thereof; provided, however, that the
         Receiving Person may retain one copy of each document in its legal fees
         solely to permit the Receiving Person to continue to comply with its
         obligations hereunder and, in addition, may upon notice to the
         Disclosing Person, retain in its legal files or in the office of
         outside legal counsel one copy of any document solely for use in any
         pending legal proceeding to which such document relates.

                                   ARTICLE 18

                                    INDEMNITY

                                    (a) Subject to PMC's indemnity obligations
for violations of Article 8 above (which obligations shall take precedence) DAS
shall indemnify, hold harmless and defend PMC, its directors, officers, and
employees from and against any and all claims, costs, demands, liabilities,
losses, damages and expenses of whatever nature, including costs of recall made
against or sustained by them, arising out of the use or sale of the PMC Product
or the DAS Product by DAS or its customers.

                                    (b) PMC shall indemnify and hold DAS, its
affiliate's, directors, officers, agents and employees from and against any and
all claims, costs, demands, liabilities, losses, damages and expenses of
whatever nature, including costs of recall made against or sustained by them,
arising out of or in connection with this Agreement caused by the negligence or
willful misconduct of PMC or any breach of PMC's warranties set forth under
provision 8.1 hereabove.

                                    (c) In the event of any claim being made
against a party ("the Indemnified Party") for which the other party ("the
Indemnifying Party") has agreed to indemnify the Indemnified Party under this
Agreement, the Indemnifying Party shall be promptly notified thereof and may at
its own expense conduct all negotiations for the settlement of the same and any
litigation that may arise therefrom. The Indemnified Party shall use its
commercially reasonable efforts to not at any time make any admission or take
any steps which might be prejudicial to the settlement or successful defense by
the Indemnifying Party of any claim or demand until the

[*] CERTAIN INFORMATION IN THIS EXHIBIT HAS BEEN OMITTED AND FILED SEPARATELY
WITH THE COMMISSION. CONFIDENTIAL TREATMENT HAS BEEN REQUESTED WITH RESPECT
TO THE OMITTED PORTIONS.

                                       11

<PAGE>

Indemnifying Party has been notified of the claim and has stated its
intention not to negotiate or defend the claim provided that the indemnifying
Party shall act promptly throughout.

                                   ARTICLE 19

                              TERM AND TERMINATION

                  19.1 TERM RENEWAL. This Agreement shall take effect as of
the Effective Date and shall, unless terminated earlier according to this
Article 19, continue in effect for a period of ten (10) years after First
Commercial Sale. After such 10 year period, PMC shall exercise commercially
reasonable efforts to ensure continuous supply of PMC Product on financial
terms reasonably acceptable to both parties, provided that (i) annual
forecasts of PMC Product are at least two hundred and fifty (250) liters of
PMC Product per year (ii) the parties shall negotiate in good faith such
annual renewals, and (iii) all other terms of the Agreement shall apply to
such renewals or extensions, and (iv) in no event shall this Agreement be
renewed for more than additional two times two (2) year period. However, in
the event of a renewal of the Agreement for the second two-year period, the
parties shall renegotiate in good faith the financial conditions of the
Agreement.

                  19.2 TERMINATION WITHOUT CAUSE.

                           19.2.1   AUTOMATIC TERMINATION.

                                    This Agreement shall automatically terminate
upon written notice of one of the parties in the event of termination for
whatever reason of that certain Patent and Know-How License Agreement signed on
this same date between the parties.

                           19.2.2   FAILURE TO OBTAIN FDA APPROVAL.

                                    (a) DAS may terminate this Agreement
without cause upon ninety (90) days' written notice to PMC if (I) it
determines that the BLA or other relevant product license to market the DAS
Product will not be approved by the FDA or the Agence Europeenne du
Medicament within a reasonable time at a reasonable cost, or (II) PMC fails
to obtain an ELA supplemental approval (and the equivalent approvals from the
Regulatory Authorities for France and the European Union), with respect to
the PMC Product and the DAS Product by June 30, 2002.

                                    (b) PMC may terminate this Agreement
without cause upon ninety (90) days' written notice to DAS if a BLA or other
relevant product license has not been approved within six (6) years of the
Effective Date and DAS cannot demonstrate to PMC's reasonable satisfaction
within said ninety (90) days period that, such approval is forthcoming.

                           19.2.2 EXCESSIVE COST. If at any time DAS
determines that, due to competitive conditions, currency fluctuations or
otherwise, the price of PMC Product and Additional Equipment Costs will be so
high that DAS will be unable to sell DAS Product at a price that will result
in a reasonable profit to DAS, DAS may, upon sixty (60) days written notice
to PMC, terminate this Agreement without cause.

                  19.3 TERMINATION FOR CAUSE. This Agreement may be terminated
by PMC upon [***], but only if DAS fails to pay an amount when due that is not
subject to a good faith dispute between the parties, and DAS has not cured such
breach within [***]. This Agreement may be terminated by DAS in the event that
PMC fails to perform or otherwise breaches any of its material obligations under
this Agreement, by giving notice to PMC of its intent to terminate and stating
the grounds therefor. PMC shall have sixty (60) days from the date of receipt
thereof cure the failure or breach. In the event the breach is not cured within
the time period set forth herein, then this Agreement shall, at the option of
DAS, terminate at the end of [***]. Except as otherwise expressly set forth in
this Agreement, neither party shall have the right to terminate this Agreement,
and any disputes between the parties shall be resolved pursuant to Section 20.9.

                  19.4 EFFECT OF TERMINATION OR EXPIRATION

                           19.4.1   GENERAL

                  Upon the expiration or termination of this Agreement, PMC
shall notify DAS of the amount of PMC Product it has on hand, and DAS shall
purchase such PMC Product at its applicable transfer price determined pursuant
to Article 10.1 above except that DAS shall not be obligated to purchase more
than the quantity of PMC Product specified in the most recent Manufacturing
Order and DAS shall have no obligation to purchase any such

[*] CERTAIN INFORMATION IN THIS EXHIBIT HAS BEEN OMITTED AND FILED SEPARATELY
WITH THE COMMISSION. CONFIDENTIAL TREATMENT HAS BEEN REQUESTED WITH RESPECT
TO THE OMITTED PORTIONS.

                                       12

<PAGE>

PMC Product if a basis for the termination is a failure of the PMC Product to
meet the PMC SOPs or DAS Specifications, Protocol or otherwise be warranted
product. Termination shall not affect any available remedies.

                           19.4.2   FURTHER EFFECTS OF TERMINATION

                  In the event of any termination of this Agreement, or in the
event that DAS elects to establish an equivalent capability at its own or a
different facility, PMC shall at DAS's request and at DAS's cost, assist DAS in
all ways reasonably requested by DAS to transfer the production of PMC Product
to DAS or its designated agents including, but not limited to, transfer of any
part of the PMC SOPs reasonably necessary for DAS to perform or have performed
the equivalent production capability. PMC shall designate for a reasonable
period to be agreed upon by the parties, a senior-level manager as liaison who
shall be responsible for facilitating and coordinating PMC's efforts to effect
such transfer. PMC and DAS shall negotiate in good faith the reasonable cost and
the reasonable period of time for which PMC shall provide the technical
assistance. PMC shall only be obligated to provide technical assistance one
time. PMC shall not liable for the inability of DAS to successfully complete a
transfer.

                  19.5 SURVIVAL. In addition, anything herein to the contrary
notwithstanding, the following provisions of this Agreement shall survive
termination of this Agreement: Articles 7, 8, 13, 16, 17, 20, 18, 19, 21, 11.3,
11.5 and 11.6 and Section 10.2 and right to payments that have accrued prior to
the date of termination, shall survive termination.

                                   ARTICLE 20

                                  FORCE MAJEURE

                  No Party hereto shall be responsible or liable to the other
Party hereto for any failure to perform any of its agreements, covenants or
obligations under this Agreement if such failure results from events or
circumstances reasonably beyond the control of such Party including, without
limitation, war or other national emergency; riot; fire, explosion, good or
other Act of God; general and long lasting strike affecting the entire activity
of either party, any injunction, decree, order, law or regulation of any public
authority; or any inability to obtain electricity, fuel or raw material
(collectively, "Events of Force Majeure").

                  The affected party shall (i) forthwith inform the other party
in writing of the occurrence of the Event of Force Majeure and (ii) exert all
best efforts to eliminate, cure or overcome any such Event of Force Majeure and
to resume performance hereunder with all possible speed; provided, however, that
nothing herein shall require the party to settle on terms unsatisfactory to such
party any strike. To the extent that an Event of Force Majeure continues for a
period in [***], the parties agree to negotiate in good faith either (i) to
resolve the Event of Force Majeure, if possible, (ii) to extend the time period
to resolve, eliminate or overcome such Event or (iii) to terminate this
Agreement.

                                   ARTICLE 21

                            MISCELLANEOUS PROVISIONS

                  21.1 INDEPENDENT CONTRACTOR. PMC shall supply PMC Product as
an independent contractor and nothing contained herein shall be construed to be
inconsistent with that relationship or status. PMC and its employees shall not
be considered employees or agents of DAS. This agreement shall not constitute,
create or in any way be interpreted as a joint venture, partnership or business
organization of any kind.

                  21.2 NO ASSIGNMENT. Neither party shall transfer or assign
this Agreement, in whole or in part without the other party's prior written
consent, except that either party may transfer, assign and delegate this
Agreement to an Affiliate or in connection with a merger, reorganization or sale
of substantially all of its assets, without the other party's consent.

                  21.3 NOTICES. Notices and other communications required or
called for under this Agreement shall be in writing, shall be transmitted by
certified mail postage prepaid, and shall be deemed delivered upon receipt by
the party to whom it is addressed.

                  In the case of DAS such communications shall be addressed to.

                  DAS, 2 rue de Cnucy, 44000 Nantes, France.  Attention:
                  President
                  DAS Inc. 1430 O'Brien Drive, Suite E, Menlo Park CA 94025 USA
                  Attention: CEO

[*] CERTAIN INFORMATION IN THIS EXHIBIT HAS BEEN OMITTED AND FILED SEPARATELY
WITH THE COMMISSION. CONFIDENTIAL TREATMENT HAS BEEN REQUESTED WITH RESPECT
TO THE OMITTED PORTIONS.

                                       13

<PAGE>

                  In the case of PMC, such communications shall be addressed to:

                  PASTEUR MERIEUX Serums & Vaccins
                  58, avenue Leclerc
                  69007 Lyon
                  FRANCE
                  Attention: General Counsel

or to the attention of such other individual or to such other address as either
party may give to other in writing.

                  21.4 NO WAIVER. The failure of either party to enforce at any
time for any period the provisions hereof shall not be construed to be a waiver
of such provisions or of the right of such party thereafter to enforce each such
provision.

                  21.5 SEVERANCE. If any provision of this Agreement should be
or become fully or partly invalid or unenforceable for any reason whatsoever or
violate any applicable law, this Agreement is to be considered divisible as to
such provision and such provision is to be deleted from this Agreement, and the
remainder of this Agreement shall be deemed valid and binding as if such
provision were not included. A suitable provision which, as far as legally
possible, comes nearest to what the parties desired according to the sense and
purpose of this Agreement had this point been considered when concluding this
Agreement shall be substituted for any such provision deemed to be deleted.

                  21.6 LIST OF EXHIBITS. The Exhibits listed in this provision
and attached herewith are fully part of this Agreement and cannot be modified
unless mutually agreed between the parties:

                  Exhibit 1         PMC Facilities
                  Exhibit 2         Protocol
                  Exhibit 3         PMC SOPs and DAS Specifications
                  Exhibit 4         DAS Certificate
                  Exhibit 5         PMC Certificate
                  Exhibit 6         Manufacturing Order
                  Exhibit 7         Laboratory
                  Exhibit 8         Forecasts during Development Period
                  Exhibit 9         Non binding Guidelines
                  Exhibit 10        Direct Costs

                  21.7 GOVERNING LAW. This Agreement shall be governed by
Californian Laws.

                  21.8 DISPUTE RESOLUTION.

Any and all disputes arising in connection with this Agreement which will not
be solved on an amicable basis between the parties shall be finally settled
by arbitration under the Rules of Conciliation and Arbitration of the
International Chamber of Commerce, rules that the Parties recognizes that
they know. The arbitration shall be conducted in Paris, France, in English by
one arbitrator if the dispute involves a claim of damage [***] in accordance
with the said rules. The arbitrator(s) shall apply French law to the merits
of the case. The arbitration shall be final and binding upon the parties.

                  21.9 HEADINGS.

The Articles and article headings included in this Agreement are for reference
purpose only and shall not affect the meaning or interpretation of this
Agreement.

[*] CERTAIN INFORMATION IN THIS EXHIBIT HAS BEEN OMITTED AND FILED SEPARATELY
WITH THE COMMISSION. CONFIDENTIAL TREATMENT HAS BEEN REQUESTED WITH RESPECT
TO THE OMITTED PORTIONS.

                                       14

<PAGE>

                  IN WITNESS WHEREOF, the parties hereto have caused these
presents to be signed by their respective corporate officers, authorized as of
the day and year first above written.

DAS SA                                         PASTEUR MERIEUX SERUMS ET VACCINS

By:     /s/ Maryvonne Hiance                   By:  /s/ Michel Greco
    --------------------------------               -----------------------------
Name:   Maryvonne HIANCE                       Name:  Michel GRECO
Title:  President                              Title:  DIRECTEUR GENERAL

DAS INC

By:     /s/ Stanley Kaplan
    --------------------------------
Name:   Stanley KAPLAN
Title:  Chief Executive Officer & President

[*] CERTAIN INFORMATION IN THIS EXHIBIT HAS BEEN OMITTED AND FILED SEPARATELY
WITH THE COMMISSION. CONFIDENTIAL TREATMENT HAS BEEN REQUESTED WITH RESPECT
TO THE OMITTED PORTIONS.

                                       15

<PAGE>

                                    EXHIBIT 1

                                 PMC FACILITIES

[********]

[*] CERTAIN INFORMATION IN THIS EXHIBIT HAS BEEN OMITTED AND FILED SEPARATELY
WITH THE COMMISSION. CONFIDENTIAL TREATMENT HAS BEEN REQUESTED WITH RESPECT
TO THE OMITTED PORTIONS.

                                       16
<PAGE>

                                    EXHIBIT 2

                                 COC AB PROTOCOL

[*] CERTAIN INFORMATION IN THIS EXHIBIT HAS BEEN OMITTED AND FILED SEPARATELY
WITH THE COMMISSION. CONFIDENTIAL TREATMENT HAS BEEN REQUESTED WITH RESPECT
TO THE OMITTED PORTIONS.

                                        17
<PAGE>

                                    EXHIBIT 3

                                    PMC SOPS

THE FOLLOWING PMC SOP'S MAY BE MODIFIED BY APPLYING THE PROVISIONS OF THIS
AGREEMENT

Procedure technique PMC T [********]        [***]

Procedure technique PMCT[********]          [***]

Procedure technique PMC T [********]        [***]

Procedure technique PMC T [********]        [***]

Procedure technique PMC T [********]        [***]

Les autres specifications techniques de PMC pourront etre modifiees par PMC a
tout moment mais auditable par IMTIX-SangStat

Procedure technique PMC T [********]        [***]
Procedure technique PMC T [********]        [***]
rongeurs
Procedure technique PMC T [********]        [***]
Procedure technique PMC T [********]        [***]

This exhibit shall be completed with PMC SOP's redrafted upon existing SOP's
relating to other products manufactured by PMC.

[*] CERTAIN INFORMATION IN THIS EXHIBIT HAS BEEN OMITTED AND FILED SEPARATELY
WITH THE COMMISSION. CONFIDENTIAL TREATMENT HAS BEEN REQUESTED WITH RESPECT
TO THE OMITTED PORTIONS.

                                         18
<PAGE>

                               EXHIBIT 4

                           DAS CERTIFICATE

===============================================================================
                           DAS CERTIFICATE

COC AB ANTIGENE
-------------------------------------------------------------------------------
         Batch N(DEG.)                              Tests results

         ----                                         Anormal Toxicity

                                                      Sterility

-------------------------------------------------------------------------------
We certify that all the COC ab Antigene mentioned in this certificate have been
released for horse imminuzation to produce Anticocaine plasma

                                                         Name:  _____________
                                                        Title:  _____________
                                                         Date:  _____________
===============================================================================

[*] CERTAIN INFORMATION IN THIS EXHIBIT HAS BEEN OMITTED AND FILED SEPARATELY
WITH THE COMMISSION. CONFIDENTIAL TREATMENT HAS BEEN REQUESTED WITH RESPECT
TO THE OMITTED PORTIONS.

                                    19

<PAGE>

                                    EXHIBIT 5

                                 PMC CERTIFICATE

===============================================================================
                        PASTEUR MERIEUX SERUMS & VACCINS

Nous, soussignes, certifions que la solution Fab'2 vrac anti cocaine COC ab du
lot:

         n(DEG.) _______________

a ete produit conformement aux specifications de DAS mentionne au contrat en
date du Juin 1999 aux procedures techniques de PMC applicables et aux Bonnes
Pratiques de Fabrication.

Certificat de controles:  ci-joint

                                  Fait a Marcy l'Etoile, le  ________________
                                                       Nom:  ________________
                                                  Fonction:  ________________

                                                 Signature:  ________________

===============================================================================

[*] CERTAIN INFORMATION IN THIS EXHIBIT HAS BEEN OMITTED AND FILED SEPARATELY
WITH THE COMMISSION. CONFIDENTIAL TREATMENT HAS BEEN REQUESTED WITH RESPECT
TO THE OMITTED PORTIONS.

                                     20

<PAGE>

Pasteur Merieux Serums & Vaccins
         Direction des controles

                              CERTIFICAT D'ANALYSE

                          SOLUTION DE COC AB FAB'2 10%

                        LOT N(DEG.): __________________

ASPECT                                                        :      Conforme

DOSAGE DES PROTEINES TOTALES                                  :      g/100ml

RECHERCHE DES PROTEINES ETRANGERES                            :      Conforme

TEST DE DIGESTION                                             :      Conforme

ESSAI DE STERILITE BACTERIENNE ET FONGIQUE                    :      Conforme

ESSAI DES PYROGENES                                           :      Conforme

HPLC GEL FILTRATION
         [********]                                           :      %
         [********]                                           :      %
         [********]                                           :      %

CONCLUSION:

Date:                                      le directeur de Services de Controle

[*] CERTAIN INFORMATION IN THIS EXHIBIT HAS BEEN OMITTED AND FILED SEPARATELY
WITH THE COMMISSION. CONFIDENTIAL TREATMENT HAS BEEN REQUESTED WITH RESPECT
TO THE OMITTED PORTIONS.

                                        21

<PAGE>

                                    EXHIBIT 6

                               MANUFACTURING ORDER

===============================================================================
                                       DAS

BON DE COMMANDE N(DEG.) ___________;

            SOLUTION DE PRINCIPE ACTIF FAB'2 VRAC ANTI COCAINE COC AB

Volume total ___________________ litres, soit _______________ grammes

Nombre de lots estimes:  ________________

Periode de livraison:      du _______/___/           au ________/____/____

DAS s'engage a livrer a temps les quantites d'antigenes necessaires a
l'immunisation du nombre de chevaux correspondant a la quantite de plasma
necessaire a l'obtention du produit.

Estimatif du montant de la commande ___________________: _____________ FRF HT

                                        (Nb grammes x Prix/g)

Fait a
Le

-----------------
Responsible Achat

DAS

===============================================================================

[*] CERTAIN INFORMATION IN THIS EXHIBIT HAS BEEN OMITTED AND FILED SEPARATELY
WITH THE COMMISSION. CONFIDENTIAL TREATMENT HAS BEEN REQUESTED WITH RESPECT
TO THE OMITTED PORTIONS.

                                    22
<PAGE>

                                    EXHIBIT 7

                                   LABORATORY

Ecole Nationale Veterinaire
7 avenue du General Leclerc
94704 MAISONS ALFORT Cedex
Tel: 01.42.96.71.00

[*] CERTAIN INFORMATION IN THIS EXHIBIT HAS BEEN OMITTED AND FILED SEPARATELY
WITH THE COMMISSION. CONFIDENTIAL TREATMENT HAS BEEN REQUESTED WITH RESPECT
TO THE OMITTED PORTIONS.

                                      23

<PAGE>

                                    EXHIBIT 8

                       FORECAST DURING DEVELOPMENT PERIOD

[*] CERTAIN INFORMATION IN THIS EXHIBIT HAS BEEN OMITTED AND FILED SEPARATELY
WITH THE COMMISSION. CONFIDENTIAL TREATMENT HAS BEEN REQUESTED WITH RESPECT
TO THE OMITTED PORTIONS.

                                        24

<PAGE>

                                    EXHIBIT 9

                      NON BINDING GUIDE LINES ON THE TIMING

TIME LINES FOR FIRST BATCH DURING MANUFACTURING PERIOD

Manufacturing order for 1st batch [***]                           [***]

Reception of horses [***]                                         [***]

Quarantine                                                        [***]

Immunization                                                      [***]

Processing and controls                                           [***]

Next batches:  [***]

[*] CERTAIN INFORMATION IN THIS EXHIBIT HAS BEEN OMITTED AND FILED SEPARATELY
WITH THE COMMISSION. CONFIDENTIAL TREATMENT HAS BEEN REQUESTED WITH RESPECT
TO THE OMITTED PORTIONS.

                                        25

<PAGE>

                                   EXHIBIT 10

                            PMC PRODUCT DIRECT COSTS

"Direct Cost" shall mean the direct cost attributable or allocable to the
specific activity for which they are to be charged. The components of direct
costs are limited to the following: personnel salaries, cost of supplies, cost
of materials, contracted and outside services and support costs. Specifically
(depending on the activity), Direct Costs may include one of more of components
set forth below:

                          BREAKDOWN OF THE DIRECT COST

The direct cost is composed of 4 main categories of costs.

<TABLE>
<CAPTION>

------------------------ ----------------------------------------- ---------------------------------------------------
Category                 Including                                 Comments
------------------------ ----------------------------------------- ---------------------------------------------------
<S>                   <C>                                        <C>
Raw materials            Bill of material
------------------------ ----------------------------------------- ---------------------------------------------------
Direct Labor             Payroll                                   Gross salary, excluding interessement et
                         Overtime                                  participation

                         Medical benefits                          Payroll taxes
------------------------ ----------------------------------------- ---------------------------------------------------
Overhead                 Product manager                           Salary, payroll taxes,...
                         Utilities

                                                                   QC environmental tests, technical assistance,
                                                                   process optimization

                         Equipment items
                         Small equipment items

                         Services rendered
------------------------ ----------------------------------------- ---------------------------------------------------

</TABLE>

All other costs considered indirect are not allocated or attributable, and are
mainly:

         -        Administrative cost (including phone expenses which are not
                  allocated to cost centers)
         -        Executives and site production administrative people
         -        Purchasing and warehousing
         -        Quality assurance/metrology - Depreciation
         -        Taxes (including `taxe professionnelle')
         -        Pharmaceutical responsibility
         -        Product liability insurance
         -        Bonus (interessement et participation)
         -        Distribution costs
         -        Site expenses (including site security, guarding)

[*] CERTAIN INFORMATION IN THIS EXHIBIT HAS BEEN OMITTED AND FILED SEPARATELY
WITH THE COMMISSION. CONFIDENTIAL TREATMENT HAS BEEN REQUESTED WITH RESPECT
TO THE OMITTED PORTIONS.

                                 26

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