Document:

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                             OFFICE LEASE AGREEMENT

      LESSOR:        Beijing Shengshang Asset Management Co. Ltd.

      LESSEE:        Beijing Med-Pharm Market Calculating Co. Ltd.
<PAGE>
                                    CONTENTS

CHAPTER 1   AGREEMENT......................................................... 2

CHAPTER 2   TAXES, ELECTRICITY AND TELEPHONE CHARGES.......................... 3

CHAPTER 3   RESPONSIBILITIES OF THE LESSEE.................................... 3

CHAPTER 4   OBLIGATIONS OF THE LESSOR......................................... 4

CHAPTER 5   FORCE MAJEURE..................................................... 5

CHAPTER 6   LIABILITY FOR BREACH OF THE AGREEMENT............................. 5

CHAPTER 7   SETTLEMENT OF DISPUTES............................................ 6

SCHEDULES
---------

SCHEDULE 1.................................................................... 7

SCHEDULE 2.................................................................... 8

SCHEDULE 3.................................................................... 9

SCHEDULE 4....................................................................11

SCHEDULE 5....................................................................12

SCHEDULE 6....................................................................13

                                       1
<PAGE>
                               CHAPTER 1 AGREEMENT

CLAUSE 1 - PARTIES

1.1  This Lease Agreement (hereinafter called the "AGREEMENT") is signed by the
     Lessor and the Lessee on October 13, 2005. The particulars of the Lessor
     and the Lessee are set forth in Schedule 1 hereto.

CLAUSE 2 - PREMISES

2.1  The Lessor has agreed to let to the Lessee, and the Lessee agrees to lease
     from the Lessor, Units 1908-1909 (hereinafter called the "PREMISES") of
     KUNTAI INTERNATIONAL CENTER (hereinafter called "KUNTAI INTERNATIONAL")
     situated at Chaowai Avenue, Chaoyang District, Beijing, the People's
     Republic of China (hereinafter called the "PRC"). The gross floor area of
     the Premises are set forth in Part III of Schedule 3 hereto.

2.2  The floor plan of the Premises is highlighted in pink (for identification
     purposes only) and set forth in Schedule 2 hereto.

CLAUSE 3 - TERM OF THE LEASE

3.1  The commencement date of the lease of the Premises and the expiration date
     of the lease (hereinafter called the "EXPIRATION DATE") are set forth in
     Part I of Schedule 3 hereto. The lease period starts from the commencement
     date (inclusive) and ends on the Expiration Date (hereinafter called the
     "LEASE PERIOD")

3.2  If the Lessee plans to lease the Premises after the Expiration Date, it
     shall notify the Lessor sixty (60) days prior to the Expiration Date in
     writing. The Lessee shall have the priority to lease the Premises on the
     same conditions.

CLAUSE 4 - RENTAL

4.1  The rental (the "RENTAL") and rental-free period agreed by both parties are
     set forth in Part II of Schedule 3 hereto. Both parties agree that the
     Rental contains the property management fee and air-conditioning fee set
     forth in Part I of Schedule 4 hereto.

4.2  The Lessor shall pay the Rental, which contains the property management fee
     and air-conditioning fee, in accordance with Clause 4 and in the manner set
     forth in Schedule 3.

4.3  The Lessor shall issue the Lessee invoice prescribed and recognized by the
     finance and taxation authorities within three (3) working days upon the
     receipt of the Rental.

CLAUSE 5 - DEPOSIT

5.1  Upon signing the Agreement, the Lessee shall deposit with the Lessor the
     sum specified in Part II Schedule 4 hereto.

5.2  Upon the expiration of the Lease Period or termination of the Agreement,
     the deposit shall be returned to the Lessee after deducting the Rental and
     the liquidated damages (if any) payable by the Lessee.

                                       2
<PAGE>
               CHAPTER 2 TAXES, ELECTRICITY AND TELEPHONE CHARGES

CLAUSE 1 - TAXES

2.1  Unless otherwise stipulated by law, the Lessee shall duly pay all the
     taxes, duties and other charges expressly stipulated to be payable by the
     Lessee under the laws and regulations of the PRC.

CLAUSE 2 - ELECTRICITY AND TELEPHONE CHARGES

2.1  The Lessee shall pay all the charges in respect of electricity and
     telephone consumed or used in the Premises in accordance with the
     separately metered records of the Premises or the public utility bills
     supplied by the Lessor to the Lessee within fourteen (14) days from the
     date of receipt of such records or bills.

                    CHAPTER 3 RESPONSIBILITIES OF THE LESSEE

CLAUSE 1 - COMPLIANCE WITH LAWS

1.1  The Lessee shall obey, observe and comply with relevant PRC laws and
     regulations and directives of relevant government authorities in conducting
     its business and all other activities in the Premises.

CLAUSE 2 - DECORATION, INSTALLATION AND ALTERATION OF FACILITIES

2.1  In the event that the Lessee carries out any interior decoration, split,
     construction, installation of any facilities or alteration works in the
     Premises, it shall submit the renovation plan to the Lessor in accordance
     with the Decoration Rules of Kuntai International to obtain its approval.
     The Lessee shall submit all required applications and drawings to relevant
     government authorities. The Lessee shall not carry out any internal
     renovation, split, construction, installation of any facilities or
     alteration works in the Premises before obtaining all the necessary
     permissions, licences or permits from relevant government authorities and
     the written approval from the Lessor or the property management office of
     Kuntai International.

2.2  When the Lessee carries out any work in the Premises, it shall cause its
     employees, agents, contractors and workers to fully cooperate with the
     employees, agents, contractors and workers of the Lessor and the property
     management office of Kuntai International and other lessees and
     contractors.

CLAUSE 3 - EXISTING AUXILIARY FACILITIES AND EQUIPMENT

3.1  Before delivery of the Premises, the Lessor and the Lessee shall conduct
     joint inspection of the interior thereof. During the Lease Period, the
     Lessee shall keep all the auxiliaryfacilities and equipments in the same
     state as they were on the commencement date (fair wear and tear excepted).

CLAUSE 4 - COMPENSATION

4.1  The Lessee shall be fully responsible and indemnify the Lessor for the
     losses incurred to the Lessor due to any damages suffered by any persons or
     properties within the Premises on account of the Lessee's improper or
     unreasonable use thereof.

                                       3
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CLAUSE 5 - OPERATION OF BUSINESS

5.1  The Premises are not for residence purpose. The Lessee shall carry out its
     business properly and shall not defame the reputation of Kuntai
     International.

CLAUSE 6 - USE OF THE PREMISES

6.1  The Lessee shall not use the Premises for any purpose other than that
     provided in Part III of Schedule 4 hereto.

CLAUSE 7- DAMAGE TO PUBLIC FACILITIES

7.1  The Lessee shall not paint, spray on, stick anything onto the exterior,
     window frames, glass or walls of the Premises, or damage, demolish, bedaub
     any part of the structure of Kuntai International or any decoration of the
     common areas, stairs, lift, elevators of Kuntai International (including
     any tree, plant and shrub thereof).

CLAUSE 8 - SUB-LETTING AND ASSIGNMENT

8.1  The Lessee shall not assign, mortgage, sub-let or share the Premises or any
     part thereof with any other party without the consent of the Lessor. The
     Lessor shall give reasonable explanation when it refuses such request of
     the Lessee.

     Without the consent of the Lessor, the Lessee also shall not approve or
     permit any arrangement or transaction whereby any third party obtains the
     right of use, possession or enjoyment of the Premises or any part thereof
     irrespective of whether or not any Rental or other consideration is given
     by such third party. The Lessor shall give reasonable explanation when it
     refuses such request of the Lessee.

     In the event that the Lessee carries out the above-mentioned activities
     (whether money or other consideration is colleted or not), without
     prejudice to any other rights and remedies of the Lessor, the Agreement
     shall be terminated. The Lessee shall immediately clear and move out of the
     Premises.

                       CHAPTER 4 OBLIGATIONS OF THE LESSOR

CLAUSE 1 - RIGHT OF USE

1.1  Subject to the Lessee paying the Rental at the time and in the manner
     provided herein and observing and performing the terms, covenants,
     stipulations and conditions contained herein, the Lessor guarantees that
     the Lessee shall have the right to use and enjoy the Premises during the
     Lease Period without any illegal interference from the Lessor or its
     representatives except as provided in the Agreement. Notwithstanding the
     foregoing, the Lessee agrees and acknowledges that in order to keep Kuntai
     International in good conditions, the Lessor shall have the right, during
     the Lease Period, to conduct or permit others to conduct any construction,
     repair or other works at the appropriate time and the noise or other
     interference on account of such works will not constitute any interference
     to the Lessee, provided that the Lessor shall make its greatest efforts to
     minimize any interference caused by such works to the Lessee.

CLAUSE 2 - TAX

2.1  The Lessor shall pay to the relevant government authorities all the taxes
     and charges in connection with the leasing of the Premises which are
     stipulated to be payable by the Lessor under the laws and regulations and
     local provisions.

                                       4
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CLAUSE 3 - MAINTENANCE

3.1  The Lessor is not obligated to provide property management service; the
     property management office of Kuntai International shall be in charge of
     such service. However, the Lessor shall procure the property management
     office of Kuntai International to maintain the rooftop, main structures,
     walls, water pipes as well as electrical cables, wiring and the common
     areas and common facilities of Kuntai International in a good state.

3.2  The Lessor shall procure that the Premises and its auxiliary facilities are
     fit and safe for use during the Lease Period. In the event that the Lessee
     discovers any damage or breakdown of the Premises and its auxiliary
     facilities, it shall, as soon as possible, notify the Lessor, and the
     Lessor shall timely procure the property management office of Kuntai
     International to maintain and repair. The Lessor shall procure the property
     management office of Kuntai International to make repairs within one (1)
     working day upon the receipt of such notice. In case of failure of making
     repairs within such time limit, the Lessee shall consult with the Lessor to
     resolve such problems.

CLAUSE 4 - AIR-CONDITIONING SERVICE

4.1  The Lessor shall procure the property management office of Kuntai
     International to provide air-conditioning service to the Premises. The
     air-conditioning operating hours shall be from 8:00am to 8:00pm from Monday
     through Friday. Air-conditioning service may be provided at other time
     beyond such operating hours and the Lessee shall pay an additional charge
     to the property management office of Kuntai International (refer to Party I
     of Schedule 4 for details).

                             CHAPTER 5 FORCE MAJEURE

1.1  During the Lease Period, if the Premises or any part thereof is damaged or
     destroyed due to fire, typhoon or other force majeure events which are
     beyond the control of the Lessor and therefore become unfit for use or
     occupation, the Lessee may, based on the nature and extent of such
     destruction or damage, stop the payment of all the Rental (including
     property management fee and air-conditioning fee) from the date of the
     occurrence of such destruction or damage or reduce or exempt the Rental for
     the damaged or destroyed part of the Premises (including property
     management fee and air-conditioning fee) calculated in a reasonable
     proportion until the Premises has been repaired or rebuilt. The Lessor
     shall not be liable to repair or rebuild the Premises if it thinks such is
     not economically or practically feasible.

1.2  In the event that the entire or major part of the Premises are damaged,
     destroyed and rendered unfit for use or occupation, either the Lessor or
     the Lessee may, after fifteen (15) days from the occurrence of such
     destruction or damage, give written notice to the other party to terminate
     the Agreement immediately. Upon the receipt of such written notice by the
     Lessor or Lessee from the other party, the Agreement shall terminate from
     the date on which the Premises suffer such destruction or damage. The
     Lessor shall return the deposit and the Rental for the affected period
     thereof within seven (7) working days after the date when such written
     notice is given.

                 CHAPTER 6 LIABILITY FOR BREACH OF THE AGREEMENT

CLAUSE 1 - LIABILITY FOR BREACH BY THE LESSOR

1.1  If any of the following circumstances occurs on the part of the Lessor, the
     Lessor shall pay the Lessee liquidated damages at 4% of the monthly Rental
     and the Lessee shall have the right to terminate the Agreement without
     obtaining the consent of the Lessor:

                                       5
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     a.   the Lessor fails to deliver the Premises at the agreed time for five
          (5) days;

     b.   the Premises delivered by the Lessor do not comply with the
          stipulations of the Agreement, which seriously affects the Lessee's
          use of the Premises;

     c.   the Lessor fails to perform its maintenance obligation agreed
          hereunder, which makes it impossible for the Lessee to use the
          Premises properly;

     d.   the Premises delivered by the Lessor threaten the safety or health of
          the Lessee.

CLAUSE 2 - LIABILITY FOR BREACH BY THE LESSEE

2.1  If any of the following circumstances occurs on the part of the Lessee, the
     Lessee shall pay the Lessor liquidated damages at 0.3% of the monthly
     Rental and the Lessor shall have the right to terminate the Agreement
     without obtaining the consent of the Lessee:

     a.   in the event that the Lessee fails to pay the Lessor any Rental or
          fees for thirty (30) days, without prejudice to the other rights or
          remedies of the Lessor, the Lessor may collect overdue fine calculated
          based on the actual delayed days at 0.3% of the monthly Rental from
          the Lessee. The calculation period for overdue fine shall start from
          the date on which such Rental or fees are due and payable until the
          Lessee have fully paid the principal, overdue fine and other related
          fees of such Rental or fees prescribed herein. In case that the
          failure of paying the principal or interest of the above-mentioned
          Rental or fees by the Lessee continues, the overdue fine shall be
          calculated in compound interest per month.

2.2  If any of the following circumstances occurs on the part of the Lessee, the
     Lessee shall pay the Lessor liquidated damages at 4% of the monthly Rental
     and the Lessor shall have the right to terminate the Agreement without
     obtaining the consent of the Lessee:

     a.   the Lessee changes the usage of the Premises without the consent of
          the Lessor;

     b.   the Lessee demolishes, alters or destroys the main part of the
          Premises, or carries out interior decoration, split, construction,
          installation of any facilities or alteration works without the consent
          of the Lessor;

     c.   the Lessee sub-lets the Premises to a third party without the consent
          of the Lessor;

     d.   the Lessee uses the Premises to engage in illegal activities.

2.2  In the event that the Lessee decorates or adds new articles to the
     Premises, the Lessor may request the Lessee to recover or compensate for
     the losses thereof.

2.3  During the Lease Period, if the Lessee needs to terminate the lease of the
     Premises before the expiration of the Lease Period, it shall notify the
     Lessor three (3) months in advance and pay liquidated damage equivalent to
     one monthly Rental as to the Lessor.

                        CHAPTER 7 SETTLEMENT OF DISPUTES

CLAUSE 1 - SETTLEMENT OF DISPUTES

1.1  Both parties shall resolve the disputes arising hereunder through
     consultation; in case of the failure of such consultation, either party may
     bring such to people's court with jurisdiction.

The Agreement is executed by the respective legal representative or duly
authorized representative of the Lessor and the Lessee and chopped with the
official chop on October

                                       6
<PAGE>
                                   SCHEDULE 1

Lessor:   Beijing Shengshang Assets Management Co., Ltd.
------

          Legal Address: Rm1907 Kuntai International Center, ChaoWaidajie,
          100020

          Authorized Representative: ZHANG BAOSHENG

          Title: Chairman of the Board

          Telephone: 58797701

          Facsimile: 58797703

Lessee:   Beijing Med-Pharm.com.cn
------
          Rm 2001 Capital Mension, No. 6, Xinyuan Nanlu, Chaoyang Disreict,
          100004, Beijing, PRC

          Legal Representative: DAVID GAO

          Title: CEO

          Telephone: 84862661

                                       7
<PAGE>
                                   SCHEDULE 2

                           Floor Plan of the Premises
                       (For identification purposes only)

                                       8
<PAGE>
                                   SCHEDULE 3

PART I
------

Commencement date of the Lease: The following day after the execution of the
Agreement.

Lease Period:  The fixed Lease Period shall start from the execution of the
               Agreement and end on November 30, 2007; the Lease Period may be
               extended by three (3) years.

               The Lessee shall give a written opinion to the Lessor on whether
               to extend the Lease Period not later than the 40th working day
               before the expiration of the fixed Lease Period, and the Lessor
               shall timely response to such written opinion. After such written
               opinion is sent and prior to twenty (20) days before the
               expiration of the fixed Lease Period, the Lessee and the Lessor
               shall reach agreement on whether to extend the Lease Period and
               the Lease Period will be automatically extended upon such
               agreement, whereby all the terms and conditions of the Agreement
               shall remain unchanged.

               In case that the Lessee fails to give any written opinion to the
               Lessor on the issue of lease continuation, or both parties fail
               to reach agreement on the change of the terms and conditions of
               the Agreement before twenty (20) days of the expiration of the
               fixed Lease Period, the Agreement shall automatically be
               terminated upon the expiration of the fixed Lease Period. During
               the course of negotiation, the Lessee shall have the priority to
               lease the Premises under the same conditions in respect of the
               market rental then for the relevant location.

PART II
-------

Rental (including the management fee and air-conditioning fee and other fees set
forth in Part II of Schedule 4 hereto: RMB 3.6 yuan / per square meter gross
floor area / per day. The Rental shall be RMB 48,000 yuan per month with gross
floor being 443.4 square meters. Among the Rental, the rental for the Premises
collected by the Lessor shall be RMB 36,250 yuan per month, the property
management fee, air-conditioning fee for normal operating hours and other
related fees collected by the Lessor on behalf of others shall be RMB 11,750
yuan.

Rental Free Period:     The Lessor shall grant the Lessee a Rental-free period
                        of two months, from October 14, 2005 to December 14,
                        2005. In the Rental-free period, the Lessee shall not
                        pay the rental but shall pay property management fee.

Manners of Payment:     Within the first five (5) working days of each calendar
                        month, the Leasee shall pay the Rental for this month by
                        cheque. However, the Rental for the first month
                        following the Rental-free period shall be paid within
                        five (5) working days after the expiration of the
                        Rental-free period.

                        Where the date of payment falls into the public holidays
                        of the PRC, the payment shall be made within three (3)
                        working days following the public holidays.

                                       9
<PAGE>
PART III
--------

Gross Floor:            The gross floor area of the Premises is 443.4 square
                        meters. Such figure is determined as per the final
                        measurement made by competent housing administration
                        authority of Beijing Municipality. The Lessor and the
                        Lessee mutually agree with such figure.

                                       10
<PAGE>
                                   SCHEDULE 4

PART I
------

Property Management Fee and Air-Conditioning Fee for Normal Operating Hours:

Such have been included in the Rental, which shall be RMB 26.5 yuan per square
meter multiplied by a gross floor area of 443.4 square meters and shall be
adjusted based on the actual situations of each year.

Normal Air-conditioning Service Hours:

8:00AM to 8:00 PM (from Monday to Friday) (no air-conditioning service on
Saturday, Sunday and public holidays)

Over-time Air-conditioning Service Fee:

RMB 800 yuan per hour (the Premises). It shall be subject to the standards
prescribed by the property management office of Kuntai International.

PART II
-------

Deposit:         The Lessee shall deposit with the Lessor an amount equivalent
                 to three (3) months' Rental (including management fee and
                 air-conditioning fee) as deposit, which is RMB 144,000 yuan.

PART III
--------

Usage:           The usage of the Premises is for office use only.

                                       11
<PAGE>
                                   SCHEDULE 5

1.   All the management rules and regulations adopted by the Lessor shall be
     legal and shall apply equally to other lessees and users of Kuntai
     International. Unless otherwise agreed by the parties or stipulated by
     relevant laws, in the event of inconsistency between such aforesaid rules
     and the provisions in this Agreement, and the rights of the Lessee under
     the Agreement are affected by such inconsistency, the Agreement shall
     prevail.

2.   After the execution of the Agreement, the Lessee may commence the
     decoration to the Premises as of the commencement date provided herein.

3.   The Rental for each car parking space shall be RMB1, 000 yuan per month
     (including RMB 150 yuan management fee).

4.   Decoration Contractor

     The Lessee shall have the right to select qualified decoration contractors
     with the exception of the fire services contractor, which shall be
     nominated by the Leasor. The Lessee's contractors shall liaise with the
     property management office of Kuntai International and pay management fee.

     For information technology installation works, the contractor engaged by
     the Lessee must meet the qualification standards set up by local
     authorities.

5.   Logo

     The Leasor shall provide standard name logo of the Lessee on the name
     tablet installed in the lobby and the 19th floor.

6.   Legal Costs

     Each party shall bear its own legal cost and respectively pay half of the
     stamp duties.

                                       12
<PAGE>
                                   SCHEDULE 6

1.   This Lease Agreement shall enter into effect on the date of execution
     thereof and shall be executed in two (2) originals with one (1) original
     respectively for the Lessor and Lessee. The Chinese version shall prevail.

2.   For issues not covered by this Lease Agreement, Lessor and Lessee shall
     settle through consultation.

Lessor:         Beijing Shengshang Asset Management Co. Ltd.

Authorized Representative:  ZHANG BAOSHENG

Official Seal:

Lessee:         Beijing Med-Pharm Market Calculating Co. Ltd.

Authorized Representative:  DAVID GAO

Official Seal:

                                       13exv10w12

 

     Confidential

Exhibit 10.1

** Certain information in this exhibit has been omitted and will be filed separately with the
Securities and Exchange Commission pursuant to a confidential treatment request under 17 C.F.R.
Sections 200.80(b)(4), 200.83 and 230.406.

(1) PSIONCOLOGY PTE. LTD.

- and -

(2) BEIJING MED-PHARM CORP.

- and-

(3) PSIMEDICA LTD.

_________________________________________

Exclusive Patent

And Know How Licence Agreement

_________________________________________

 

 

     Confidential

THIS AGREEMENT (this “Agreement”), effective as of the 26th day of October 2005,

IS BY AND AMONG:-

	(1)	 	PSIONCOLOGY PTE. LTD., a wholly owned subsidiary of pSiMedica and a company incorporated
under the laws of Singapore of Registered office: Wong Tan & Molly Lim, 80 Robinson Road #
17-02, Singapore 068898 (the “Licensor”);
	 
	(2)	 	BEIJING MED-PHARM CORP., a corporation incorporated under the laws of the State of Delaware
and having its principal office at 600 W. Germantown Pike, Suite 400, Plymouth Meeting, PA
19462, USA (the “Licensee”); and
	 
	(3)	 	PSIMEDICA LTD, a company incorporated under the laws of England of: Registered office at
Malvern Hills Science Park, Malvern, Worcestershire WR14 3SZ England (“pSiMedica”)

BACKGROUND:-

	 	(A)	 	The Licensor has an exclusive licence dated 24 July 2002 from pSiMedica to certain
rights relating to the Patents and Know How, inter alia, radiotherapeutic agents based on
BioSilicon. (“the Superior Licence”).
	 
	 	(B)	 	The Licensor is willing to grant the Licensee, and the Licensee wishes to receive, an
exclusive sub-licence to use the Technology (as defined below) to research, develop,
import, market, use sell, supply and otherwise exploit products in the Licensed Field (as
defined below) in accordance with and subject to the provisions set out in this Agreement.
	 
	 	(C)	 	The Licensee wishes to enter into a manufacturing and supply agreement with pSiMedica
and/or the Licensor in accordance with this Agreement.

THE PARTIES AGREE as follows:-

	1.	 	DEFINITIONS
	 
	 	 	In this Agreement the following words and expressions shall have the following
meanings:-

	 	 	 
	1.1. “Associate”

	 	means in relation to a party, any body corporate or other
legal entity which:-

	 	(a)	 	is directly or indirectly owned and/or controlled by
that party;
	 
	 	(b)	 	that directly or indirectly owns and/or controls that
party;

 

 

     Confidential

	 	 	 
	 

	 	or

	 	(c)	 	is directly or indirectly owned and/or controlled by
the legal entity referred to in (b) above.

	 	 	 
	 

	 	In the case of legal entities having stocks and/or shares,
ownership or control shall exist through the direct or
indirect ownership and/or control of more than fifty
percent (50%) of the voting shares (other than any shares
of stock whose voting rights are subject to restriction).
In the case of any other legal entity, ownership and/or
control shall exist through the ability to directly or
indirectly control the management and/or business of the
legal entity;
	 
	 	 
	1.2. “Commencement Date”

	 	shall mean the date of this Agreement;
	 
	 	 
	1.3. “Confidential Material”

	 	shall have the meaning given to it in Clauses 12.1 and 12.2;
	 
	 	 
	1.4. “Granted Patents”

	 	means:-

	 	(a)	 	any patents granted in respect of the Patent
Applications; and
	 
	 	(b)	 	in relation to any patents falling within (a) above,
any re-issue or renewals thereof and any extensions of the
exclusivity granted in connection with such patents;

	 	 	 
	1.5. “Improvements”

	 	means any:-

	 	(a)	 	invention, discovery or information relating to the
Technology created after the Commencement Date; and
	 
	 	(b)	 	data relating to the Technology created after the
Commencement Date including, but not limited to, any raw
data, charts, summaries, analyses, reports and other
information resulting from tests or trials of material
formulated using the Technology;
	 
	 	(c)	 	for avoidance of doubt (a) and (b) shall not extend to
improvements which are acquired or licensed in by the
parties or which are produced by the Licensor’s
sub-licensee;

 

 

     Confidential

	 	 	 
	1.6. “Infringer”

	 	an unauthorized third party that uses any of the Licensed
Rights within the Licensed Field;
	 
	 	 
	1.7. “Infringement”

	 	any infringement of any of the Licensed Rights by an
Infringer;
	 
	 	 
	1.8. “Know How”

	 	the know how developed by the Licensor prior to the
Commencement Date relating to the inventions disclosed in
the Patents, as outlined in Schedule 2;
	 
	 	 
	1.9. “Licences”

	 	the licence granted under Clause 2.1;
	 
	 	 
	1.10. “Licensed Field”

	 	32P BioSilicon microparticles for use as a radiotherapy
agent for the treatment or monitoring of solid cancerous
tumours, including the primary tumour and metastases, which
can be applied:

	 	i)	 	interstitially within a cancerous tumour;
	 
	 	ii)	 	into a resection cavity after surgical removal of a
cancerous tumour;
	 
	 	iii)	 	into the peritoneal cavity; or
	 
	 	iv)	 	via the vasculature ( to the extent it becomes
technically feasible).

	 	 	 
	1.11. “Licensed Product(s)”

	 	any product whose research, development, import, marketing,
use, sale or supply is covered by, or utilises, any of the
Licensed Rights;
	 
	 	 
	1.12. “Licensed Rights”

	 	the Patents and the Know How;
	 
	 	 
	1.13. “Milestones”

	 	the dates and events set out in Schedule 3;
	 
	 	 
	1.14. “Milestone Payments”

	 	the payments set out in Schedule 3;
	 
	 	 
	1.15. “Net Sales Value”

	 	the gross amount invoiced by the Licensee, its Associates
or its Sub-Licensee to third parties in respect of the Sale
of Licensed Products, less the following items as indicated
on the relevant invoice:
	 
	 	 
	 

	 	(a) customary trade, quantity and cash discounts actually
granted;
	 
	 	 
	 

	 	(b) sales taxes, excise taxes and customs duties and other

 

 

     Confidential

	 	 	 
	 

	 	      governmental charges specified in the invoiced amount;
	 
	 	 
	 

	 	(c) outbound transportation, shipping and insurance,
prepaid or allowed, if separately itemized on the invoice
to the third party; and

	 
	 	 
	 

	 	(d) amounts actually repaid or credited for defective or
returned Licensed Products.
	 
	 	 
	1.16. “Patents”

	 	the Granted Patents and the Patent Applications;
	 
	 	 
	1.17. “Patent Applications”

	 	means the patent applications listed in Schedule 1,
including any continuation applications, divisional
applications or continuation-in-part applications relating
to such patent applications and any national or
international patent applications claiming priority from
such patent applications anywhere in the world.
	 
	 	 
	1.18. “Personnel”

	 	officers, employees, consultants, agents, representatives,
contractors and advisers;
	 
	 	 
	1.19. “Product Approval”

	 	in relation to the Territory the grant of all governmental,
regulatory and pricing approvals required to sell a
Licensed Product in the Territory;
	 
	 	 
	1.20. “Quarter”

	 	the quarterly periods ending 31 March, 30 June, 30
September and 31 December;
	 
	 	 
	1.21. “Revocation Proceedings”

	 	any proceedings where the validity
of any of the Patents is at issue;
	 
	 	 
	1.22. “Sale”

	 	a sale shall be deemed to occur when title to Licensed
Product transfers to a third party; provided however a
“sale” shall not include transfers or dispositions for
charitable, promotional, pre-clinical, clinical, regulatory
or governmental purposes, or sales between or among
Licensee, its Associates and Sub-Licensees.
	 
	 	 
	1.23. “Sub-licence Agreement”

	 	any agreement between the Licensee and a Sub-Licensee
granting a sublicence to the Licences granted pursuant to
this Agreement;
	 
	 	 
	1.24. “Sub-Licensee”

	 	a third party (including, but not limited to, an Associate
of the Licensee) to whom the Licensee has sub-licensed,
sub-contracted or otherwise transferred any of the
Licensee’s

 

 

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	 	rights and / or obligations under this Agreement;
	 
	 	 
	1.25. “Technology”

	 	the technology claimed by the Patents and/or included in the Know How; and
	 
	 	 
	1.27 “Territory”

	 	means the People’s Republic of China, Hong Kong Special
Administrative Region, and Macau Special Administrative Region.

	2.	 	GRANT OF LICENCE

	 	2.1	 	Subject to Clauses 2.2, the Licensor grants to the Licensee:-

	 	2.1.1	 	an exclusive (even as to Licensor) licence, under the Licensed
Rights to research, develop, import, market, use, sell, supply and otherwise
exploit products within the Licensed Field in the Territory.
	 
	 	2.1.2	 	For avoidance of doubt the grant in Clause 2.1.1 shall include
the right to conduct clinical trials and seek regulatory approvals for the
Licensed Products in the Territory.

	 	2.2	 	Save for the grant specified in Clause 2.1, the Licensor shall reserve all
other right in the Licensed Rights to itself.

	3.	 	DURATION OF THE LICENCE

	 	3.1	 	The Licence shall commence on the Commencement Date.
	 
	 	 	 	CONDITION PRECEDENT 
	 
	 	3.2	 	pSiMedica and/or the Licensor and the Licensee shall, within 90 calendar days of
the Commencement Date, enter into a manufacture and supply agreement for the supply of
Licensed Products (“Manufacture and Supply Agreement”). The Manufacture and Supply
Agreement shall be on commercially reasonable terms and shall provide, among other
things, that pSiMedia and/or Licensor will provide Licensee with its requirements of
Licensed Product and a springing manufacturing license in the event that pSiMedia
and/or Licensor are unable to do so. If the Manufacture and Supply Agreement is not
agreed and signed by pSiMedica and/or the Licensor and the Licensee in the
aforementioned 90 days this Licence Agreement shall immediately terminate.

	 	3.3	 	Subject to Clause 3.2, the Licence shall expire on the last to occur of the
following:-

	3.3.1	 	the date upon which the last Granted Patent with a valid claim
covering a Licensed Product ceases to be in force in the Territory; or

 

 

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	 	3.3.2   ten (10) years from the date the first Licensed Product was
first put on the market in the Territory.

	4.	 	SUBLICENSING AND SUBCONTRACTING

	 	4.1	 	The Licensee may sub-licence and/or subcontract its rights under this Agreement
provided it complies with this Clause 4. For clarity, Licensee may appoint dealers,
distributors and other agents in connection with fulfilling its obligations under this
Agreement; and may contract with third parties to assist in the clinical development of
the Licensed Product providing the Licensee adheres to the provisions of this Clause 4.
	 
	 	4.2	 	The Licensee shall enter into a written agreement with each Sub-Licensee and
shall ensure that:

	 	4.2.1	 	it has the prior written approval of the proposed Sub-Licensee
from the Licensor, such approval not to be unreasonably withheld, conditioned or
delayed; 
	 
	 	4.2.2	 	the provisions of the Sub-licence Agreement are not inconsistent
with the provisions of this Agreement;
	 
	 	4.2.3	 	the Sub-licence Agreement prohibits further sub-licensing and
sub-contracting by the Sub-Licensee without the prior written consent of the
Licensor and the Licensee, which consent shall not be unreasonably withheld,
conditioned or delayed;
	 
	 	4.2.4	 	the Sub-licence Agreement sets out all the proposed terms agreed
between the parties;
	 
	 	4.2.5	 	the Sub-licence Agreement imposes obligations of confidentiality
on the Sub-Licensee which are no less onerous than those set out in Clause 12;
and
	 
	 	4.2.6	 	the Sub-licence Agreement shall be terminated if this Agreement
expires or is terminated. 

	 	4.3	 	The Licensee shall use all reasonable endeavours to ensure that each
Sub-Licensee complies fully at all times with the provisions of its Sub-licence
Agreement.
	 
	 	4.4	 	The Licensee shall be responsible to the Licensor for all acts and/or omissions
of each Sub-Licensee as if such acts or omissions had been made by the Licensee.
	 
	 	4.5	 	The Licensee shall provide the Licensor with a true and complete copy of any
Sub-licence Agreement (reasonably redacted to protect any confidential information)
promptly following its execution.

 

 

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	5.	 	TECHNOLOGY TRANSFER

	 	5.1	 	Within 60 days of the Commencement Date, the Licensor will provide the Licensee
with copies of all documents in the Licensor’s possession, that:-

	 	5.1.1	 	provide details of the Technology; and
	 
	 	5.1.2	 	are reasonably necessary or desirable to enable the Licensee to
understand and apply the Technology; and
	 
	 	5.1.3	 	the Licensor is legally entitled to disclose to the Licensee;
provided that the Licensor has fully disclosed the nature of the documents that
it is not legally entitled to disclose and, to the extent possible, has provided
redacted copies of the same.

	 	5.2	 	The Licensor shall at the request of the Licensee provide the Licensee, free of
charge, with up to 30 actual full working days of consultancy services at the
Licensee’s premises in the US or the Territory during the 12 month period immediately
after the Commencement Date, to assist the Licensee to understand the Technology and to
ensure that the Know How is fully disclosed to the Licensee. The Licensee shall pay
reasonable and pre-approved out-of-pocket travel and accommodation expenses associated
with the 30 days of consultancy services. For purposes of clarity, “actual full
working day” shall mean a minimum of eight hours of consultancy time.
	 
	 	5.3	 	If the Licensee requires further assistance in addition to the 30 days provided
under Clause 5.2, the Licensor will use all reasonable endeavours to provide such
further assistance but accepts no further obligations in this respect. Any additional
assistance provided by the Licensor shall be charged to the Licensee as follows:-

	 	5.3.1	 	The Licensee shall pay for the time spent by each of the
Licensor’s Personnel engaged in providing the additional assistance (including
travelling time) at the rates to be agreed in advance; and
	 
	 	5.3.2	 	the Licensee shall pay all pre-approved out-of-pocket expenses
(including travel, hotel and subsistence expenses) reasonably incurred by the
Licensor’s Personnel arising out of the additional assistance.

	 	5.4	 	All payments due under Clause 5.3 shall be paid by the Licensee monthly in
arrears upon receipt of invoice.

	6.	 	PAYMENTS
	 
	 	 	Milestone Payments

The Licensee shall pay to the Licensor the Milestone Payments set out in Schedule
3 of this Agreement on the attainment of the corresponding Milestone as set out in
Schedule 3. The first Milestone in Schedule 3 of [**] shall be payable
in two equal instalments: the

 

 

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first being the Commencement Date; and the second being the date when the Manufacture
and Supply Agreement is signed in accordance with Clause 3.2. All Milestone Payments
shall be non-refundable except for the first instalment of the first Milestone in
Schedule 3, which shall be refunded in the event that the Manufacture and
Supply Agreement is not signed within 90 calendar days of the Commencement Date as
specified in Clause 3.2

Royalties

	 	6.1	 	Subject to Section 6.2, 6.3 and 6.4, the Licensee shall pay to the Licensor a
royalty at the percentage rate specified in Schedule 3 (the “Royalty Rate”) of
the Net Sales Value of all Licensed Products sold by the Licensee or its Sub-Licensee
in the Territory where:-
	 
	 	 	 	6.1.1  any Granted Patent is in force; and
	 
	 	 	 	6.2.2  the Licensed Product concerned would infringe any claim of such
Granted Patent in the Territory but for the Licence granted under this
Agreement.

	 
	 	6.2	 	In the event that (1) the Licensee or any Sub-Licensee acquires one or more
technologies from a third party in order to research, develop, import, market, use,
sell, supply Licensed Products in the Territory, and (2) pSiMedia and/or Licensor
provide written approval of such acquisition (not to be unreasonably withheld,
conditioned or delayed), and (3) Licensee is required to pay a royalty to such a third
party; then Licensee may deduct from royalties due to Licensor the royalty paid to such
third party(ies), but in no event may the royalties due to Licensor be reduced by
greater than fifty percent (50%) and notwithstanding the foregoing, unless otherwise
agreed by the parties, the Royalty Rate shall not be less than [**].
	 
	 	6.3	 	Further provided that in the event that Licensee or any Sub-Licensee is
required to acquire one or more technologies from a third party in order to research,
develop, import, market, use, sell, supply Licensed Products in the Territory, and is
required to pay a royalty to such a third party, Licensee may deduct from royalties due
to Licensor the royalty paid to such third party(ies), but in no event may the
royalties due to Licensor be reduced by greater than fifty percent (50%) and
notwithstanding the foregoing, the Royalty Rate shall not be less than [**].
	 
	 	6.4	 	For purposes of clarity, in the event that both Section 6.2 and 6.3 apply to a
particular Licensed Product, then the Royalty Rate shall not be reduced to lower than
[**].

Consideration for pSiMedica

	 	6.5	 	In consideration of the Licensee entering into the aforementioned Licence with
pSiMedica’s wholly owned subsidiary company( the Licensor) and payment by the Licensee
of 10 (ten) US Dollars to pSiMedica (receipt of which is hereby acknowledged),
pSiMedica is entering into this Agreement. pSiMedica and Licensor acknowledge and
agree that such consideration is adequate and neither party will undertake to seek
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	7.	 	PAYMENT TERMS

	 	7.1	 	The Licensee shall promptly notify the Licensor as soon as any of the
Milestones have been reached.
	 
	 	7.2	 	Once a Milestone has been reached, the Licensor shall submit an invoice to the
Licensee for the relevant Milestone Payment. The Licensee shall pay the invoiced sum
to the Licensor within 30 days of the date of the invoice.
	 
	 	7.3	 	The Licensee shall provide the Licensor within 30 days of the end of each
Quarter with a royalty statement for that Quarter setting out the information listed in
Schedule 4.
	 
	 	7.4	 	The Licensee shall pay sums due to the Licensor under Clause 6 in respect of
the supply of Licensed Products made during any Quarter, within 30 days of the end of
such Quarter. Upon receipt of such royalties, the Licensor shall issue to the Licensee
a receipted invoice.
	 
	 	7.5	 	All sums payable under this Agreement:-

	 	7.5.1	 	are exclusive of any Value Added Tax, GST or any other sales tax
or duties, which where applicable, shall be payable by the Licensee in addition
to any sum in respect of which they are calculated;
	 
	 	7.5.2	 	shall be paid in US Dollars to the credit of the Licensor’s bank
account, details of which shall be notified to the Licensee as and when
necessary;
	 
	 	7.5.3	 	shall be paid in full without any deductions (including, but not
limited to, deductions in respect of items such as income, corporation, or other
taxes, charges and/or duties) except insofar as the Licensee is required by law
to deduct withholding tax from sums payable to the Licensor. If the Licensee is
required by law to deduct withholding tax then the Licensee shall:-

	 	7.5.3.1	 	ensure that the deduction or withholding does not exceed the minimum
amount legally required;
	 
	 	7.5.3.2	 	account to the relevant taxation or other authorities within the
period for payment permitted by the applicable law the full amount of the
deduction or withholding;
	 
	 	7.5.3.3	 	furnish to the Licensor within the period for payment permitted by the
relevant law either an official receipt of the relevant taxation
authorities involved in respect of all amounts so deducted or withheld or
if such receipts are not issued by the taxation authorities concerned a
certificate of deduction or equivalent evidence of the relevant deduction
or withholding.
	 
	 	7.5.3.4	 	co-operate with the Licensor to ensure that the amount of any
deductions or withholdings required by law are kept to a minimum

 

 

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	 	 	 	and that the Licensor obtains a tax credit in respect of the
amount withheld; and
	 
	 	7.5.3.5	 	shall be paid by the due date for payment as specified in this
Agreement. If the Licensee fails to pay any sum due under this Agreement
in full by the due date for payment then the Licensor may, without
prejudice to any other right or remedy available to the Licensor, charge
interest on any outstanding amount on a daily basis at a rate equivalent
to the London Inter-Bank Offer Rate (6 months) plus 5%.

	 	7.6	 	If Licensed Products are sold by the Licensee or its Sub-Licensees in a
currency other than US Dollars, the royalties payable in respect of such Sales under
this Agreement shall be first determined in the currency of the country in which such
Sales took place and then converted into US Dollars on the average of the closing rates
of the last 5 days (as quoted by Reuters Ltd or such other publication mutually agreed
to) of each month in the Quarter in which such Sales took place.

	8.	 	RECORDS, INSPECTIONS AND STATEMENTS

Maintenance of Records 

	 	8.1	 	During the term of this Agreement and for a period of six (6) years thereafter, the
Licensee shall, and shall procure that its Sub-Licensees shall, keep at their normal
place of business detailed, accurate and up to date records and books of account
showing the quantity, description and value of all Licensed Products supplied by the
Licensee and its Sub-Licensees in the Territory and all sums paid to the Licensee by
its Sub-Licensee, in each case during the previous six (6) years. The Licensee shall
ensure that such records and books of accounts are sufficient to ascertain the
royalties due to the Licensor under this Agreement.

Inspections

	 	8.2	 	Subject to Clause 8.3, the Licensee shall, and shall procure that its Sub-Licensees
shall, make its records and books available for inspection during normal business hours
by an independent certified or chartered accountant appointed by the Licensor (the
“Accountant”) for the purpose of verifying the accuracy of any statement provided by
the Licensee to the Licensor pursuant to Clause 7.3. Such books and records may be
redacted to protect third party confidential information provided that such redaction
does not materially diminish the ability for Licensor to conduct a meaningful
verification. The Accountant shall be entitled to take copies of such records and
books solely for the purposes of carrying out the verification and shall only disclose
the records to the Licensor to the extent necessary to support its position that the
statement is inaccurate (including in the course of legal proceedings) and then only to
the Personnel directly responsible for such matters. Each such inspection shall be
limited to pertinent books and records as the Accountant may require for verification
purposes only. Licensor shall be responsible for

 

 

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	 	 	 	ensuring that each designee or representative of Licensor that conducts an inspection
and audit of the Licensee records shall comply with the confidentiality obligations
set out in this Agreement.
	 
	 	8.3	 	The Licensor shall be entitled to have inspections carried out pursuant to
Clause 8.2 once every calendar year (and once following termination or expiry of this
Agreement) on up to three calendar years worth of statements, on giving the Licensee
and its Sub-Licensees 30 days’ written notice prior to each inspection.
	 
	 	8.4	 	The Licensor shall bear the cost of carrying out the inspections referred to in
Clause 8.2 unless there is an error of more than 7.5% in any four consecutive royalty
statements provided by the Licensee or its Sub-Licensees in which case the Licensee
shall immediately pay to the Licensor the costs of making the relevant inspection. If
the Licensor’s inspection shows that the Licensee has paid more than the amounts
properly due under this Agreement then the Licensee shall be entitled to deduct such
excess from any sums payable to the Licensor under this Agreement. If the Licensor’s
inspection reveals a deficit then, without prejudice to any other right or remedy
available to the Licensor, the Licensee shall promptly make good the deficit; and pay
interest on the deficit at London Inter-Bank Offer Rate (6 months) plus 5% from the
date upon which the deficit arose to the date upon which the deficit was paid.

	9.	 	LICENSEE’S OBLIGATIONS TO EXPLOIT

	 	9.1	 	Upon Licensees’ receipt of data and results from the dose ranging study of the
Licensed Product in Singapore and other such data required to commence further clinical
studies, the Licensee shall use all reasonable endeavours to:

	 	9.1.1	 	develop a commercially viable Licensed Product in the Licensed
Field in the Territory;
	 
	 	9.1.2	 	subject to Clause 9.3, apply for Product Approval for a Licensed
Product in the Territory as expeditiously as possible;
	 
	 	9.1.3	 	provide a marketing plan to the Licensor on an annual basis; and
	 
	 	9.1.4	 	market and promote each Licensed Product in the Territory where
Product Approval has been granted for that Licensed Product.

	 	9.2	 	The Licensee shall use the similar level of resources to develop a Licensed
Product as it would use to develop one of its own products with a similar commercial
potential to that of the Licensed Product.
	 
	 	9.3	 	During the first 12 calendar months from the later of (a) Commencement Date or
(b) the receipt of data (as specified in 9.1 above) from the Singapore dose ranging
Study of the Licensed Product, the Licensor and the Licensee shall agree a date when
the Product

 

 

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	 	 	 	Approval for the Licensed Product must be filed and once the date is agreed the
Licensee shall use all reasonable endeavours to achieve that date.

	10.	 	IMPROVEMENTS

	 	10.1	 	The Licensor shall grant to the Licensee, without additional charge, a
non-exclusive, worldwide, licence under any intellectual property in any Improvements
owned by the Licensor to research, develop, and sell Licensed Products within the
Licensed Field in the Territory together with the right to grant sub-licences to
Sub-Licensees in accordance with the provisions of Clause 4.
	 
	 	10.2	 	The Licensee shall grant to the Licensor without charge a non-exclusive,
worldwide, royalty free licence (including the right to grant sub-licences) under any
Improvements owned by the Licensee to research, develop, manufacture and sell materials
and products (in each case) (i) inside and/or outside the Licensed Field outside of the
Territory and (ii) outside the Licensed Field in the Territory.
	 
	 	10.3	 	Each party (the “Requesting Party”) may, from time to time ask the other party
(the “Recipient Party”) to provide the Requesting party with a written report detailing
any Improvements made by the Recipient Party (or its Sub-Licensees in the case of the
Licensee) during the period since the Recipient Party last sent a report pursuant to
this Clause. Each report shall contain sufficient details of the Improvements to
enable the Requesting Party to understand the Improvements. 

	11.	 	NOTIFICATION OF PATENTS ON PRODUCT INSERTS

Except as otherwise instructed by the Licensor from time to time and subject to applicable
law, the Licensee shall procure that the following notice is included in the information
leaflet supplied with each Licensed Product in a reasonably clear, readable and conspicuous
manner and in the same language as the information leaflet:

“This product has been formulated using technology sub-licensed from pSiOncology Pte.
Ltd. and is protected by the following patents [insert the registration numbers of
the relevant granted Patents covering the Territory].”

	12.	 	CONFIDENTIALITY

	 	12.1	 	In this Agreement, “Confidential Material” shall, subject to Clause 12.2,
mean:-

	 	12.1.1	 	any and all data, results, know-how (including the Know How), show-how,
software, algorithms, inventions, designs, trade secrets, plans, forecasts,
analyses, evaluations, research, technical information, business information,
financial information, business plans, strategies, customer lists, marketing
plans, or other information whether oral, in writing, in electronic form, or in
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	 	12.1.2	 	any physical items, compounds, components, samples or other materials
disclosed by one party or any of its Associates (the “Disclosing Party”) to the
other party or any of its Associates (the “Receiving Party”) before, on or after
the Effective Date.

	 	12.2	 	In this Agreement, “Confidential Material” shall not include any information or
materials which the Receiving Party can prove:-

	 	12.2.1	 	is or becomes public knowledge through no improper conduct on the part of the
Receiving Party, its Associates and/or their respective Personnel;
	 
	 	12.2.2	 	was in the lawful possession of the Receiving Party and/or its Associates
without any obligations of confidentiality or restrictions on use prior to first
receiving it from the Disclosing Party;
	 
	 	12.2.3	 	is obtained subsequently by the Receiving Party and/or its Associates from a
third party without any obligations of confidentiality and such third party is
in lawful possession of such information or materials and not in violation of
any contractual or legal obligation to maintain the confidentiality of such
information or materials; or
	 
	 	12.2.4	 	is independently and lawfully developed by the Receiving Party.

	 	12.3	 	The Receiving Party shall treat all Confidential Material as secret and
confidential and shall not use, copy or disclose to any third party any Confidential
Material received from the Disclosing Party (whether before, on or after the date of
this Agreement) except as set out in Clause 12.4 below.
	 
	 	12.4	 	The Receiving Party may:-

12.4.1 use and disclose Confidential Material received from the Disclosing Party to
the extent necessary to enable the Receiving Party to exploit the rights granted
under this Agreement and/or to perform its obligations under this Agreement
provided that the Receiving Party shall (1) only disclose Confidential Material
to third parties who are subject to appropriate and legally binding
confidentiality obligations in respect of the Confidential Material disclosed;
and (2) use all reasonable endeavours to ensure that such third parties do not
further disclose or use Confidential Material;

12.4.2 disclose Confidential Material received from the Disclosing Party to those of
its officers and employees to whom such disclosure is necessary (and only
disclose that part of the Confidential Material which is necessary) to enable
the Receiving Party to exploit the rights granted under this Agreement and/or
to perform its obligations under this Agreement and provided that the Receiving
Party shall remain responsible for procuring that its officers and employees do
not further disclose and/or use the Confidential Material for any other purpose;
and/or

 

 

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12.4.3 after giving written notice to the Disclosing Party, disclose any part of the
Confidential Material received from the Disclosing Party solely to the extent
that it is legally required to do so pursuant to an order of a court of
competent jurisdiction or governmental authority provided that the Receiving
Party shall use its best endeavours to limit such disclosure and to provide the
Disclosing Party with an opportunity to make representations to the relevant
court or governmental authority.

	 	12.5	 	All documents, materials and other items (including items in electronic form),
and any intellectual property rights therein, provided by the Disclosing Party to the
Receiving Party containing Confidential Material shall remain the absolute property of
the Disclosing Party.
	 
	 	12.6	 	The Receiving Party shall at all times maintain documents, materials and other
items (including items in electronic form) containing Confidential Material received
from the Disclosing Party and any copies thereof, in a secure fashion by taking
reasonable measures to protect them from theft and unauthorised copying, disclosure and
without prejudice to the foregoing shall exercise at least the same degree of care to
prevent unauthorised disclosure and/or use of the Disclosing Party’s Confidential
Material as the Receiving Party exercises in respect of its own confidential material
of like importance.
	 
	 	12.7	 	The Receiving Party shall notify the Disclosing Party immediately if the
Receiving Party becomes aware of any unauthorised use or disclosure of, or any
unauthorised access to or of any theft or loss of any copies of any Confidential
Material received from the Disclosing Party.
	 
	 	12.8	 	The provisions of this Clause 12 shall commence on the Commencement Date and
shall continue for seven (7) years after the termination or expiry of this Agreement.

Confidentiality of the Know-how

	12.9	 	The Licensor shall use all reasonable endeavours to ensure that the Know How does
not become public knowledge but reserves the right to make disclosures of the Know
How:-

	 	12.9.1	 	in Patent Applications and/or patent applications to the extent such Patent
Applications and/or patent applications are not prejudicial to the rights
granted to Licensee in the Territory pursuant to this Agreement;
	 
	 	12.9.2	 	to third parties who are subject to appropriate confidentiality obligations in
respect of the Know How;
	 
	 	12.9.3	 	to other licensees (i) inside and/or outside the Licensed Field outside of the
Territory, and (ii) outside the Licensed Field in the Territory, provided that
such licensee is subject to comparable confidentiality obligations with the
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	 	12.9.4	 	inacademic research papers provided such papers have received the prior written
approval of the Licensee, such approval not to be unreasonably withheld, conditioned or
delayed by the Licensee.

	13.	 	LIMITATION OF LIABILITY AND INDEMNITY 

	 	13.1	 	After the Effective Date, the Licensee shall assume all risks associated with
the development and supply of the Licensed Product by Licensee or Sub-Licensee for use
in the Licensed Field and shall be responsible for all third party claims to the extent
that they relate to the Licensed Product for use in the Licensed Field developed, or
supplied by Licensee or Sub-Licensee including but not limited to, claims based upon
product liability laws. The Licensor shall assume all risks associated with the
development and supply of the Licensed Product by Licensor or Sub-Licensee for use in
the Licensed Field and shall be responsible for all third party claims to the extent
that they relate to the Licensed Product for use in the Licensed Field developed or
supplied by Licensor or Sub-Licensee including but not limited to, claims based upon
product liability laws.
	 
	 	13.2	 	Neither pSiMedica, the Licensor nor any of their Personnel shall be liable to
the Licensee, or any Sub-Licensee, whatsoever for any loss, liability, damages, costs
or expenses (“Losses:”) arising from:

	 	13.2.1	 	the Licensee’s (or any Sub-Licensee’s) use or development of the
Patents;
	 
	 	13.2.2	 	the Licensee’s (or any Sub Licensee’s) research, development,
use, distribution or supply of the Licensed Products; and/or
	 
	 	13.2.3	 	the use or possession of the Licensed Products by a third party
in the Territory (or outside the Territory, where the Licensed Products find
themselves outside of the Territory, as a consequence of breach of this
Agreement).
	 
	 	 	 	Notwithstanding the foregoing, pSiMedica, the Licensor and/or their Personnel shall
be liable to the Licensee, or any Sub-Licensee, to the extent such Losses result from
the gross negligence or wilful misconduct of Licensor or pSiMedica or its Personnel
or from a material breach of a representation, warranty or covenant under this
Agreement.

	 	13.3	 	Neither Licensee,its Sub-licensees nor their Personnel shall be liable to the
Licensor or pSiMedica whatsoever for any Losses, arising from:

	 	13.3.1	 	the Licensor’s, pSiMedica’s or their sub-licensee’s use or
development of the Patents;
	 
	 	13.3.2	 	the Licensor’s, pSiMedica’s or their sub-licensees research,
development, use, distribution or supply of the Licensed Products; and/or
	 
	 	13.3.3	 	the use or possession of the Licensed Products (that were not
supplied by Licensee or its Sub-licensees) by a third party outside of the
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	 	 	 	Notwithstanding the foregoing, Licensee, its Sub-licensees, and/or their Personnel
shall be liable to the Licensor or pSiMedica to the extent such Losses result from
the gross negligence or wilful misconduct of Licensee, its Sub-licensees or its
Personnel or from a material breach of a representation, warranty or covenant under
this Agreement.

	 	13.4	 	The Licensee shall fully indemnify, and at all times keep the Licensor fully
indemnified against any and all liability, damages, claims, proceedings, expenses
(including, but not limited to, legal expenses and expert’s fees) by a third party
(“Claims”) arising out of or in connection with:-

	 	13.4.1	 	any exercise of the Licensed Rights by the Licensee and/or its
Sub-Licensees , including any research, development, use, distribution,
promotion, commercialization, or supply of the Licensed Products; and/or
	 
	 	13.4.2	 	breach of a representation, warranty or covenant under this
Agreement by Licensee
	 
	 	 	 	Notwithstanding the foregoing, no indemnification shall be made by Licensee for
Claims resulting from the gross negligence or wilful misconduct of Licensor or
pSiMedica or from a breach of a representation, warranty or covenant under this
Agreement.

	 	13.5	 	Licensor and pSiMedica shall fully indemnify, and at all times keep the
Licensee fully indemnified against any Claims arising out of or in connection with:-

	 	13.5.1	 	the research, development, manufacture, use, promotion,
commercialization, distribution or supply of the Licensed Product by Licensor,
pSiMedica, their Associates, subcontractors or agents outside of the Territory;
and/or
	 
	 	13.5.2	 	breach of a representation, warranty or covenant under this
Agreement by Licensor or pSiMedica
	 
	 	Notwithstanding the foregoing, no indemnification shall be made by Licensor or
pSiMedica for Claims resulting from the gross negligence or wilful misconduct of
Licensee or from a breach of a representation, warranty or covenant under this
Agreement.

	 	13.6	 	NOTWITHSTANDING ANYTHING TO THE CONTRARY, NEITHER PARTY NOR ANY OF ITS
ASSOCIATES, NOR ANY OF THEIR RESPECTIVE DIRECTORS, OFFICERS, MEMBERS OR EMPLOYEES,
SHALL HAVE ANY LIABILITY OF ANY TYPE, FOR ANY SPECIAL, PUNITIVE, INCIDENTAL, INDIRECT
OR CONSEQUENTIAL DAMAGES, INCLUDING, BUT NOT LIMITED TO THE LOSS OF OPPORTUNITY, LOSS
OF USE, OR LOSS OF REVENUE OR PROFIT, IN CONNECTION WITH OR ARISING OUT OF THIS
AGREEMENT.

	14.	 	WARRANTIES AND UNDERTAKINGS

	 	14.1	 	The Licensor and pSiMedica represent and warrant to the Licensee that at the
Commencement Date:

 

 

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	 	14.1.1	 	There are no third party agreement in effect which is
inconsistent with the rights and licence granted to Licensee herein;
	 
	 	14.1.2	 	To their knowledge, there are no third party patent application
which, if issued, would materially adversely affect the right of Licensee to
practice under the Licensed Technology in the Territory;
	 
	 	14.1.3	 	There is no information known to them that is material to the
patentability or validity of the Licensed Rights in the Territory or Partner’s
freedom to operate thereunder in the Territory;
	 
	 	14.1.4	 	They have the full right, power and authority to grant to the
Licensee the licences contained herein and has been granted any required
consents;
	 
	 	14.1.5	 	Subject to the rights granted to the party named in Schedule
5, they have the exclusive licence to the Patents; and
	 
	 	14.1.6	 	Neither Licensor nor pSiMedica (including their respective
Associates) have received written notice of any threatened claims or litigation
or any reissue, re-examination, interference, opposition or similar proceedings
seeking to invalidate or otherwise challenge any Licensed Rights in the
Territory.

	 	14.2	 	The Licensor and pSiMedica undertake:

	 	14.2.1	 	to promptly advise Licensee if Licensor or pSiMedica receives
written notification that it is in breach of the Superior License;
	 
	 	14.2.2	 	in the event of termination of the Superior License, ensure that
this License is maintained without interruption;
	 
	 	14.2.3	 	not to amend the Superior License in such a way as to become
materially inconsistent with the rights and Licence granted to the Licensee
herein; and
	 
	 	14.2.4	 	to make a copy of the Superior Licence available to the Licensee
for regulatory purposes, if it is required by law.

	 	 	 	Exclusion of Implied Warranties

	 	14.3	 	All statements, representations (other than fraudulent misrepresentations),
warranties, terms and conditions (whether express or implied) as to the suitability
and/or usefulness of the Licensed Rights for any particular purpose including without
limitation the development of Licensed Products are hereby excluded to the maximum
extent permissible by law.
	 
	 	14.4	 	Without prejudice to the generality of Clause 14.3, the Licensor does not give
any warranty, representation or undertaking:- 

 

 

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	 	14.4.1	 	as to the efficacy, usefulness, safety or commercial or
technical viability of the Technology and/or any products made or processes
carried out using the Technology; 
	 
	 	14.4.2	 	as to the volumes or quality of the Licensed Products which may
be manufactured through the use of the Technology; or
	 
	 	14.4.3	 	that the Patent Applications will be granted.
	 
	 	14.4.4	 	that the Technology can be freely exploited in the Territory;
	 
	 	14.4.5	 	that the Technology will not infringe the intellectual property
rights or other rights of any third party; and /or
	 
	 	14.4.6	 	that all or any part of the Know-How is confidential and is not
otherwise available to the public.

	15.	 	PROSECUTION OF THE PATENT APPLICATIONS

	 	15.1	 	Subject to Clause 15.2, pSiMedica (or its Associates) shall use reasonable
efforts to procure the grant of patents from the Patent Applications.
	 
	 	15.2	 	After the Licensee has launched the first Licensed Product in the Territory,
the Licensor shall notify the Licensee if pSiMedica decides not to proceed with a
Patent Application in the Territory in sufficient time for Licensee to take action in
lieu of Licensor or pSiMedica.
	 
	 	15.3	 	The Licensee shall promptly notify the Licensor if it wishes to proceed with
the prosecution of any Patent Application notified to the Licensee pursuant to Clause
15.2 
	 
	 	15.4	 	The Licensee shall have the right to prosecute Patent Applications in the
Territory notified to the Licensee pursuant to Clause 15.2, inpSiMedica’s own name, at
the Licensee’s own cost and expense, in which case the relevant Patent Application
shall be deemed to be a “Licensee Prosecuted Patent Application” and shall be excluded
from the definition of Patent Applications for the purposes of Clauses 15.1 and 15.2.
All Licensee Prosecuted Parents shall be owned exclusively by pSiMedica and shall be
excluded from Granted Patents.
	 
	 	15.5	 	The Licensee shall decide on the prosecution strategy for Licensee Prosecuted
Patent Applications but shall take account of any reasonable views expressed by the
Licensor and pSiMedica concerning prosecution strategy provided that the Licensee shall
have the final decision on such matters.
	 
	 	15.6	 	The Licensee shall use reasonable endeavours to procure the grant of the
Licensee Prosecuted Patent Applications.

 

 

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	 	15.7	 	If the Licensee for whatever reason decides not to proceed with the prosecution
of a Licensee Prosecuted Patent Application in the Territory then the Licensee shall
promptly notify pSiMedica and the Licensor to this effect and they shall have the right
to continue with its prosecution at their own cost and expense, in which case the
relevant Licensee Prosecuted Patent Application shall cease to be a Licensee Prosecuted
Patent Application and shall revert to being a Patent Application or, if granted, a
Granted Patent for the purposes of this Agreement.

	16.	 	MAINTENANCE OF THE PATENTS

	 	16.1	 	Subject to Clause 16.2, pSiMedica shall pay all renewal fees payable in respect
of the Granted Patents as and when such renewal fees become due.
	 
	 	16.2	 	If pSiMedica does not wish to continue to pay the renewal fees in respect of a
Granted Patent then pSiMedica shall notify the Licensee of its intention to allow the
specified Granted Patent to lapse at least 60 days before the next renewal fee is due.
The Licensee shall have the right to pay the renewal fees in respect of such Granted
Patent. If the Licensee does not notify pSiMedica of its intention to exercise its
rights under this Clause 16.2 within 14 days of pSiMedica’s notice then the Licensor
shall have the right to allow the Granted Patent to lapse.
	 
	 	16.3	 	The Licensee shall have the right to pay the renewal fees in respect of Granted
Patents notified to the Licensee pursuant to Clause 16.2 in pSiMedica‘s name at the
Licensee’s own cost and expense, in which case the relevant Granted Patent shall be
deemed to be a “Licensee Granted Patent” and shall be excluded from the definition of
Granted Patents for the purposes of this Agreement.
	 
	 	16.4	 	The Licensee shall, subject to Clause 16.5, pay all renewal fees in respect of
the Licensee Granted Patents as and when such fees become due.
	 
	 	16.5	 	If the Licensee for whatever reason decides not to continue to pay renewal fees
in respect of Licensee Granted Patents then the Licensee shall promptly notify
pSiMedica and the Licensor to this effect and they shall have the right to continue to
pay the renewal fees of such Licensee Granted Patents at their own cost and expense, in
which case the Granted Patent shall cease to be a Licensee Granted Patent.

	17.	 	INFRINGEMENT OF THE LICENSED RIGHTS

	 	17.1	 	Each of the parties shall promptly notify the others with such details as it
has in its possession of all Infringements or potential Infringements as and when it
becomes aware of an Infringement.
	 
	 	17.2	 	The Licensor shall decide whether it wishes to take Infringement proceedings
and shall notify its decision in writing to the Licensee. If it does decide to take
such proceedings, the Licensee shall provide the Licensor with such assistance as the
Licensor may reasonably require. The Licensor shall pay the Licensee’s reasonable out
of pocket

 

 

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	 	 	 	expenses properly incurred in providing the requested assistance. The Licensor shall
take such proceedings in its own name and at its own cost.
	 
	 	17.3	 	If the Licensor decides not to take Infringement proceedings, then the Licensee
shall be responsible for taking action to prevent such Infringement, including but not
limited to conducting Infringement proceedings in its own name and at its own cost.
The Licensor shall provide the Licensee with such assistance as the Licensee may
reasonably request in connection with any proceedings referred to in this Clause 17.3.
The Licensee shall pay the Licensor’s reasonable out of pocket expenses properly
incurred in providing the requested assistance.
	 
	 	17.4	 	Each party shall keep the other fully informed of the progress of and
developments in any proceedings referred to in Clause 17.2 or 17.3, respectively,
including, but not limited to, any settlement discussions with the defendants or
potential defendants of such proceedings.
	 
	 	17.5	 	The Licensee may negotiate settlements with Infringers but shall not conclude
any settlement without having received the Licensor’s prior written approval of terms
of the settlement, such approval not to be unreasonably withheld, or delayed.
	 
	 	17.6	 	Any damages, proceeds, settlement sums or awards received by the Licensee in
relation to any Infringement (together referred to as “Damages”) shall be deemed to be
revenue from Sales of Licensed Products for the purposes of Clause 6.2. Accordingly,
the Licensee shall pay to the Licensor the royalty set out in Clause 6.2 on any Damages
received after deduction from the Damages of the Licensee’s costs and expenses
(including, without limitation, reasonable attorneys’ fees) incurred in taking action
in respect of the Infringement.
	 
	 	17.7	 	If in connection with any proceedings referred to in Clause 17.3 an Infringer
counterclaims for revocation of any of the Granted Patents then the Licensee shall
notify the Licensor of such counterclaims and Clause 18 shall apply in respect of such
counterclaims.

	18.	 	REVOCATION PROCEEDINGS

	 	18.1	 	The Licensor shall promptly notify the Licensee of the commencement of any
Revocation Proceedings.
	 
	 	18.2	 	The Licensor and/or pSiMedica shall have the right but not the obligation to
defend the Revocation Proceedings.
	 
	 	18.3	 	If the Licensor or pSiMedica does not wish to defend or continue to defend
Revocation Proceedings then the Licensor shall promptly notify the Licensee. The
Licensee may at the Licensee’s own cost and expense, defend or continue to defend the
Revocation Proceedings referred to in the Licensor’s notice.

 

 

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	 	18.4	 	Each party shall provide the other party with such assistance as the other
party shall reasonably request in connection with any Revocation Proceedings. The
party requesting such assistance shall pay the other party’s reasonable out-of-pocket
expenses properly incurred in providing the requested assistance.

	19.	 	COMMENCEMENT, EXPIRY AND TERMINATION
	 
	 	 	Commencement and Expiry

	 	19.1	 	This Agreement shall come into force on the Commencement Date and unless terminated
earlier in accordance with its provisions, this Agreement shall terminate (i) if the
Manufacture and Supply Agreement is not signed in accordance with the provisions of
Clause 3.2; or (ii) as provided under Clause 3.3.

	 	 	Termination by the Licensee

	 	19.2	 	The Licensee may terminate this Agreement forthwith by giving the Licensor (a)
immediate written notice of termination if the Licensor commits a material breach of
any provision of this Agreement and, having been notified of such breach, fails to
remedy it within 60 days of notification (b) 30 days prior written notice in accordance
with Clause 22.3 or (c) 90 days prior written notice of the (i) technical infeasibility
to research, develop, import, market, use, sell or supply Licensed Product, (ii)
circumstance that a comparable company of similar size would deem development and
commercialization of a product such as the Licensed Product commercially infeasible
        ,(iii) failure of the Licensed Product to achieve acceptable safety and efficacy
standards as required by the regulatory authorities; or (iv) a third party blocking
position to the development, manufacture or sale of the Licensed Product in the
Licensed Field.

	 	 	Termination by the Licensor

	 	19.3	 	The Licensor may terminate this Agreement forthwith by giving the Licensee
immediate written notice of termination if:-

	 	19.3.1	 	the Licensee commits a material breach of this Agreement which
is not capable of remedy within the cure period; or
	 
	 	19.3.2	 	the Licensee commits a material breach of this Agreement which
is capable of remedy and, having been notified of such breach, fails to remedy
it within 60 days of notification; or
	 
	 	19.3.3	 	the Licensee and its Sub-Licensees have not made any commercial
Sales of Licensed Product in the Territory within one (1) year of commercial
launch of the Licensed Product.

 

 

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	 	19.4	 	For the purposes of Clause 19.4, a breach shall be deemed to be capable of
remedy if:-

	 	19.4.1	 	the Licensee can comply with the provision(s) that have been breached in all
respects other than as to time of performance;
	 
	 	19.4.2	 	time is not of the essence in respect of the performance of such provision(s);
and
	 
	 	19.4.3	 	the breach is not one of a persistent series of breaches by the Licensee.

	 	19.5	 	This Agreement may be terminated by the Licensor forthwith by notice in writing
to the Licensee if:-

	 	19.5.1	 	the Licensee fails to pay in full any payments due under this Agreement within
30 days of receiving notice from the Licensor demanding such payment;
	 
	 	19.5.2	 	the Licensee, Associates of the Licensee and/or Sub-Licensees dispute or
directly or indirectly assist any third party to dispute the validity and/or
scope of any of the Licensed Rights, including, but not limited, to the validity
of any of the claims of the Patents and except to the extent necessary to defend
itself against an action.
	 
	 	19.5.3	 	any of the following events occur:-

	 	19.5.3.1	 	an order is made or a resolution passed for the winding up of the
Licensee (other than for the purpose of a solvent scheme of
reconstruction or amalgamation);
	 
	 	19.5.3.2	 	a liquidator, administrative receiver, receiver or trustee is
appointed in respect of a material part of the Licensee’s assets or
business;
	 
	 	19.5.3.3	 	as a consequence of financial difficulties the Licensee makes an
assignment of all its material assets to its creditors other than its
Associates; or
	 
	 	19.5.3.4	 	the Licensee ceases to continue its business (other than a change of
control transaction);

	 	19.5.4	 	at any time the Licensee and/or Licensee’s Associates and/or Sub Licensees
develop or acquire technology in the Licensed Field which directly competes with
Licensor’s Technology and uses such competing technology to develop or
commercialize products within the Licensed Field in the Territory.

 

 

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	20.	 	CONSEQUENCES OF EXPIRY OR TERMINATION

	 	 	Consequences of Expiry or Termination

	 	20.1	 	On expiry of this Agreement, the Licenses granted by the Licensor to the Licensee
hereunder shall be deemed fully paid.
	 
	 	20.2	 	Upon termination of this Agreement for any reason:-

	 	20.2.1	 	the Licensee shall within 30 days of the date of termination or expiry pay to
the Licensor all sums due to it under this Agreement in respect of the period up
to and including the date of termination including, without limitation, any
royalties payable on Licensed Products on a Sale prior to or on the date of
termination and any Milestone Payments which become payable prior to or on the
date of termination;
	 
	 	20.2.2	 	any rights or remedies of each of the parties arising from any breach of this
Agreement shall continue to be enforceable in accordance with terms
contained herein;
	 
	 	20.2.3	 	the following provisions shall continue in full force and effect: Clause 1,
Clause 4.4 in respect of acts and/or omissions by Sub-Licensees on or prior to
termination of the Sub-licence Agreements, Clauses 6 and 7 in respect of
royalties and Milestones payable pursuant to Clause 20.1.1, Clause 12, Clause 13
in respect of acts and/or omissions on or prior to the date of termination or
expiry, Clause 20 and Clause 23 (for clarity, notwithstanding the termination or
expiry of this Agreement, any provisions of this Agreement specifically
providing for survival shall continue in full force and effect);
	 
	 	20.2.4	 	the Licences shall terminate automatically and the Licensee shall, and shall
procure that its Sub-Licensees shall, forthwith cease all activities requiring a
licence under this Agreement; provided that, in case of expiry or termination of
this Agreement due to reasons other than a material breach by Licensee, Licensee
and/or Sub-Licensees shall have the right to continue using the Licenses granted
hereunder to market and sell all Licensed Products which are fully manufactured
and in Licensee and/or Sub-Licensees’ normal inventory at the date of such
expiry or termination for a period of 90 days from the expiry or termination
date; and
	 
	 	20.2.5	 	the Receiving Party shall within a reasonable period destroy or return to the
Disclosing Party all Confidential Material and any copies thereof disclosed to
the Receiving Party by the Disclosing Party whether in the possession or control
of the Receiving Party, its Associates and/or Sub-Licensees. Upon reasonable
request, the Receiving Party shall provide to the Disclosing Party a signed
statement from a duly authorised officer of the Receiving Party that the
Receiving Party’s obligations under this Clause 20.1.5 have been complied with;
provided however, the Receiving Party may maintain one copy of Confidential
Material in an archival format for its legal records.

 

 

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	21.	 	TRADE MARKS 

	 	21.1	 	Following the date of this Agreement, the Licensor or pSiMedica shall promptly
apply for BRACHYSIL to be registered as a trade mark in each jurisdiction in the
Territory, including China.
	 
	 	21.2	 	In the event that a trade mark registration is forthcoming, the parties shall
enter into a trade mark licence granting an exclusive license of the BRACHYSIL trade
mark to the Licensee; such license shall be granted without any additional
consideration from the Licensee, including, without limitation, any upfront or royalty
payments.
	 
	 	21.3	 	In the event that BRACHYSIL is unobtainable as a registered trade mark in any
jurisdictions within the Territory, the parties shall agree upon an alternative trade
mark which shall be applied for in the Licensee’s name and which shall be applied to
the Licensed Product in the respective jurisdiction of the Territory. In these
circumstances, the Licensee shall be responsible for maintaining, and all costs
associated with the trade mark.

	22.	 	COMMERCIAL DEVELOPMENT 

	 	22.1	 	It is the intention of pSiMedica and / or the Licensor to conduct or have
conducted more than one clinical trial outside the Territory using the Technology and
to take steps to obtain regulatory approval with the view to launching Licensed Product
for the treatment of Hepatocellular Carcinoma or pancreatic cancer in the US or Europe.
	 
	 	22.2	 	If pSiMedica and / or the Licensor are unable to perform or have performed any
or all of the clinical trials referred to in Clause 22.1 for any reason it shall be
under no obligation to do so.
	 
	 	22.3	 	If pSiMedica and/or the Licensor are unable to commence any of the clinical
trials referred to in Clause 22.1 by [**], the Licensee may provide 30 days written
notice to pSiMedica and / or the Licensor to terminate this Agreement.
	 
	 	22.4	 	For clinical trials which are conducted in accordance with Clause 22.1,
pSiMedica and/or the Licensor shall make available to the Licensee, on a non-exclusive
basis and subject to the confidentiality provisions contained herein, the results of
clinical trials and similarly any supporting toxicology, pharmacology, non clinical and
chemistry, manufacturing and control studies that pSiMedica and/or the Licensor have
conducted for these clinical trials for the purposes of enabling the Licensee to
progress its clinical trials in the Territory (including without limitation, all
material information concerning the quality, toxicity, safety and/or efficacy concerns
that may materially impair the utility and/or safety of any products made or processes
carried out using the Technology) to the extent that these have been carried out by the
Licensor and/or pSiMedica and/or their Associates) and results are available to
dispatch. 
	 
	 	22.5	 	The Licensee shall make available to pSiMedica and/or the Licensor for their
use all development data and results in the English Language relating to clinical
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	 	 	 	clinical studies carried out by (or on behalf of) the Licensee using the Technology.
pSiMedica and/or the Licensor may make this information available to its other
licensees and Sub-Licensees outside of the Territory and inside the Territory for a
different Licensed Field.
	 
	 	22.6	 	The Licensee shall, at least 60 days prior to enrolling patients in a clinical
trial in the Territory submit the proposed protocol in the English language for
pSiMedica and/or the Licensor to review and to make comments if it wishes. The
Licensee shall use reasonable endeavours to utilise the comments.
	 
	 	22.7	 	The Licensee shall offer pSiMedica and/or the Licensor (at their own cost) the
opportunity to meet, interview and comment upon each medical director selected by the
Licensee to supervise the clinical trials; the opportunity to audit or visit the
proposed clinical trial sites during normal business hours and with reasonable advance
notice; and the opportunity to review and comment on the criteria for patients to be
enrolled in each clinical trial (subject to patient confidentiality obligations). The
Licensee shall make these opportunities available to pSiMedica and/or the Licensor;
provided that pSiMedica and/or the Licensor shall be under no obligation to carry out
the aforementioned activities in good faith and reasonable manner. Where pSiMedica
and/or the Licensor do provide comments, the Licensee will use reasonable endeavours to
utilise the comments.
	 
	 	22.8	 	The Licensee shall provide copies in the English language of all material
submissions to the regulatory authorities in the Territory at least 30 days prior to
filing the same and pSiMedica and/or the Licensor shall be entitled but not obliged to
comment. pSiMedica and/or the Licensor shall also be provided with copies of
correspondence from the regulatory authority if requested by pSiMedica and/or the
Licensor. Where pSiMedica and/or the Licensor do provide comments the Licensee will
use reasonable endeavours to utilise the comments.
	 
	 	22.9	 	The Licensee shall promptly provide pSiMedica with all adverse reaction
information (both serious adverse reactions and otherwise) and associated safety data
arising out of all clinical trials in the Territory for compliance with pSiMedica’s
regulatory requirements.
	 
	 	22.10	 	pSiMedica and/or Licensor shall promptly provide the Licensee with all adverse
reaction information (both serious adverse reactions and otherwise) and associated
safety data arising out of all clinical trials outside the Territory to assist
Licensee’s compliance with regulatory requirements in the Territory.
	 
	 	22.11	 	If pSiMedica and/or the Licensor carries out any of the activities referred to
in Sections 22.6, 22.7 and 22.8 at the request of Licensee, then pSiMedica and/or the
Licensor shall be entitled to charge the Licensee in accordance with the provisions of
Clause 5. If any time out of the 30 days is remaining under Clause 5.2, this will be
utilised first and thereafter when that is exhausted pSiMedica and/or the Licensor will
charge in accordance with Clause 5.3

 

 

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	 	22.12	 	The Licensee shall have the sole right and responsibility, at its sole cost
and expense, to conduct clinical trials in the Territory and for preparing, filing and
seeking Product Approval not withstanding any comments or assistance provided by
pSiMedica and/or the Licensor.
	 
	 	22.13	 	The Licensee shall be responsible, at its sole cost and expense, for
compliance with all applicable laws of the Territory relating to importation,
promotion, marketing, sales and distribution of the Licensed Product, including but not
limited to any requirements regarding initial testing and release of the Licensed
Product for the first importation into the Territory, and for making or obtaining all
applicable approvals, filings, permits and/or licences necessary or desirable for the
sale of the Licensed Products in the Territory.
	 
	 	22.14	 	The full extent of pSiMedica’s and/or the Licensor’s assistance in relation to
development support for the Licensed Products is contained in this Clause 22.

	23.	 	GENERAL

	 
	Interpretation	

	 	23.1	 	In this Agreement:-

	 	23.1.1	 	“including” means including without limitation; “include” and “includes” shall
be construed accordingly.
	 
	 	23.1.2	 	the headings are for convenience only and shall not affect the interpretation
of this Agreement;
	 
	   23.2  In this Agreement, unless the context requires otherwise:-
	 
	 	23.2.1	 	all references to Clauses, Schedules or Appendices are references to Clauses,
schedules or appendices of this Agreement;
	 
	 	23.2.2	 	the singular includes the plural and vice versa;
	 
	 	23.2.3	 	the masculine includes the feminine and vice versa;
	 
	 	23.2.4	 	references to legislation shall be construed as a reference to that
legislation as amended, re-enacted or replaced whether in whole or in part; and
	 
	 	23.2.5	 	words denoting persons shall refer to any legal entity including without
limitation individuals, companies and corporations.

	 	23.3	 	The schedules, appendices and annexes attached to this Agreement shall form
part of this Agreement.

 

 

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     Notices

	 	23.4	 	Any notice given under this Agreement shall be in writing in the English language
and shall be:-

	 	23.4.1	 	delivered by hand; or
	 
	 	23.4.2	 	sent by pre-paid airmail (or by first class post in the case of communications
within the same country); or
	 
	 	23.4.3	 	sent by fax (confirmed by pre-paid airmail or first class post as appropriate
placed in the post on or on the day after the date of transmission);

to the address or fax number set out below or to such other address or fax number as
may from time to time be notified to the other party in writing.

Notices to Licensor:

Ms Beng Hong Ong

Wong Tan & Molly Lim, 80

Robinson Road # 17-02,

Singapore 068898Fax: + 65 6222 6502

 Notices to Licensee:

BMP

600 W. Germantown Pike, Suite 400,

Plymouth Meeting, PA 19462, USA

Attn: Chief Financial Officer

Fax: +1 610 940 1676

Notices to pSiMedica:

pSiMedica

Malvern Hills Science Park, Malvern, 
Worcestershire WR14 3SZ England

Attn: Commercial Director

Fax: +44 (0) 1684 585357

	 	23.5	 	Any notice given under Clause 23.4 shall be deemed to have been received:-

	 	23.5.1	 	on the date of delivery if delivered by hand prior to 5:00 pm on a business
day, otherwise on the next business day following the date of delivery;
	 
	 	23.5.2	 	on the second business day from and including the day of posting in the case
of pre-paid first class post within the same country;
	 
	 	23.5.3	 	on the tenth business day from and including the day of posting in the case of
pre-paid airmail; or
	 
	 	23.5.4	 	on the next business day following the day of transmission in the case of
facsimile (confirmed by pre-paid first class post/airmail as provided above).

 

 

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	 	23.6	 	In Clause 23, business day shall mean a day that is not Saturday, Sunday and/or
a public holiday in the country to which the notice is sent.

     Severability

	 	23.7	 	If any provision of this Agreement is declared by any judicial or other competent
authority to be void, voidable, illegal or otherwise unenforceable then the remaining
provisions of this Agreement shall continue in full force and effect. The judicial or
other competent authority making such determination shall have the power to limit,
construe or reduce the duration, scope, activity and/or area of such provision, and/or
delete specific words or phrases as necessary to render, such provision enforceable.

     Waiver

	 	23.8	 	Failure or delay by either party to exercise any right or remedy under this
Agreement shall not be deemed to be a waiver of that right or remedy, or prevent it
from exercising that or any other right or remedy on that occasion or on any other
occasion.

     Entire Agreement and Amendments

	 	23.9	 	This Agreement together with the confidentiality agreement dated 11 July 2005,
 and the Manufacture and Supply Agreement (if and when signed) between the parties
shall constitute the entire agreement and understanding of the parties relating to the
subject matter of this Agreement and supersedes all prior oral or written agreements,
representations, understandings or arrangements between the parties relating to the
subject matter of this Agreement.
	 
	 	23.10	 	Except as expressly set forth in this Agreement, neither party grants to the
other by implication, estoppel or otherwise, any right, title, licence or interest in
any intellectual property right.
	 
	 	23.11	 	The parties acknowledge that they are not relying on any agreement,
understanding, arrangement, warranty, representation or term which is not set out in
this Agreement. Without prejudice to the generality of the foregoing, the Licensor
does not give any warranty, representation or undertaking:-

	 	23.11.1	 	as to the efficacy, usefulness safety or commercial or technical viability of
the Technology and/or any products made or processes carried out using the
Technology;
	 
	 	23.11.2	 	as to the volumes or quality of the Licensed Products which may be
manufactured through the use of the Technology;
	 
	 	23.11.3	 	that any of the Patents or any other intellectual property in respect of the
Technology is or will be valid or subsisting or that any of the applications
within the Patents will proceed to grant;

 

 

Confidential

	 	 	 	 
	 
	 	23.11.4	 	that the Technology or any intellectual property in respect thereof
(including the Patents) can be freely exploited in any part of the Territory;
	 
	 	23.11.5	 	that the use of the Technology will not infringe the Intellectual Property or
other rights of any third party; or
	 
	 	23.11.6	 	that all or any part of the Technology is confidential and is not otherwise
available to the public.

	 	23.12	 	The parties irrevocably and unconditionally waive any rights and/or remedies
they may have to the fullest extent permitted by law (including without limitation the
right to claim damages and/or to rescind this Agreement) in respect of any
misrepresentation other than a misrepresentation which is contained in this Agreement.
	 
	 	23.13	 	No provision of this Agreement shall operate to:-

	 	23.13.1	 	exclude any provision implied into this Agreement by English Law and which
may not be excluded by English Law; or
	 
	 	23.13.2	 	limit or exclude any liability, right or remedy to a greater extent than is
permissible under English Law including in relation to (1) death or personal
injury caused by the negligence of a party to this Agreement or (2) fraudulent
misrepresentation or deceit.

	 	23.14	 	No change shall be made to this Agreement except in writing in the English
language signed by the duly authorised representatives of both parties.

     Relationship of the Parties

	 	23.15	 	Nothing in this Agreement shall create, evidence or imply any agency, partnership
or joint venture between the parties.
	 
	 	23.16	 	Neither party shall act or describe itself as the agent of the other party nor
shall either party have or represent that it has any authority to make commitments on
behalf of the other.

     Assignment and Sub-contracting

	 	23.17	 	None of the parties herein shall            assign or transfer any of their rights or
obligations under this Agreement without the prior written consent of the other
parties, such consent not to be unreasonably withheld, conditioned or delayed. 
	 
	 	23.18	 	Each party shall be entitled (without the consent of the other parties) to
assign this Agreement (or any of its rights or obligations under this Agreement) to its
Associate.
	 
	 	23.19	 	If either party wishes to assign or novate this Agreement to any corporation
with which it has merged or consolidated or to which it has sold all or substantially
all of its assets the other shall not be entitled to unreasonably withhold or delay its
consent to such

 

 

Confidential

assignment or novation, it being understood that if this Agreement and its rights
hereunder are assigned or novated to any such corporation with which the Licensee has
merged or consolidated or to which it may sell its assets, the Licensor may refuse
such consent if the Licensor’s rights as a result thereof are not (in the Licensor’s
reasonable opinion) safeguarded. In the event Licensor does not consent to such
assignment or novation, Licensee may terminate this Agreement by providing fifteen
(15) days notice.

	 	23.20	 	If a party delegates all or any of its obligations under this Agreement to any
third party, the party delegating shall be fully responsible to the other party for the
proper performance of those obligations and for any negligent act or omission made by
the third party or its staff in relation thereto.

     Authority and Government Approvals

	 	23.21	 	Each party represents and warrants to the other that:-

	 	23.21.1	 	it is a company, duly incorporated and validly existing under, in the case of
the Licensor, the laws of Singapore, in the case of the Licensee, the Laws of
the State of Delaware of the U.S., and in the case of pSiMedica, the
laws of England; and
	 
	 	23.21.2	 	it has the authority to enter into this Agreement and that it has the
requisite corporate power to enter into this Agreement and to perform its
obligations hereunder without obtaining the consent of any third party.

     Publicity & Non-disclosure

	 	23.22	 	Each party shall not, and shall procure that their respective Personnel, their
respective Associates and the Personnel of their respective Associates shall not, make
any announcement, or comment upon, or originate any publicity, or otherwise provide any
information to any third party (other than its legal advisors) concerning this
Agreement including but not limited to, the fact that the parties are engaging in
discussions, the existence of this Agreement, the terms of this Agreement, the
performance of this Agreement and/or any dispute or disagreement relating to this
Agreement without the prior written consent of the others.
	 
	 	23.23	 	Each party shall not, and shall procure that their Sub-Licensees and
Associates shall not, identify the Licensor or pSiMedica or the Licensee in any
promotional, advertising or other materials to be disseminated to the public or any
third party or use the Licensor or pSiMedica’s name, or the name of any employee of the
Licensor or pSiMedica or the Licensee or any trade mark, symbol or company name of the
Licensor or pSiMedica without having provided a copy of such material to the other
parties and having obtained the prior written consent of the other parties.
	 
	 	23.24	 	Any announcement made pursuant to this Agreement must be approved in writing
and in advance by the Licensor and the Licensee.

 

 

Confidential

     Further Assurances

	 	23.25	 	Each party shall, as and when requested by the other party, do all acts and
execute all documents as may be reasonably necessary to give effect to the provisions
of this Agreement.
	 
	 	23.26	 	The parties shall execute such formal licences as they may consider necessary
or reasonably appropriate for registration of the licences granted under this Agreement
with the patent offices and trade mark offices and/or other relevant authorities in the
Territory. Any such formal licence shall operate subject to the terms of this
Agreement and, in the event of any conflict, the terms of this Agreement shall prevail.
	 
	 	23.27	 	The parties shall use reasonable endeavours to ensure that, to the extent
permitted by relevant authorities, this Agreement shall not form part of any public
record.

     Stock Exchange Rules

	 	23.28	 	Nothing in this Agreement shall prevent the Licensor or its Associates from
complying with any obligations that it may have from time to time under the rules of
any other stock exchange.

     Force Majeure

	 	23.29	 	If the performance by a party of its obligations under this Agreement (other than
an obligation to pay any sums due under this Agreement) is prevented, restricted,
delayed or interfered with by any circumstances beyond the reasonable control of that
party, its licensees, contractors and subcontractors, then that party shall, upon
giving prompt notice to the other party specifying the circumstances and obligations
concerned, be excused from such performance to the extent of such prevention,
restriction, delay or interference.

	 	23.30	 	If notice is given by a party pursuant to Clause 23.28 above and the
performance of any of its obligations is prevented, restricted or interfered with for a
period of more than 6 months after the commencement of such prevention, restriction or
interference then the other party may terminate this Agreement by giving the other
party 7 days written notice of termination.

     Third Party Rights

	 	23.31	 	The Contracts (Rights of Third Parties) Act 1999 and any legislation amending or
replacing this Act shall not apply in relation to this Agreement and nothing in this
Agreement shall confer on any third party the right to enforce any provision of this
Agreement.

 

 

Confidential

     Law and Jurisdiction

	 	23.32	 	The validity, construction and performance of this Agreement shall be governed by
English Law except that questions affecting the construction and effect of any patent
shall be determined by the law of the country in which the patent was granted. The
parties irrevocably submit to the non-exclusive jurisdiction of the English courts in
respect thereof.

     Non-Assertion

	 	23.33	 	In no event shall the Licensor or its Sub-licensees directly or indirectly assert
an action of patent infringement against the Licensee for making, having made, using or
selling Licensed Product in accordance with the terms of this Agreement.

     Execution

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

[SIGNATURE PAGE FOLLOWS]

 

 

Confidential

AGREED by the parties through their duly authorised representatives on the date written at the
start of this Agreement:-

	 	 	 	 	 	 	 	 	 
	For and on behalf of PSIONCOLOGY PTE. LTD :-	 	 	 	For and on behalf of BEIJING MED-PHARM CORP. :-
	 
	 	 	 	 	 	 	 	 
	Signed

	 	William Brimblecombe	 	 	 	Signed	 	Martyn Greenacre
	 
	 	 	 	 	 	 	 	 
	Full Name

	 	William Brimblecombe	 	 	 	Full Name	 	Martyn Greenacre
	 
	 	 	 	 	 	 	 	 
	Title

	 	Chairman	 	 	 	Title	 	Chairman
	 
	 	 	 	 	 	 	 	 
	For and on behalf of PSIMEDICA LTD :-	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 
	Signed
	 	William Brimblecombe	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 
	Full Name
	 	William Brimblecombe	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 
	Title
	 	Chairman	 	 	 	 	 	 

SIGNATURE PAGE TO EXCLUSIVE PATENT AND KNOW HOW LICENCE AGREEMENT

 

 

Confidential

Schedule 1

Patent Applications

pSiMedica Limited published PCT applications and GB priority applications

     The following is a list of published PCT applications and GB priority applications that are
relevant to the pSiMedica 32P brachytherapy product. The table is based upon
information available on 09/09/05.

	 	 	 	 	 	 	 
	Publication number	 	Priority Number	 	PsiMedica reference	 	Title
	 
	WO 9953898

	 	GB 9808052.6
	 	P2638
	 	Implants for
administering
substances and
methods of
producing implants
	 
	 	 	 	 	 	 
	WO 0005339

	 	GB 9815819.9
	 	P2703
	 	Transferring materials into cells
using porous silicon
	 
	 	 	 	 	 	 
	WO 05066073

	 	GB 0400149.1
	 	P7166
	 	New material and
method of
fabrication
therefor
	 
	 	 	 	 	 	 
	Not yet published

	 	GB 0419653.1
	 	P7170
	 	Needle assembly

 

 

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Schedule 2

Know How

Know How relating to:-

	 	•	 	32P-BioSilicon particles
	 
	 	•	 	SIMPL needle and other implantation systems
	 
	 	•	 	Formulant (FMV27v3) and 32P-BioSilicon medical device accessories

     In particular relating to:-

	 	•	 	Pre-Clinical evaluation
	 
	 	•	 	Clinical studies
	 
	 	•	 	Regulatory applications and approvals
	 
	 	•	 	Market analysis

 

 

Confidential

Schedule 3

Milestones and Royalties

	 	 	 
	Milestone	 	Payment in US$
	Licence Fee

Payable in 2 instalments, namely:

	 	[**]
	1)US      [**] on signature of this Agreement by all the
parties; and
	 	 
	2)US      [**] on signing of the Manufacture and Supply
Agreement in accordance with Clause 3.2
	 	 
	 
	 	 
	On enrolment of the first patient into a clinical trial of
a Licensed Product in the Territory for Hepatocellular
Carcinoma (“HCC”)

	 	[**]
	 
	 	 
	On enrolment of the first patient into a clinical trial of
a Licensed Product in the Territory for each subsequent
cancer indication, namely different cancer indications
other than HCC, eg pancreatic cancer

	 	[**]
	 
	 	 
	In the first calendar year to achieve US$5 million Gross
Sales of all Licensed Product in the Territory. This
Milestone shall be due for payment on 31 December of that
year.

	 	[**]

To clarify, each Milestone Payment shall be paid only if this Agreement has not terminated prior to
the occurrence of the event giving rise to such payment obligation.

Royalty
payments on Net Sales Value of Licensed Product will be according to the following structure:

	 	 	 	 	 
	Annual Net Sales Value in US$	 	Royalty Rate	 
	Up to $10,000,000
	 	 	[**]	%
	Between $10,000,001 and $20,000,000
	 	 	[**]	%
	Between $20,000,001 and $30,000,000
	 	 	[**]	%
	Between $30,000,001 and $40,000,000
	 	 	[**]	%
	From $40,000,001 onwards
	 	 	[**]	%

“Gross Sales” referred to in the Milestone table above shall mean the total gross Sales of Licensed
Product to third parties.

 

 

Confidential

Schedule 4

Royalty Statements

	1.	 	In respect of the Territory where Licensed Products were supplied during that Quarter:-
	 
	1.1	 	the Net Sales Value of each type of Licensed Product supplied expressed both in Chinese
currency and in US Dollars together with conversion rates used;
	 
	1.2	 	the royalty rate applicable to each type of Licensed Product supplied in the Territory;
	 
	1.3	 	the calculation of the royalties payable in respect of each type of Licensed Product; and
	 
	1.4	 	the total amount of royalties payable in respect of the Territory; and
	 
	1.5	 	the amount of any withholding tax deducted pursuant to Clause 7.5.3.

 

 

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Schedule 5

QinetiQ’s Rights 

	 	 	For the purposes of this Schedule, unless the context otherwise requires, the following
expressions shall have the following meanings:

	 	 	 	 	 	 	 
	“Field”	 	:	 	the technical fields covered by the
Patents and Know-how namely biological
and/or
	 
	 	 	 	 	 	biomedical and/or diagnostics
and/or cosmetic applications of porous
silicon and polysilicon on or in the
human or animal body;
	 
	 	 	 	 	 	 
	“Intellectual Property”	 	:	 	means patents, supplementary protection
	 

	 	 	 	 	 	certificates, petty patents, trade marks,
trade names, service marks, design
rights, database rights, domain names,
rights in undisclosed confidential
information, (such as know-how, trade
secrets, and inventions (whether
patentable or not)), and other similar
intellectual property rights (whether
registered or not) and applications for
such rights as may exist anywhere in the
world;
	 
	 	 	 	 	 	 
	“Know-how”	 	:	 	the original QinetiQ know-how identified
as being such in Schedule 2 of this

	 
	 	 	 	 	 	Agreement;
	 
	 	 	 	 	 	 
	“Patents”	 	:	 	the original QinetiQ
patents identified as being such in Schedule 1 of this

	 
	 	 	 	 	 	Agreement;
	 
	 	 	 	 	 	 

	1.	 	QinetiQ has the right to use the Know-how and Patents and all other know Intellectual
Property Rights subsisting in the subject matter of the Patents and Know-how as reasonably
necessary to conduct research relating to the Intellectual Property rights owned, controlled
or used by QinetiQ.

 

 

Confidential

	2.	 	QinetiQ has the right (together with the right to grant sub-licences only to the Secretary of
State for Defence on similar terms) to a royalty free irrevocable licence to use the Know-How
and Patents and all other Intellectual Property subsisting in the subject matter of the rights
in the Patents and Know-how for any defence related non-commercial purposes.

	3.	 	QinetiQ has an exclusive licence on fair and reasonable terms to be agreed with pSiMedica, to
use and to sub-licence the use of the Know-how and Patents and all other Intellectual Property
subsisting in the subject matter of the Know-how and Patents for any purpose outside of the
Field.

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