Document:

EXHIBIT 10.7

CERTAIN INFORMATION IN THIS EXHIBIT IS SUBJECT TO A REQUEST FOR CONFIDENTIAL
TREATMENT. IN ACCORDANCE WITH RULE 406 UNDER THE SECURITIES ACT OF 1933, AS
AMENDED, SUCH INFORMATION HAS BEEN OMITTED AND FILED SEPARATELY WITH THE
SECURITIES AND EXCHANGE COMMISSION. THE LOCATION OF SUCH OMITTED INFORMATION HAS
BEEN INDICATED WITH AN ASTERISK(*).

                              Dated: 26 June, 1989

                            MEDICAL RESEARCH COUNCIL

                                     -and-

                              TANOX BIOSYSTEMS INC

                                    LICENSE

                                      FOR

                                 WINTER PATENT
<PAGE>
THIS AGREEMENT is made the 26th day of June, One Thousand Nine Hundred and
Eighty-Nine, between MEDICAL RESEARCH COUNCIL of 20 Park Crescent, London W1N
4AL (hereinafter called "MRC" which expression includes its successors and
assigns) of the one part and TANOX BIOSYSTEMS, INC., 10301 Stella Link, Suite
110, Houston, Texas 77025, U.S.A. (hereinafter called the "Licensee" which
expression includes its successors and permitted assigns) of the other part.

WHEREAS, MRC is the proprietor of certain patent rights as herein defined in
respect of the genetic engineering of monoclonal antibodies comprising the
replacement, in whole or in part, of the complementarity determining regions of
one antibody by those of another.

Now, it is hereby agreed as follows:

1.    DEFINITIONS.

      (1) In this Agreement, the following words and expressions shall be
          construed as follows:

          "THE EFFECTIVE DATE" shall mean the date set forth above.

          "THE RESHAPING PROCESS" shall mean the genetic engineering of
          monoclonal antibodies comprising the replacement, in whole or in part,
          of the complementarity determining regions of one antibody by those of
          another as described in the Winter Patent.

          "THE PRODUCTS" shall mean products produced either directly or
          indirectly from antibodies which have been modified using the
          Reshaping Process and which are in a form capable of being marketed or
          sold upon a commercial basis (the parties intend that the Products
          will include in some manner such an antibody).

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          "AFFILIATE" means any company, partnership or other entity which
          directly or indirectly controls, is controlled by or is under common
          control with either party to this Agreement.

          "CONTROL" means the ownership of more than fifty percent (50%) of the
          issued share capital or the legal power to direct or cause the
          direction of the general management and policies of the party in
          question.

          "FIELDS" shall mean the field of human therapy and human in vivo and
          in vitro diagnostics.

          "NET RECEIPTS" shall mean all monies received by Licensee in respect
          of the sale of the Products, less the following items to the extent
          that they are paid or allowed and, as appropriate, indicated on the
          invoice:

               o normal discounts actually granted;

               o credits allowed for Products returned or not accepted by
                 customers;

               o packaging, transportation and prepaid insurance changes on
                 shipments or deliveries to customers;

               o taxes actually incurred and paid by Licensee in connection with
                 the sale or delivery of Products to customers.

          "THE WINTER PATENT" shall mean the patents and applications therefor
          set out in Schedule 1 hereto of which MRC is the proprietor or under
          which MRC has the right to grant licenses at the Commencement Date and
          any divisions, renewals, continuations, extensions or reissues
          thereof, and any further patent application which names the same
          Gregory Winter as an inventor and discloses and claims similar subject
          matter, or which claims the same Convention priority

                                       2
<PAGE>
          date; and any patent granted or to be granted on such patent
          application(s). MRC will promptly notify Licensee of the issuance of
          any such patents.

          "THE BOSS PATENTS" shall mean

               (i)  European Patent Application 0 120 693 (84301996.9) of 23
                    March 1984 naming Michael Alan Boss as an inventor;

               (ii) GB Patent Application 8308235 of 25 March 1983;

               (iii) Japanese Patent Application 501609/84 of 23 March 1984;

               (iv) and any patent granted or to be granted on such patent
                    application(s).

               (v)  US Patent 4 816 397 of 28 March 1989.

     (2)  In this Agreement, the singular shall where the context so permits
          include the plural and vice versa.

2.   COMMENCEMENT.

     This Agreement shall be deemed to have come into force on the Effective
     Date and shall be read and construed accordingly.

3.   GRANT OF RIGHTS.

     (1)  MRC agrees to grant to the Licensee the following licenses under the
          Winter Patent:

          (i)  a non-exclusive worldwide license to exploit the Winter Patent
               commercially in any way whatsoever by the use of the Reshaping
               Process in the Fields and by the commercial exploitation in the
               Fields of any resulting antibodies provided always that any such
               exploitation does not involve the antibodies detailed in the
               Second Schedule hereto; and

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          (ii) a non-exclusive sublicense under the Boss Patents to the extent
               required to enable the licensee to use the Reshaping Process in
               accordance with (i) above and for no other purpose.

     (2)  The Licensee shall not be entitled to grant sublicenses of the rights
          granted to it under this Agreement except with the prior written
          consent of MRC. The licensee shall use its best endeavors to ensure
          that any sublicensee performs its obligations under any such
          sublicense.

     (3)  The following arrangements shall not require the prior consent of MRC:

          (i)  The appointment of any person as agent or distributor to market,
               sell, use or otherwise dispose of the Products in any part of
               the world;

          (ii) The subcontracting of the development of new Products for the
               Licensee;

          (iii) The subcontracting of manufacture for the Licensee of Products
                or intermediates for Products.

4.   PAYMENTS.

     (1)  IN CONSIDERATION for the non-exclusive license granted pursuant to
          Clause 3.1 hereof, the Licensee shall pay to the MRC the sum of *
          exclusive of Value Added Tax ("VAT") upon signature of this Agreement.

     (2)  IN FURTHER consideration of the licenses granted by MRC to Licensee
          under this Agreement, Licensee shall pay to MRC a royalty at the rate
          of * of Net Receipts and VAT thereon on all sales of Products by
          Licensee or any Affiliate where the Products are either manufactured
          and/or sold in a country where the Winter Patent is granted, valid and
          subsisting at the date of such sale. MRC agrees to notify Licensee of
          any actions or oppositions contesting validity of the Winter Patent.

                                       4
<PAGE>
     (3)  If MRC licenses another party under the Winter Patent in the
          fields at a lower royalty rate than is payable by Licensee by virtue
          of this Agreement, or with another substantial term more favorable to
          such party than the corresponding term of this Agreement, MRC will
          notify Licensee of same and then Licensee shall have an option to
          convert this Agreement so that the royalty rate payable thereunder, or
          other corresponding term, is the same as the rate or term that applies
          to the third party; provided that if the third party's license
          imposes upon that party any other obligation (including any
          restriction as to product or territory) which is associated with that
          party's operations as patent licensee and which is more onerous than
          an obligation of corresponding category on the part of Licensee under
          this Agreement, then any exercise of the option by Licensee shall
          operate so that Licensee assumes an obligation as patent licensee
          corresponding to such other obligation of the third party, either as a
          substitute in place of Licensee's obligation(s) of corresponding
          category, or if there is no such obligation of corresponding
          category, then as an additional obligation.

          This clause sball not entitle the Licensee to a license in respect of
          any of the restricted antibodies set out in Schedule 2.

     (4)  Licensee agrees to keep true and accurate records and books of account
          containing all data necessary for the calculation of the royalties
          payable to MRC under Clause 4(2). Such records and books of account
          shall upon reasonable notice having been given by MRC be open at all
          reasonable times during business hours for inspection by MRC or its
          duly authorized representative.

     (5)  When sales of Products commence, Licensee shall prepare a statement in
          respect of each calendar quarter of this Agreement which shall show
          for the calendar quarter in question Licensee's Net Receipts on sales
          by it of the Products on a country-by-country basis, details of the
          quantities of Products manufactured and sold in each country and the
          royalty and VAT due to MRC thereon pursuant to Clause 4(2) above. Such
          statement shall be submitted to MRC within sixty (60) days of the end
          of the calendar quarter of this

                                       5
<PAGE>
          Agreement or part thereof to which it relates together with a
          remittance for the royalties and VAT due to MRC. If MRC shall give
          notice to Licensee within thirty (30) days of the receipt of any such
          statement that it does not accept the same, such statement shall be
          certified by an independent certified or chartered accountant
          appointed by agreement between the parties or, in default of
          agreement within fourteen (14) days, by the President for the 1ime
          being of the Institute of Chartered Accountants of Eng1and and
          Wales in London (the parties agree that an accountant located in the
          U.S. may be appointed). Licensee shall make available all books and
          records required for the purpose of such certification and the
          statement so certified shall be binding between the parties. The costs
          of such certification shall be the responsibility of MRC if the
          certification shows the original statement to have been accurate or
          overpaid and otherwise shall be the responsibility of Licensee if
          royalties are determined to have been underpaid by greater than two
          percent (2%). Following any such certification, the parties shall
          make any adjustments necessary in respect of the royalties already
          paid to MRC in relation to the year in question.

     (6)  Payments due under this Agreement shall be made in fu1l, provided that
          in the event and to the extent that any such payment is subject to
          direct taxes levied or assessed by any government authority under the
          laws of the country from which payment is made and there is a relevant
          treaty or other provision for the avoidance of double taxation or for
          other relief in respect of tax deducted at source, Licensee shall have
          the right to deduct from the payment any such taxes, provided that
          Licensee shall for each such deduction furnish to MRC a certificate or
          other documentary evidence executed in the matter required by the
          relevant government authority to enable MRC to obtain relief from
          double taxation or such other relief in respect of the tax so
          deducted.

          Sums are expressed in this Agreement as exclusive of VAT. MRC agrees
          to provide Licensee with a VAT invoice in respect of every payment
          affected by VAT.

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<PAGE>
     (7)  Where MRC does not receive payment of any sums due to it within the
          period specified hereunder in respect thereof interest shall accrue on
          the sum outstanding at the rate of one percent (1%) per month
          calculated on a daily basis without prejudice 10 MRC's right to
          receive payment on the due date therefor.

5.   TERM AND TERMINATION.

     (1)  Subject as hereinafter provided, this Agreement and the licenses
          granted pursuant thereto shall continue in force in each territory
          during the subsistence of the last to expire of the Winter Patent in
          such territory.

     (2)  MRC may terminate this Agreement and the said licenses forthwith by
          notice to the Licensee to that effect upon the happening of any of the
          following events:

          (a)  if the Licensee fails to perform or observe any of the
               obligations on its part to be performed or observed and if the
               breach is one capable of remedy has not been remedied within
               three (3) months of the giving of a notice informing the
               Licensee of such breach; or

          (b)  if the Licensee files a voluntary petition in bankruptcy or
               applies to any tribunal for a receiver, trustee or similar
               officer to be appointed by any court or executive department to
               liquidate or conserve the Licensee or any substantial part of its
               property or assets due to insolvency or to the threat thereof or
               if the Licensee suffers any trusteeship or receivership to
               continue undischarged for a period of sixty (60) days or suffers
               any similar procedure for the relief of distressed debtors
               entered into by the Licensee voluntarily or involuntarily or if
               the Licensee is otherwise divested of its assets for a period of
               sixty (60) days or makes a general assignment for the benefit of
               its creditors.

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<PAGE>
     (3)  The Licensee may terminate this Agreement and the licenses granted
          pursuant hereto by giving to MRC six (6) months notice to that
          effect if the Licensee considers that substantial unlicensed
          competition is seriously interfering with Licensee's exploitation of
          the Reshaping Process under this Agreement and that MRC is not taking
          appropriate steps to seek to prevent or reduce such un licensed
          competition. Such termination shall be without prejudice to the right
          of MRC to enforce the Winter Patent in the event of subseqnent
          manufacture of Products by the Licensee.

     (4)  Termination of this Agreement or of the said licenses shall be without
          prejudice to any rights of either party against the other which may
          have accrued up to the date of such termination and the Licensee shall
          pay to MRC the appropriate royalties hereunder on and stocks of
          the Products (on which royalties have not already been paid) held at
          the date of termination by the Licensee or any person engaged by the
          same to manufacture the Products and shall thereafter be free to sell
          such Products on which royalty has been paid.

6.   WARRANTIES.

     (1)  MRC hereby represents and warrants that MRC owns the Winter Patent or
          is otherwise authorized to license the Winter Patent to the Licensee.

     (2)  MRC hereby represents and warrants that MRC is entitled or
          authorized to grant a license or sublicense under the Boss Patents to
          the limited extent needed for effectively licensing Licensee to use
          the Reshaping Process without hindrance due to rights conferred by the
          Boss Patents.

     (3)  Nothing in this Agreement or in any licenses to be granted pursuant
          thereto shall be construed as a representation or warranty that any of
          the said patents are valid or that any manufacture, use, sale or other
          disposal of the Products is not an infringement of any patents or
          other rights not vested in MRC.

                                        8
<PAGE>
     (4)  Licensee sha11 promote the sale of the Products and shall use
          reasonable endeavors consistent with Licensee's reasonable business
          plans to meet the market demand therefore.

7.   INFRINGEMENT.

     If Licensee becomes aware of a suspected infringement of the Winter Patent,
     it sha1l notify MRC giving full particulars thereof. If the alleged
     infringement consists of any act which (if done by Licensee) would be
     within the scope of the licenses granted under this Agreement, MRC and
     Licensee shall (within a reasonable time of the said notification) consult
     together with a view to agreeing upon a course of action to be pursued.

     Where utilised by the Licensee to produce Products from mammalian
     cells. If Licensee should be sued for infringing the Winter Patent or Boss
     Patents/and not be in breach of Licensee's obligations under this
     Agreement, then MRC agrees to indemnify and hold Licensee harmless from
     and against any claims, damages, expenses, or other liabilities which might
     result or be incurred.

8.   WAIVER.

     The waiver by MRC or Tanox of any breach, default or omission in the
     performance or observance of any of the terms of this Agreement by the
     other shall not be deemed to be a waiver of any other such breach, default
     or omission.

9.   NOTICES.

     Any notice, consent or other communication authorized or required to be
     given hereunder or for the purposes hereof shall be in writing and be
     deemed to be duly given to MRC if left at or sent by recorded delivery or
     registered post addressed to its principal office and to Licensee if left
     at or sent by recorded delivery or registered post to its principal place
     of business. Any such notice, consent or other communication if served by
     post shall be deemed to have been given at the time when it would have been
     received in due course of the post.

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<PAGE>
10.  LAW AND JURISDICTION.

     This Agreement is to be read and construed in accordance with and governed
     by the laws of England so far as the subject matter allows and the parties
     hereby submit to the jurisdiction of the English courts in relation to any
     dispute arising out of this Agreement.

IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be
executed in the manner legally binding upon them by causing authorized
representatives to sign this Agreement

MEDICAL RESEARCH COUNCIL            TANOX BIOSYSTEMS, INC.

By: /s/ M. R. WOOD                  By: /s/ NANCY T. CHANG
Name:   M. R. Wood                          Nancy T. Chang, President
Title:  Head of Industrial
        Liaison Group

                                       10
<PAGE>
                                  SCHEDULE 1

INVENTORS                         Gregory Paul Winter (Medical Research Council)

APPLICATION/PATENTEE              Gregory Paul Winter (Medical Research Council)

TITLE                             Recombinant DNA Products and Methods

PRIORITY APPLICATION

     APPLICATION NUMBER           UK PA 8607679 27.03.86

FINAL APPLICATION
                                    APPLICATION NUMBER
                                    (PUBLICATION DATE)  (DATE OF PUBLICATION)
TERRITORY                           *(PATENT NUMBER)    (DATE OF GRANT)
---------                           ------------------  ---------------------
U.K ................................        8707252        26.03.87
                                       (GB 2188638A)      (7.10.87)

Europe .............................    870302620.7        26.03.87

(Austria, Be1gium,
France, W. Germany,
Greece, Italy, Luxembourg,
Netherlands, Spain,
Sweden, Switzerland, U.K.)

Canada .............................         533071        26.03.86

U.S.A ..............................         903776        04.09.86

Japan ..............................       73970/87        27.03.87
<PAGE>
                                   SCHEDULE 2

                       ANTIBODY EXCLUDED FROM THE LICENSE

1. All antibodies to alpha tumor necrosis factor having an association constant
   greater than l0 (6th power) L/mole.

                                       *EXHIBIT 10.8

CERTAIN INFORMATION IN THIS EXHIBIT IS SUBJECT TO A REQUEST FOR CONFIDENTIAL
TREATMENT. IN ACCORDANCE WITH RULE 406 UNDER THE SECURITIES ACT OF 1933, AS
AMENDED, SUCH INFORMATION HAS BEEN OMITTED AND FILED SEPARATELY WITH THE
SECURITIES AND EXCHANGE COMMISSION. THE LOCATION OF SUCH OMITTED INFORMATION HAS
BEEN INDICATED WITH AN ASTERISK(*).

THIS AGREEMENT is made the ninth day of February 1990

BETWEEN

MEDICAL RESEARCH COUNCIL of 20 Park Crescent, London WlN 4AL (hereinafter called
"MRC" which expression includes its successors and assigns) of the one part and

TANOX BIOSYSTEMS INC. of 10301 Stella Link, Suite 110, Houston, Texas 77025,
U.S.A. (hereinafter called "the Licensee" which expression includes its
successors and permitted assigns) of the other part

WHEREAS

(A) MRC is the proprietor of certain Patent rights in respect of genetic
engineering of monocolonal antibodies comprising the replacement in whole or in
part of the complementarity determining regions of one antibody by those of
another.

(B) By an Agreement between the parties dated 26th June 1989 MRC granted certain
rights to the Licensee to make use 0f those rights ("the Licence Agreement").

(C) The parties wish to make certain adjustments to the Licence Agreement as
hereinafter appears.

NOW THIS AGREEMENT WITNESSETH

1.   INTERPRETATION

     Terms defined in the Licence Agreement shall have the same meaning herein
     save where the context otherwise requires.

2.   AMENDMENT TO LICENCE AGREEMENT

2.1  The definition in Clause 1 of "the Boss Patents" shall be amended as
     follows:-
<PAGE>
     "The Boss Patents" - shall mean the following Patents and Patent
     applications in relation to multi-chain polypeptides or proteins and
     processes for their production and any Patent granted or to Be granted on
     such Patent applications:-

     (i) European Patent Application D120694

     (ii) UK Patent 2137631

     (iii) PCT Application 84/00094

     (iv) US Patent 4816397

     (v) Japanese Patent Application 501609/84.

2.2  Clause 3(1)(ii) shall be amended to read as follows:-

     "A non-exclusive sub-Licence under the Boss Patents to the extent required
     to enable the Licensee to use the reshaping process in accordance with (i)
     above to produce products from mammalian cells and for no other purpose."

2.3  The following antibodies shall be deleted from Schedule 2 "Antibodies
     Excluded from the Licence" and shall cease to be excluded from the Licence
     Agreement:-

                                       *

2.4  The Licence Agreement shall remain in full force and effect as amended
     hereby.

3.   GOVERNING LAW AND JURISDICTION

     This Agreement is to be read and construed in accordance with and governed
     by the laws of England and the parties

                                      -2-
<PAGE>
     hereby submit to the jurisdiction of the English Courts in relation to any
     dispute arising out of this Agreement.

IN WITNESS whereof the parties hereto have caused this Agreement to be executed
in the manner legally binding upon them by causing authorised representatives to
sign this Agreement.

SIGNED by                                               }
for and on behalf of the                                }    SIGNATURE ILLEGIBLE
MEDICAL RESEARCH COUNCIL                                }

SIGNED BY Nancy T. Chang, Pres                          }
for and on behalf of                                    } /s/Nancy T. Chang
TANOX BIOSYSTEMS INC.                                   }

                                      -3-

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