Document:

Form of 2004 Stock Incentive Plan of the Registrant

 EXHIBIT 10.1 
  
 MEDICINOVA, INC. 
  
 2000 GENERAL STOCK INCENTIVE PLAN 
  
 (As Adopted and Effective September 26, 2000) 
  

					
	 	  	 	  	MediciNova, Inc.

 TABLE OF CONTENTS 
  

					
	 	  	 	  	Page

	 SECTION 1. PURPOSE
	  	1
		
	 SECTION 2. DEFINITIONS
	  	1
			
	 (a)
	  	 “Award”
	  	1
	 (b)
	  	 “Board of Directors”
	  	1
	 (c)
	  	 “Change in Control”
	  	1
	 (d)
	  	 “Code”
	  	1
	 (e)
	  	 “Committee”
	  	2
	 (f)
	  	 “Common-Law Employee”
	  	2
	 (g)
	  	 “Company”
	  	2
	 (h)
	  	 “Employee”
	  	2
	 (i)
	  	 “Exchange Act”
	  	2
	 (j)
	  	 “Exercise Price”
	  	2
	 (k)
	  	 “Fair Market Value”
	  	2
	 (l)
	  	 “Incentive Stock Option” or “ISO”
	  	3
	 (m)
	  	 “Nonstatutory Option” or “NSO”
	  	3
	 (n)
	  	 “Offeree”
	  	3
	 (o)
	  	 “Option”
	  	3
	 (p)
	  	 “Optionee”
	  	3
	 (q)
	  	 “Outside Director”
	  	3
	 (r)
	  	 “Participant”
	  	3
	 (s)
	  	 “Plan”
	  	3
	 (t)
	  	 “Purchase Price”
	  	3
	 (u)
	  	 “Restricted Share”
	  	3
	 (v)
	  	 “Service”
	  	3
	 (w)
	  	 “Share”
	  	3
	 (x)
	  	 “Stock”
	  	3
	 (y)
	  	 “Stock Award Agreement”
	  	3
	 (z)
	  	 “Stock Option Agreement”
	  	4
	 (aa)
	  	 “Stock Purchase Agreement”
	  	4
	 (bb)
	  	 “Subsidiary”
	  	4
	 (cc)
	  	 “Total and Permanent Disability”
	  	4
	 (dd)
	  	 “W-2 Payroll”
	  	4
		
	 SECTION 3. ADMINISTRATION
	  	4
			
	 (a)
	  	 Committee Membership
	  	4
	 (b)
	  	 Committee Procedures
	  	4
	 (c)
	  	 Committee Responsibilities
	  	4
	 (d)
	  	 Committee Liability
	  	5
	 (e)
	  	 Financial Reports
	  	5
		
	 SECTION 4. ELIGIBILITY
	  	5

  

					
	 	  	-i-	  	MediciNova, Inc.

					
	 (a)
	  	 General Rule
	  	5
	 (b)
	  	 Ten-Percent Shareholders
	  	5
	 (c)
	  	 Attribution Rules
	  	5
	 (d)
	  	 Outstanding Stock
	  	5
		
	 SECTION 5. STOCK SUBJECT TO PLAN
	  	6
			
	 (a)
	  	 Basic Limitation
	  	6
	 (b)
	  	 Additional Shares
	  	6
		
	 SECTION 6. TERMS AND CONDITIONS OF AWARDS OR SALES
	  	6
			
	 (a)
	  	 Stock Purchase Agreement
	  	6
	 (b)
	  	 Duration of Offers
	  	6
	 (c)
	  	 Purchase Price
	  	6
	 (d)
	  	 Payment for Shares
	  	7
	 (e)
	  	 Exercise of Awards on Termination of Service
	  	7
		
	 SECTION 7. ADDITIONAL TERMS AND CONDITIONS OF RESTRICTED SHARES
	  	7
			
	 (a)
	  	 Form and Amount of Award
	  	7
	 (b)
	  	 Exercisability
	  	8
	 (c)
	  	 Effect of Change in Control
	  	8
	 (d)
	  	 Voting Rights
	  	8
		
	 SECTION 8. TERMS AND CONDITIONS OF OPTIONS
	  	8
			
	 (a)
	  	 Stock Option Agreement
	  	8
	 (b)
	  	 Number of Shares
	  	8
	 (c)
	  	 Exercise Price
	  	8
	 (d)
	  	 Exercisability
	  	8
	 (e)
	  	 Effect of Change in Control
	  	9
	 (f)
	  	 Term
	  	9
	 (g)
	  	 Exercise of Options on Termination of Service
	  	9
	 (h)
	  	 Payment of Option Shares
	  	9
	 (i)
	  	 No Rights as a Shareholder
	  	10
	 (j)
	  	 Modification, Extension and Assumption of Options
	  	10
		
	 SECTION 9. ADJUSTMENT OF SHARES
	  	10
			
	 (a)
	  	 General
	  	10
	 (b)
	  	 Reorganizations
	  	10
	 (c)
	  	 Reservation of Rights
	  	10
		
	 SECTION 10. WITHHOLDING TAXES
	  	10
			
	 (a)
	  	 General
	  	10
	 (b)
	  	 Share Withholding
	  	11
	 (c)
	  	 Cashless Exercise/Pledge
	  	11
	 (d)
	  	 Other Forms of Payment
	  	11
		
	 SECTION 11. ASSIGNMENT OR TRANSFER OF AWARDS
	  	11
			
	 (a)
	  	 General
	  	11
	 (b)
	  	 Trusts
	  	11

  

					
	 	  	-ii-	  	MediciNova, Inc.

					
	 SECTION 12. LEGAL REQUIREMENTS
	  	11
		
	 SECTION 13. NO EMPLOYMENT RIGHTS
	  	12
		
	 SECTION 14. DURATION AND AMENDMENTS
	  	12
			
	 (a)
	  	 Term of the Plan
	  	12
	 (b)
	  	 Right to Amend or Terminate the Plan
	  	12
	 (c)
	  	 Effect of Amendment or Termination
	  	12
		
	 SECTION 15. EXECUTION
	  	12

  

					
	 	  	-iii-	  	MediciNova, Inc.

 MEDICINOVA, INC. 
 2000 GENERAL STOCK INCENTIVE PLAN 
  
 (As Adopted and Effective September 26, 2000) 
  
 SECTION 1. PURPOSE. 
  
 The purpose
of the Plan is to offer selected employees, directors and consultants an opportunity to acquire a proprietary interest in the success of the Company, or to increase such interest, to encourage such selected persons to remain in the employ of the
Company and to attract new employees with outstanding qualifications. The Plan seeks to achieve this purpose by providing for Awards in the form of Restricted Shares and Options (which may constitute Incentive Stock Options or Nonstatutory Stock
Options) as well as the direct award or sale of Shares of the Company’s Common Stock. While this Plan is intended to satisfy Section 25102(o) of the California Corporations Code, awards may be granted under this Plan in reliance upon other
state securities law exemptions and to the extent another exemption is relied upon, the terms of this Plan which are required only because of Section 25102(o), need not apply to the extent provided by the Committee in the Stock Award Agreement.

  
 SECTION 2. DEFINITIONS. 
  
 (a) “Award” shall mean any award of an Option, Restricted
Share or other right under the Plan. 
  
 (b) “Board of
Directors” shall mean the Board of Directors of the Company, as constituted from time to time. 
  
 (c) “Change in Control” shall mean (i) the consummation of a merger or consolidation of the Company with or into another entity or any
other corporate reorganization, if more than 50% of the combined voting power of the continuing or surviving entity’s securities outstanding immediately after such merger, consolidation or other reorganization is owned by persons who were not
stockholders of the Company immediately prior to such merger, consolidation or other reorganization; (ii) any transaction (other than an issuance of shares by the Company for cash) in or by means of which one or more persons acting in concert
acquire, in the aggregate, more than 50% of the combined voting power of Company’s outstanding equity securities; (iii) the sale, transfer or other disposition of all or substantially all of the Company’s assets; or (iv) any other event
determined by the Board to constitute a Change in Control for purposes of the Plan. 
  
 A transaction shall not constitute a Change in Control if: (a) its sole purpose is to change the state of the Company’s incorporation; (b) its sole purpose is to create a holding company that will be owned in substantially the same
proportions by the persons who held the Company’s securities immediately before such transaction; or (c) it constitutes the Company’s initial public offering of its securities. 
  
 (d) “Code” shall mean the Internal Revenue Code of 1986, as amended. 
  

					
	 	  	-1-	  	MediciNova, Inc.

 (e) “Committee” shall mean a committee of the Board of Directors which is authorized to
administer the Plan under Section 3. 
  
 (f) “Common-Law
Employee” shall mean an individual paid from W-2 Payroll of the Company or a Subsidiary. If, during any period, the Company (or Subsidiary, as applicable) has not treated an individual as a Common-Law Employee and, for that reason, has not
paid such individual in a manner which results in the issuance of a Form W-2 and withheld taxes with respect to him or her, then such individual shall not be an eligible Employee for that period, even if any person, court of law or government agency
determines, retroactively, that such individual is or was a Common-Law Employee during all or any portion of that period. 
  
 (g) “Company” shall mean MediciNova, Inc., a Delaware corporation. 
  
 (h) “Employee” shall mean (i) any individual who is a Common-Law Employee of the Company or of a
Subsidiary, (ii) a member of the Board of Directors, including (without limitation) an Outside Director, or an affiliate of a member of the Board of Directors, (iii) a member of the board of directors of a Subsidiary or (iv) an independent
contractor who performs services for the Company or a Subsidiary. Service as a member of the Board of Directors, a member of the board of directors of a Subsidiary or an independent contractor shall be considered employment for all purposes of the
Plan except the second sentence of Section 4(a). 
  
 (i)
“Exchange Act” shall mean the Securities and Exchange Act of 1934, as amended. 
  
 (j) “Exercise Price” shall mean the amount for which one Share may be purchased upon exercise of an Option, as specified by the Committee
in the applicable Stock Option Agreement. 
  
 (k) “Fair
Market Value” shall mean the market price of Shares, determined by the Committee as follows: 
  
 (i) If the Shares were traded over-the-counter on the date in question but were not traded on the Nasdaq Stock Market or the Nasdaq
National Market System, then the Fair Market Value shall be equal to the mean between the last reported representative bid and asked prices quoted for such date by the principal automated inter-dealer quotation system on which the Shares are quoted
or, if the Shares are not quoted on any such system, by the “Pink Sheets” published by the National Quotation Bureau, Inc.; 
  
 (ii) If the Shares were traded over-the-counter on the date in question and were traded on the Nasdaq Stock Market or the Nasdaq National
Market System, then the Fair Market Value shall be equal to the last-transaction price quoted for such date by the Nasdaq Stock Market or the Nasdaq National Market; 
  

					
	 	  	-2-	  	MediciNova, Inc.

 (iii) If the Shares were traded on a stock exchange on the date in question, then the
Fair Market Value shall be equal to the closing price reported by the applicable composite transactions report for such date; and 
  
 (iv) If none of the foregoing provisions is applicable, then the Fair Market Value shall be determined by the Committee in good faith on
such basis as it deems appropriate. 
  
 In all cases, the
determination of Fair Market Value by the Committee shall be conclusive and binding on all persons. 
  
 (l) “Incentive Stock Option” or “ISO” shall mean an employee incentive stock option described in Code section 422(b).

  
 (m) “Nonstatutory Option” or
“NSO” shall mean an employee stock option that is not an ISO. 
  
 (n) “Offeree” shall mean an individual to whom the Committee has offered the right to acquire Shares under the Plan (other than upon exercise of an Option). 
  
 (o) “Option” shall mean an Incentive Stock Option or
Nonstatutory Option granted under the Plan and entitling the holder to purchase Shares. 
  
 (p) “Optionee” shall mean an individual or estate who holds an Option. 
  
 (q) “Outside Director” shall mean a member of the Board who is “a Non-Employee Director” as defined in Rule 16b-3 under the
Exchange Act. 
  
 (r) “Participant” shall mean an
individual or estate who holds an Award. 
  
 (s)
“Plan” shall mean this MediciNova, Inc. 2000 General Stock Incentive Plan. 
  
 (t) “Purchase Price” shall mean the consideration for which one Share may be acquired under the Plan (other than upon exercise of an Option), as specified by the Committee. 
  
 (u) “Restricted Share” shall mean a Share sold or granted to
an eligible Employee which is nontransferable and subject to substantial risk of forfeiture until restrictions lapse. 
  
 (v) “Service” shall mean service as an Employee. 
  

(w) “Share” shall mean one share of Stock, as adjusted in accordance with Section 9 (if applicable). 
  
 (x) “Stock” shall mean the common stock of the Company.

  
 (y) “Stock Award Agreement” shall mean the
agreement between the Company and the recipient of a Restricted Share which contains the terms, conditions and restrictions pertaining to such Restricted Share. 
  

					
	 	  	-3-	  	MediciNova, Inc.

 (z) “Stock Option Agreement” shall mean the agreement between the Company and an
Optionee which contains the terms, conditions and restrictions pertaining to his or her Option. 
  
 (aa) “Stock Purchase Agreement” shall mean the agreement between the Company and an Offeree who acquires Shares under the Plan which
contains the terms, conditions and restrictions pertaining to the acquisition of such Shares. 
  
 (bb) “Subsidiary” shall mean any corporation (other than the Company) in an unbroken chain of corporations beginning with the Company, if each of the corporations other than the last corporation in
the unbroken chain owns stock possessing 50% or more of the total combined voting power of all classes of stock in one of the other corporations in such chain. A corporation that attains the status of a Subsidiary on a date after the adoption of the
Plan shall be considered a Subsidiary commencing as of such date. 
  
 (cc) “Total and Permanent Disability” shall mean that the Optionee is unable to engage in any substantial gainful activity by reason of any medically determinable physical or mental impairment. 
  
 (dd) “W-2 Payroll” shall mean whatever mechanism or
procedure that the Company or a Subsidiary utilizes to pay any individual which results in the issuance of Form W-2 to the individual. “W-2 Payroll” does not include any mechanism or procedure which results in the issuance of any form
other than a Form W-2 to an individual, including, but not limited to, any Form 1099 which may be issued to an independent contractor, an agency employee or a consultant. Whether a mechanism or procedure qualifies as a “W-2 Payroll” shall
be determined in the absolute discretion of the Company (or Subsidiary, as applicable), and the Company or Subsidiary determination shall be conclusive and binding on all persons. 
  
 SECTION 3. ADMINISTRATION. 
  
 (a) Committee Membership. The Plan shall be administered by the Committee appointed by the Board of Directors. In the event the Company’s
Shares become publicly traded, the Committee shall be comprised solely of two or more Outside Directors (although Committee functions may be delegated to officers to the extent the Awards relate to persons who are not subject to the reporting
requirements of Section 16 of the Exchange Act). If no Committee has been appointed, the entire Board shall constitute the Committee. 
  
 (b) Committee Procedures. The Board of Directors shall designate one of the members of the Committee as chairperson. The Committee may hold
meetings at such times and places as it shall determine. The acts of a majority of the Committee members present at meetings at which a quorum exists, or acts reduced to or approved in writing by all Committee members, shall be valid acts of the
Committee. 
  
 (c) Committee Responsibilities. The
Committee has and may exercise such power and authority as may be necessary or appropriate for the Committee to carry out its functions as described in the Plan. The Committee has authority in its discretion to determine eligible Employees to whom,
and the time or times at which, Awards may be granted and the number 

  

					
	 	  	-4-	  	MediciNova, Inc.

 
of Shares subject to each Award. Subject to the express provisions of the respective Stock Award Agreements (which need not be identical), the Committee has
authority to prescribe the terms and conditions of each Award and to make all other determinations necessary or advisable for Plan administration. The Committee has authority to prescribe, amend and rescind rules and regulations relating to the
Plan. All interpretations, determinations, and actions by the Committee will be final, conclusive and binding upon all persons. 
  
 (d) Committee Liability. No member of the Board or the Committee will be liable for any action or determination made in good faith by the Committee
with respect to the Plan or any Award made under the Plan. 
  
 (e)
Financial Reports. To the extent required by applicable law, and not less often than annually, the Company shall furnish to Offerees, Optionees and shareholders who have received Stock under the Plan its financial statements (including a
balance sheet regarding the Company’s financial condition and a statement of its results of operations), unless such Offerees, Optionees or shareholders have duties with the Company that assure them access to equivalent information. Such
financial statements need not be audited. 
  
 SECTION 4.
ELIGIBILITY. 
  
 (a) General Rule. Only
Employees shall be eligible for designation as Participants by the Committee. In addition, only individuals who are employed as Common-Law Employees by the Company or a Subsidiary shall be eligible for the grant of ISOs. 
  
 (b) Ten-Percent Shareholders. An Employee who owns more than ten
percent (10%) of the total combined voting power of all classes of outstanding stock of the Company or any of its Subsidiaries shall not be eligible for designation as an Offeree or Optionee unless (i) the Exercise Price for an ISO (and a NSO to the
extent required by applicable law) is at least one hundred ten percent (110%) of the Fair Market Value of a Share on the date of grant, (ii) the Purchase Price of Shares is at least one hundred percent (100%) of the Fair Market Value of a Share on
the date of grant and (iii) in the case of an ISO, such ISO by its terms is not exercisable after the expiration of five years from the date of grant. 
  
 (c) Attribution Rules. For purposes of Subsection (b) above, in determining stock ownership, an Employee shall be deemed to own the stock owned,
directly or indirectly, by or for his brothers, sisters, spouse, ancestors and lineal descendants. Stock owned, directly or indirectly, by or for a corporation, partnership, estate or trust shall be deemed to be owned proportionately by or for its
shareholders, partners or beneficiaries. Stock with respect to which such Employee holds an Option shall not be counted. 
  
 (d) Outstanding Stock. For purposes of Subsection (b) above, “outstanding stock” shall include all stock actually issued and outstanding
immediately after the grant. “Outstanding Stock” shall not include shares authorized for issuance under outstanding Options held by the Employee or by any other person. 
  

					
	 	  	-5-	  	MediciNova, Inc.

 SECTION 5. STOCK SUBJECT TO PLAN. 
  
 (a) Basic Limitation. Shares offered under the Plan shall be authorized but unissued Shares. Subject to Sections 5(b)
and 9 of the Plan, the aggregate number of Shares which may be issued or transferred pursuant to an Award under the Plan shall not exceed 2,000,000 Shares. 
  
 The number of shares that may be issued or transferred during any 12-month period to any eligible Employee pursuant to an
Award shall not exceed 600,000 Shares. 
  
 In any event,
(i) the number of Shares which are subject to Awards or other rights outstanding at any time under the Plan shall not exceed the number of Shares which then remain available for issuance under the Plan; and (ii) to the extent an award is made in
reliance upon the exemption available under Section 25102(o) of the California Corporations Code, the number of Shares which are subject to Awards or other rights outstanding at any time under the Plan or otherwise shall not exceed the limitation
imposed by Section 260.140.45 of the Code of Regulations of the California Commissioner of Corporations. The Company, during the term of the Plan, shall at all times reserve and keep available sufficient Shares to satisfy the requirements of the
Plan. 
  
 (b) Additional Shares. In the event that any
outstanding Option or other right for any reason expires or is canceled or otherwise terminated, the Shares allocable to the unexercised portion of such Option or other right shall again be available for the purposes of the Plan. If a Restricted
Share is forfeited before any dividends have been paid with respect to such Restricted Share, then such Restricted Share shall again become available for award under the Plan. 
  
 SECTION 6. TERMS AND CONDITIONS OF AWARDS OR SALES. 
  
 (a) Stock Purchase Agreement. Each award or sale of Shares under the Plan (other than upon exercise of an Option)
shall be evidenced by a Stock Purchase Agreement between the Offeree and the Company. Such award or sale shall be subject to all applicable terms and conditions of the Plan and may be subject to any other terms and conditions which are not
inconsistent with the Plan and which the Committee deems appropriate for inclusion in a Stock Purchase Agreement. The provisions of the various Stock Purchase Agreements entered into under the Plan need not be identical. 
  
 (b) Duration of Offers. Any right to acquire Shares under the Plan
(other than an Option) shall automatically expire if not exercised by the Offeree within 30 days after the grant of such right was communicated to the Offeree by the Committee. 
  
 (c) Purchase Price. The Purchase Price of Shares to be offered under the Plan shall not be less than eighty-five
percent (85%) of the Fair Market Value of a Share on the date of grant, except as otherwise provided in Section 4(b) (i.e., 100% for 10% shareholders). Subject to the preceding sentence, the Purchase Price shall be determined by the Committee in its
sole discretion. The Purchase Price shall be payable in a form described in Subsection (d) below. 
  

					
	 	  	-6-	  	MediciNova, Inc.

 (d) Payment for Shares. The entire Purchase Price of Shares issued under the Plan shall be payable
in lawful money of the United States of America at the time when such Shares are purchased, except as provided below. Notwithstanding any other provision of the Plan, Shares may, in the discretion of the Committee, be awarded under the Plan in
consideration of Service rendered to the Company or a Subsidiary prior to the Award. Permissible forms of payment, in addition to cash, are: 
  
 (i) Surrender of Stock. To the extent that a Stock Purchase Agreement so provides, payment may be made all or in part with Shares
which have already been owned by the Offeree or the Offeree’s representative for any time period specified by the Committee and which are surrendered to the Company in good form for transfer. Such Shares shall be valued at their Fair Market
Value on the date when the new Shares are purchased under the Plan. 
  
 (ii) Promissory Notes. To the extent that a Stock Purchase Agreement so provides, payment may be made all or in part with a full recourse promissory note executed by the Offeree. The interest rate and other
terms and conditions of such note shall be determined by the Committee. The Committee may require that the Offeree pledge his or her Shares to the Company for the purpose of securing the payment of such note. In no event shall the stock
certificate(s) representing such Shares be released to the Offeree until such note is paid in full. 
  
 (iii) Cashless Exercise. To the extent that a Stock Purchase Agreement so provides and a public market for the Shares exists,
payment may be made all or in part by delivery (on a form prescribed by the Committee) of an irrevocable direction to a securities broker to sell Shares and to deliver all or part of the sale proceeds to the Company in payment of the aggregate
Exercise Price. 
  
 (iv) Other Forms of
Payment. To the extent provided in the Stock Purchase Agreement, payment may be made in any other form that is consistent with applicable laws, regulations and rules, including payment for past services. 
  
 (e) Exercise of Awards on Termination of Service. Each Stock Award
Agreement shall set forth the extent to which the recipient shall have the right to exercise the Award following termination of the recipient’s Service with the Company and its Subsidiaries. Such provisions shall be determined in the sole
discretion of the Committee, need not be uniform among all the Awards issued pursuant to the Plan, and may reflect distinctions based on the reasons for termination of employment. 
  
 SECTION 7. ADDITIONAL TERMS AND CONDITIONS OF RESTRICTED SHARES. 
  
 (a) Form and Amount of Award. Each Stock Award Agreement shall
specify the number of Shares that are subject to the Award. Restricted Shares may be awarded in combination with NSOs and such an Award may provide that the Restricted Shares will be forfeited in the event that the related NSOs are exercised.

  

					
	 	  	-7-	  	MediciNova, Inc.

 (b) Exercisability. Each Stock Award Agreement shall specify the conditions upon which Restricted
Shares shall become vested, in full or in installments. To the extent required by applicable law, each Stock Award shall become exercisable no less rapidly than the rate of 20% per year for each of the first five years from the date of grant.
Subject to the preceding sentence, the exercisability of any Stock Award shall be determined by the committee in its sole discretion. 
  
 (c) Effect of Change in Control. The Committee may determine at the time of making an Award or thereafter, that such Award shall become fully
vested in the event that a Change in Control occurs with respect to the Company. 
  
 (d) Voting Rights. Holders of Restricted Shares awarded under the Plan shall have the same voting, dividend and other rights as the Company’s other shareholders. A Stock Award Agreement, however, may
require that the holders invest any cash dividends received in additional Restricted Shares. Such additional Restricted Shares shall be subject to the same conditions and restrictions as the Award with respect to which the dividends were paid. Such
additional Restricted Shares shall not reduce the number of Shares available under Section 5. 
  
 SECTION 8. TERMS AND CONDITIONS OF OPTIONS. 
  
 (a) Stock Option Agreement. Each grant of an Option under the Plan shall be evidenced by a Stock Option Agreement between the Optionee and the
Company. Such Options shall be subject to all applicable terms and conditions of the Plan and may be subject to any other terms and conditions which are not inconsistent with the Plan and which the Committee deems appropriate for inclusion in a
Stock Option Agreement. The provisions of the various Stock Option Agreements entered into under the Plan need not be identical. 
  
 (b) Number of Shares. Each Stock Option Agreement shall specify the number of Shares that are subject to the Option and shall provide for the
adjustment of such number in accordance with Section 9. The Stock Option Agreement shall also specify whether the Option is an ISO or a Nonstatutory Option. 
  
 (c) Exercise Price. Each Stock Option Agreement shall specify the Exercise Price. The Exercise Price of an ISO shall not be less than one hundred
percent (100%) of the Fair Market Value of a Share on the date of grant, except as otherwise provided in Section 4(b). To the extent required by applicable law and except as otherwise provided in Section 4(b), the Exercise Price of a Nonstatutory
Option shall not be less than eighty-five percent (85%) of the Fair Market Value of a Share on the date of grant. Subject to the preceding two sentences, the Exercise Price under any Option shall be determined by the Committee in its sole
discretion. The Exercise Price shall be payable in a form described in Subsection (h) below. 
  
 (d) Exercisability. Each Stock Option Agreement shall specify the date when all or any installment of the Option is to become exercisable. To the extent required by applicable law, an Option shall become
exercisable no less rapidly than the rate of 20% per year for each of the first five years from the date of grant. Subject to the preceding sentence, the exercisability of any Option shall be determined by the Committee in its sole discretion.

  

					
	 	  	-8-	  	MediciNova, Inc.

 (e) Effect of Change in Control. The Committee may determine, at the time of granting an Option or
thereafter, that such Option shall become fully vested in the event that a Change in Control occurs with respect to the Company. 
  
 (f) Term. The Stock Option Agreement shall specify the term of the Option. The term shall not exceed ten years from the date of grant (or five (5)
years, in the instance of an ISO for ten percent (10%) shareholders as provided in Section 4(b)). Subject to the preceding sentence, the Committee in its sole discretion shall determine when an Option is to expire. 
  
 (g) Exercise of Options on Termination of Service. Each Option shall
set forth the extent to which the Optionee shall have the right to exercise the Option following termination of the Optionee’s Service with the Company and its Subsidiaries. Such provisions shall be determined in the sole discretion of the
Committee, need not be uniform among all Options issued pursuant to the Plan, and may reflect distinctions based on the reasons for termination of employment. Notwithstanding the foregoing, to the extent required by applicable law each Option shall
provide that the Optionee shall have the right to exercise the vested portion of any Option held at termination for at least thirty (30) days following termination of Service with the Company for any reason, and that the Optionee shall have the
right to exercise the Option for at least six (6) months if the Optionee’s Service terminates due to death or Disability. 
  
 (h) Payment of Option Shares. The entire Exercise Price of Shares issued under the Plan shall be payable in lawful money of the United States of
America at the time when such Shares are purchased, except as provided below: 
  
 (i) Surrender of Stock. To the extent that a Stock Option Agreement so provides, payment may be made all or in part with Shares which have already been owned by the Optionee or the Optionee’s
representative for any time period specified by the Committee and which are surrendered to the Company in good form for transfer. Such Shares shall be valued at their Fair Market Value on the date when the new Shares are purchased under the Plan.

  
 (ii) Promissory Notes. To the extent
that a Stock Option Agreement so provides, payment may be made all or in part with a full recourse promissory note executed by the Optionee. The interest rate and other terms and conditions of such note shall be determined by the Committee. The
Committee may require that the Optionee pledge his or her Shares to the Company for the purpose of securing the payment of such note. In no event shall the stock certificate(s) representing such Shares be released to the Optionee until such note is
paid in full. 
  
 (iii) Cashless Exercise.
To the extent that a Stock Option Agreement so provides and a public market for the Shares exists, payment may be made all or in part by delivery (on a form prescribed by the Committee) of an irrevocable direction to a securities broker to sell
Shares and to deliver all or part of the sale proceeds to the Company in payment of the aggregate Exercise Price. 
  

					
	 	  	-9-	  	MediciNova, Inc.

 (iv) Other Forms of Payment. To the extent provided in the Stock Option Agreement,
payment may be made in any other form that is consistent with applicable laws, regulations and rules. 
  
 (i) No Rights as a Shareholder. An Optionee, or a transferee of an Optionee, shall have no rights as a shareholder with respect to any Shares
covered by an Option until the date of the issuance of a stock certificate for such Shares. 
  
 (j) Modification, Extension and Assumption of Options. Within the limitations of the Plan, the Committee may modify, extend or assume outstanding Options or may accept the cancellation of outstanding Options
(whether granted by the Company or another issuer) in return for the grant of new Options for the same or a different number of Shares and at the same or a different Exercise Price or for other consideration. 
  
 SECTION 9. ADJUSTMENT OF SHARES. 
  
 (a) General. In the event of a subdivision of the outstanding Stock,
a declaration of a dividend payable in Shares, a combination or consolidation of the outstanding Stock into a lesser number of Shares, a recapitalization, a reclassification or a similar occurrence, the Committee shall make appropriate adjustments
in one or more of (i) the number of Shares available for future Awards under Section 5, (ii) the number of Shares covered by each outstanding Option or Stock Purchase Agreement or (iii) the Exercise Price or Purchase Price under each outstanding
Option or Stock Purchase Agreement. 
  
 (b)
Reorganizations. In the event that the Company is a party to a merger, consolidation or other reorganization, outstanding Options shall be subject to the agreement of merger or reorganization. 
  
 (c) Reservation of Rights. Except as provided in this Section 9, an
Optionee or an Offeree shall have no rights by reason of (i) any subdivision or consolidation of shares of stock of any class, (ii) the payment of any dividend or (iii) any other increase or decrease in the number of shares of stock of any class.
Any issue by the Company of shares of stock of any class, or securities convertible into shares of stock of any class, shall not affect, and no adjustment by reason thereof shall be made with respect to, the number, Exercise Price or Purchase
Agreement of Shares subject to an Option or Stock Purchase Agreement. The grant of an Award pursuant to the Plan shall not affect in any way the right or power of the Company to make adjustments, reclassifications, reorganizations or changes of its
capital or business structure, to merge or consolidate or to dissolve, liquidate, sell or transfer all or any part of its business or assets. 
  
 SECTION 10. WITHHOLDING TAXES. 
  
 (a) General. To the extent required by applicable federal, state, local or foreign law, a Participant or his or her successor shall make
arrangements satisfactory to the Committee for the satisfaction of any withholding tax obligations that arise in connection with the Plan. The Company shall not be required to issue any Shares or make any cash payment under the Plan until such
obligations are satisfied. 
  

					
	 	  	-10-	  	MediciNova, Inc.

 (b) Share Withholding. The Committee may permit a Participant to satisfy all or part of his or her
withholding or income tax obligations by having the Company withhold all or a portion of any Shares that otherwise would be issued to him or her or by surrendering all or a portion of any Shares that he or she previously acquired. Such Shares shall
be valued at their Fair Market Value on the date when taxes otherwise would be withheld in cash. Any payment of taxes by assigning Shares to the Company may be subject to restrictions, including any restrictions required by rules of any federal or
state regulatory body or other authority. 
  
 (c) Cashless
Exercise/Pledge. The Committee may provide that if Company Shares are publicly traded at the time of exercise, arrangements may be made to meet the Optionee’s withholding obligation by cashless exercise or pledge. 
  
 (d) Other Forms of Payment. The Committee may permit such other means
of tax withholding as it deems appropriate. 
  
 SECTION 11.
ASSIGNMENT OR TRANSFER OF AWARDS. 
  
 (a)
General. An Award granted under the Plan shall not be anticipated, assigned, attached, garnished, optioned, transferred or made subject to any creditor’s process, whether voluntarily, involuntarily or by operation of law, except as
approved by the Committee. Notwithstanding the foregoing, ISOs may not be transferable. Also, notwithstanding the foregoing, while the Shares are subject to California Corporations Code § 25102(o), (i) Offerees and Optionees may not transfer
their rights hereunder except by will, beneficiary designation or the laws of descent and distribution, and (ii) any rights of repurchase in favor of the Company shall take into account the provisions of Department of Corporations Regulation Section
260.140.41 or 260.140.42, as applicable. 
  
 (b) Trusts.
Neither this Section 11 nor any other provision of the Plan shall preclude a Participant from transferring or assigning Restricted Shares to (i) the trustee of a trust that is revocable by such Participant alone, both at the time of the transfer or
assignment and at all times thereafter prior to such Participant’s death, or (ii) the trustee of any other trust to the extent approved by the Committee in writing. A transfer or assignment of Restricted Shares from such trustee to any other
person than such Participant shall be permitted only to the extent approved in advance by the Committee in writing, and Restricted Shares held by such trustee shall be subject to all the conditions and restrictions set forth in the Plan and in the
applicable Stock Award Agreement, as if such trustee were a party to such Agreement. 
  
 SECTION 12. LEGAL REQUIREMENTS. 
  
 Shares shall not be issued under the Plan unless the issuance and delivery of such Shares complies with (or is exempt from) all applicable requirements of law, including (without limitation) the Securities Act of 1933, as amended, the rules
and regulations promulgated thereunder, state securities laws and regulations, and the regulations of any stock exchange on which the Company’s securities may then be listed. 
  

					
	 	  	-11-	  	MediciNova, Inc.

 SECTION 13. NO EMPLOYMENT RIGHTS. 
  
 No provision of the Plan, nor any right or Option granted under the Plan, shall be construed to give any person any right to
become, to be treated as, or to remain an Employee. The Company and its Subsidiaries reserve the right to terminate any person’s Service at any time and for any reason. 
  
 SECTION 14. DURATION AND AMENDMENTS. 
  
 (a) Term of the Plan. The Plan, as set forth herein, shall become effective on the date of its adoption by the Board
of Directors, subject to the approval of the Company’s shareholders. In the event that the shareholders fail to approve the Plan within twelve (12) months after its adoption by the Board of Directors, any grants already made shall be null and
void, and no additional grants shall be made after such date. The Plan shall terminate automatically ten (10) years after its adoption by the Board of Directors and may be terminated on any earlier date pursuant to Subsection (b) below. 

 
 (b) Right to Amend or Terminate the Plan. The Board of Directors
may amend the Plan at any time and from time to time. Rights and obligations under any right or Option granted before amendment of the Plan shall not be impaired adversely by such amendment, except with consent of the person to whom the right or
Option was granted. An amendment of the Plan shall be subject to the approval of the Company’s shareholders only to the extent required by applicable laws, regulations or rules including the rules of any applicable exchange. 
  
 (c) Effect of Amendment or Termination. No Shares shall be issued or
sold under the Plan after the termination thereof, except upon exercise of an Option granted prior to such termination. The termination of the Plan, or any amendment thereof, shall not affect any Shares previously issued or any Option previously
granted under the Plan. 
  
 SECTION 15. EXECUTION.

  
 To record the adoption of the Plan by the Company, the
Board of Directors has caused its authorized officer to execute the same, to be effective as of September 26, 2000. 
  

			
	 MEDICINOVA, INC.

		
	By:	 	/s/    TAKASHI KIYOIZUMI        
	Name:	 	Takashi Kiyoizumi
	Title:	 	Chief Executive Officer

  

					
	 	  	-12-	  	MediciNova, Inc.Employment Agreement

 EXHIBIT 10.11 
  
 EMPLOYMENT AGREEMENT 
  

THIS AGREEMENT is made effective as of 26th day of September, 2003 (hereinafter referred to as the “Effective Date”), by and between
MEDICINOVA (hereinafter referred to as “MEDICINOVA”), a Delaware corporation, whose principal offices are located at 4370 La Jolla Village Drive, Suite 400, San Diego, CA 92122, U.S.A. and TAKASHI KIYOIZUMI, M.D., Ph.D., Sc.M., who resides
at 17231 Holly Leaf Court, San Diego, CA 92127, U.S.A. (hereinafter referred to as “CEO”). 
  
 WITNESSETH: 
  
 WHEREAS, MEDICINOVA desires to employ CEO and to secure for itself the experience, abilities and services of CEO in the capacity of President and Chief Executive Officer of MEDICINOVA upon the terms and conditions
specified herein; and 
  
 WHEREAS, CEO desires to so provide his
services to MEDICINOVA, upon the terms and conditions specified herein; 
  
 NOW, THEREFORE, the parties hereto intending to be legally bound, hereby agree as follows: 
  

	1.	Employment 

  
 MEDICINOVA hereby offers employment to CEO, and CEO hereby accepts employment in MEDICINOVA on the terms and conditions set forth in this Agreement.

  

	2.	Employment Duties 

  

	(a)	CEO’s objective is the maximization of corporate assets. 

  

	(b)	CEO’s primary duties or tasks are as follows: 

  

	 	(1)	Establishment of corporate identity; 

  

	 	(2)	Drawing up and realization of a short-term, middle-term and long-term vision; and 

  

	 	(3)	Initial Public Offering at the earliest possible time (hereinafter referred to as “IPO”). 

  

	(c)	CEO shall be accountable for the performance of all the strategic activities of MEDICINOVA including but not limited to the following issues: 

  

	 	(1)	Planning 

  

	 	(2)	Profitability 

  

	 	(3)	Productivity 

  

	 	(4)	Growth 

  

	 	(5)	Recruiting 

  

	 	(6)	Training 

  

	 	(7)	Organization 

  

	 	(8)	Finance 

  

	 	(9)	Information 

  

	 	(10)	Research 

  

	 	(11)	Licensing 

  

	 	(12)	Alliance 

  

 - 1 - 

	(d)	Subject to the provisions of this section, CEO agrees to devote his entire business time, energy and skill to further the interests of MEDICINOVA during the performance of his
employment hereunder. CEO shall not engage in any business activities other than activities set forth in Article 2(a), (b) and (c), on either a paid or unpaid basis, during the term of this Agreement hereunder without the prior consent of
MEDICINOVA’s Board of Directors, and any such outside activities approved by MEDICINOVA’s Board of Directors shall not materially detract from nor impair CEO’s ability to fulfill his obligations and responsibilities hereunder, with
the exception that MEDICINOVA acknowledges that (i) CEO is a consultant to Yasuda Enterprise Development Venture Capital and (ii) CEO is a Visiting Professor at Nihon University Graduate School of Business, which requires travel to Tokyo for
lectures from time to time unless such travel disturbs any of MEDICINOVA’s business. MEDICINOVA shall not be obliged to support any cost relating to such travel; however, CEO shall be entitled to additional vacation of two (2) calendar weeks
per annum relating thereto. 

  

	(e)	CEO agrees to observe and comply with all rules, regulations, policies and practices adopted or instructed by MEDICINOVA’s Board of Directors, either orally or in writing, both
as they now exist and as they may be adopted or modified from time to time. 

  

	(f)	CEO shall be based at 4370 La Jolla Village Drive, Suite 400, San Diego, CA 92122, U.S.A. 

  

	3.	Term  

  
 The term of this Agreement shall be the term of the CEO’s employment hereunder. This Agreement shall commence on the Effective Date and expire on the
third anniversary of Effective Date (hereinafter referred to as “Second Term”). 
  
 Unless CEO and MEDICINOVA agree, in writing, to extend this Agreement for additional three (3) years from the end of the Second Term, discussion of which agreement shall be planned to be commenced by six (6) months
before the end of the Second Term, this Agreement shall expire at the end of the Second Term. 
  
 This Agreement may, however, be terminated pursuant to Article 5 of this Agreement. 
  

	4.	Compensation and Benefits 

  
 In consideration of all services rendered by CEO to MEDICINOVA, MEDICINOVA hereby agrees to pay compensation and benefits to CEO for any and all services
provided by CEO consisting of: 
  

	(a)	Annual Base Salary 

  
 An annual base salary (before tax and other withholding) shall be paid to CEO in the amount of $316,663 per annum, payable in equal semi-monthly
installments (hereinafter referred to as “Base Salary”). MEDICINOVA’s Board of Directors shall review the Base Salary as of January 1 of each year during the term hereof, and MEDICINOVA’s Board of Directors may, in its sole
discretion, increase or decrease the Base Salary amount, taking into consideration any changes in the Consumer Price Index applicable to San Diego area during the immediately preceding year plus a merit increase if determined by MEDICINOVA’s
Board of Directors; 
  

 - 2 - 

	(b)	Annual Bonus 

  
 CEO’s annual bonus shall be determined in accordance with MEDICINOVA’s annual Senior Executive Bonus Plan as approved by the Board of Directors
or the Compensation Committee of the Board of Directors (hereinafter referred to as “Annual Bonus”); 
  

	(c)	Incentive Bonus 

  
 MEDICINOVA’s Board of Directors may, in its sole discretion, determine to provide CEO with an incentive bonus; 
  

	(d)	Stock Options 

  
 The CEO shall be eligible to receive options to purchase MEDICINOVA’s common stock (“Common Stock”), under MEDICINOVA’s 2000 Stock
Option Plan, or such other option plans as may be adopted and in effect at any time during the term of this Agreement, as may be granted from time to time by the Board of Directors or a Compensation Committee of the Board of Directors; 

 

	(e)	Retirement Plan 

  
 CEO shall be entitled to MEDICINOVA’s Retirement Plan which is the combination of the 401(k) plan and MEDICINOVA’s Matching Plan (a supplemental
benefit to the 401(k) plan) with a 1 to 1 matching contribution rate for the aggregate of CEO’s Base Salary and Annual Bonus (hereinafter referred to as “Annual Income”). ; 
  

	(f)	Additional Insurance 

  
 MEDICINOVA shall use its best efforts to purchase for CEO at MEDICINOVA’s expense additional insurance policies to cover $800,000 additional Life
Insurance and $600,000 additional Accidental Death Insurance over and above the amounts normally provided by MEDICINOVA to its personnel, with beneficiaries to be designated by CEO; 
  

	(g)	Other Benefits indicated in MEDICINOVA’s Employee Handbook 

  
 Other benefits provided to other personnel of MEDICINOVA from time to time including, without limitation, life insurance, AD&D and medical,
pharmaceutical, dental and vision benefits, as may be established or modified by MEDICINOVA from time to time, for so long as such benefits are made available to other personnel, pursuant to MEDICINOVA’s Employee Handbook; and 
  

	(h)	Vacation 

  
 Subject to the provisions of Section 1 (d) of this Agreement, CEO shall be, during the term of this Agreement, entitled to vacations of four (4) calendar weeks per annum on a prorated basis. 
  

	(i)	Reimbursement of Expenses 

  
 MEDICINOVA shall reimburse the CEO for all normal, usual and necessary expenses incurred by the CEO in furtherance of the business and affairs of
MEDICINOVA, including reasonable travel and entertainment, against receipt by the Corporation of appropriate vouchers or other proof of the CEO’s expenditures and otherwise in accordance with such Expense Reimbursement Policy as may from time
to time be adopted by the Board of Directors of the Corporation. 
  
 MEDICINOVA shall withhold all applicable federal, state and local taxes, social security and workers’ compensation contributions and such other amounts as may be required by 

  

 - 3 - 

 
law and any plans pursuant to which such compensation is generated or as agreed upon by the parties with respect to the compensation payable to the CEO
pursuant to this Agreement. 
  

	5.	Termination 

  

	(a)	If during the term of this Agreement, CEO should be unable to perform his duties hereunder on account of incapacity, and such incapacity should continue for a period of more than
thirty (30) working days, which may be non-consecutive, within any six (6)-month period, MEDICINOVA’s Board of Directors shall thereafter have the right to terminate this Agreement, and his right to all compensation and benefits shall cease on
the date of termination of this Agreement; provided, however, that CEO shall be entitled to receive the compensation and benefits pursuant to a prorated amount of Articles 4(a) Base Salary, 4(c) Incentive Bonus, 4(d) Stock Option, 4(e) Retirement
Plan, 4(f) Additional Insurance, 4(g) Other Benefits indicated in MEDICINOVA’s Employee Handbook, and 4(h) Vacation that shall have accrued prior to such date of termination. 

  

	(b)	In the event of CEO’s death during the term of this Agreement, all compensation and benefits under Article 4 shall cease on the day after the day on which such event occurs.
The compensation and benefits pursuant to a prorated amount of Articles 4(a) Base Salary, 4(b) Annual Bonus, 4(c) Incentive Bonus, 4(d) Stock Option, 4(e) Retirement Plan, 4(f) Additional Insurance, 4(g) Other Benefits indicated in MEDICINOVA’s
Employee Handbook, and 4(h) Vacation owing at the time of CEO’s death, which is not payable to a designated beneficiary, shall be paid to the representative of CEO’s estate. 

  

	(c)	In the event CEO voluntarily terminates this Agreement with causes other than CEO Just Cause as defined herein (“Without CEO Just Cause”), his rights to all compensation
and benefits shall cease on the date of such termination of this Agreement; provided, however, that CEO shall be entitled to receive the compensation and benefits pursuant to a prorated amount of Articles 4(a) Base Salary, 4(b) Annual Bonus, 4(c)
Incentive Bonus, 4(d) Stock Option, 4(e) Retirement Plan, 4(f) Additional Insurance, 4(g) Other Benefits indicated in MEDICINOVA’s Employee Handbook, and 4(h) Vacation that shall have accrued prior to such date of termination. CEO shall provide
MEDICINOVA with notice three (3) months prior to such voluntary termination. 

  

	(d)	 In the event that MEDICINOVA’s Board of Directors should terminate this Agreement with causes other than Just Cause as defined herein (“Without
Cause”), this Agreement shall terminate as of the date designated by MEDICINOVA. In the event such termination of this Agreement Without Cause occurs, CEO shall be entitled to receive the prorated compensation and benefits pursuant to Articles
4(a) Base Salary, 4(b) Annual Bonus, 4(c) Incentive Bonus, 4(e) Retirement Plan, 4(f) Additional Insurance, 4(g) Other Benefits indicated in MEDICINOVA’s Employee Handbook, and 4(h) Vacation that shall have accrued prior to such date of
termination and as a severance pay, shall be entitled to receive Base Salary pursuant to Article 4 plus average Annual Bonus for a period equal to the longer of (i) remainder of the term of this Agreement or (ii) twelve (12) months from such date of
termination regardless of the status of CEO’s employment status. In addition, any unvested installments of options held by CEO as of the termination date shall become immediately vested and exercisable in full. In addition, MEDICINOVA shall
provide continuation of health benefits for a period equal to the longer of (A) a 

  

 - 4 - 

	 	 
remainder of the term of this Agreement or (B) twelve (12) months from such date of termination to the extent authorized by and consistent with 29 U.S.C. (S)
1161 et seq. (Commonly known as “COBRA”), as in effect on the date of termination unless CEO is receiving comparable benefits from a new employer. 

  

	(e)	In the event that MEDICINOVA’s Board of Directors determines that this Agreement should be terminated for Just Cause, as defined herein, CEO’s right to all compensation
and benefits shall cease as of the date of termination of this Agreement. In such event, CEO shall be entitled to the compensation and benefits pursuant to a prorated amount of Articles 4(a) Base Salary and 4(e) Retirement Plan that shall have
accrued prior to such date of termination, and he shall not be entitled to any further cash or non-cash compensation or benefits pursuant to Article 4, or severance pay. For the purpose of this Agreement, termination for “Just Cause” shall
mean (i) a termination due to (A) gross neglect or fault of the duties for which CEO is employed or (B) willful misconduct or omission in the performance of such duties, (ii) a termination due to CEO’s committing fraud, misappropriation or
embezzlement in connection with his duties as an personnel of MEDICINOVA, (iii) a termination due to CEO’s insubordination, breach of his obligations under this Agreement, or (iv) a termination due to CEO’s committing any crime for which
he is convicted or to which he pleads guilty or no contest and which, as determined by MEDICINOVA, constitutes a crime involving moral turpitude or results in actual or potential harm to MEDICINOVA, (v) a termination due to CEO’s absence from
work without notice for three (3) or more days. 

  

	(f)	In the event that CEO should terminate this Agreement with just cause as defined herein (“CEO Just Cause”), CEO shall be entitled to receive the compensation and benefits
pursuant to a prorated amount of Article 4(a) Base Salary, 4(b) Annual Bonus, 4(c) Incentive Bonus, , 4(e) Retirement Plan, 4(f) Additional Insurance, 4(g) Other benefits indicated in MEDICINOVA’s Employee handbook, and 4(h) Vacation that shall
have accrued prior to such date of termination, and as a severance pay, shall be entitled to receive Base Salary pursuant to Article 4 plus average Annual Bonus for a period equal to the longer of (a) the remainder of the term of this Agreement, or
(b) twelve (12) months from such date of termination, regardless of the status of CEO’s employment status. In addition, any unvested installments of options held by CEO as of the termination date shall become immediately vested and exercisable
in full. In addition, MEDICINOVA shall provide continuation of health benefits for a period equal to the longer of (a) the remainder of the term of this agreement, or (b) twelve (12) months from such date of termination to the extent authorized by
and consistent with 29 U.S.C. (S) 1161 et seq. (Commonly known as “COBRA”), unless CEO is receiving comparable benefits from a new employer. 

  
 For the purpose of this Agreement, termination for “CEO Just Cause” shall mean termination due to (i) material breach by
MEDICINOVA of any provision of this Agreement which is not cured by MEDICINOVA within forty-five (45) days of notice thereof from CEO or (ii) any action by MEDICINOVA to intentionally harm CEO or (iii) a Change in Control of MEDICINOVA (as defined
below). 
  

 - 5 - 

 For purposes of this Agreement, a “Change in Control of MEDICINOVA” shall be deemed to have occurred upon any
of the following events: 
  

	 	(i)	The date on which shares of MEDICINOVA Common Stock are first purchased pursuant to a tender offer or exchange offer (other than such an offer by MEDICINOVA or any employee benefit
plan of MEDICINOVA or any entity holding shares or other securities of MEDICINOVA for or pursuant to the terms of such plan), whether or not such offer is approved or opposed by MEDICINOVA and regardless of the number of shares purchased pursuant to
such offer; 

  

	 	(ii)	The date MEDICINOVA acquires knowledge that any person or group deemed a person under Section 13(d)-3 of the Securities Exchange Act of 1934 (“Exchange Act”) (other than
MEDICINOVA, any employee benefit plan of MEDICINOVA or any entity holding shares of Common Stock or other securities of MEDICINOVA for or pursuant to the terms of any such plan or any individual or entity or group or affiliate thereof which acquired
its beneficial ownership interest prior to the date of this Agreement), in a transaction or series of transactions, has become the beneficial owner, directly or indirectly (with beneficial ownership determined as provided in Rule 13d-3, or any
successor rule, under the Exchange Act), of securities of MEDICINOVA entitling the person or group to 50% or more of all votes (without consideration of the rights of any class or stock to elect directors by a separate class vote) to which all
stockholders of MEDICINOVA would be entitled in the election of the Board of Directors were an election held on such date; 

  

	 	(iii)	The date, during any period of two consecutive years, when individuals who at the beginning of such period constitute the Board of Directors of MEDICINOVA cease for any reason to
constitute at least a majority thereof, unless the election, or the nomination for election by the stockholders of MEDICINOVA, of each new director was approved by a vote of at least two-thirds of the directors then still in office who were
directors at the beginning of such period; 

  

	 	(iv)	the date of approval by the stockholders of MEDICINOVA of an agreement (a “reorganization agreement”) providing for: 

  

	 	(A)	 The merger or consolidation of MEDICINOVA with another corporation where the stockholders of MEDICINOVA, immediately prior to the merger or consolidation, do not
beneficially own, immediately after the merger or consolidation, shares of the corporation issuing cash or securities in the merger or consolidation entitling such stockholders to 65% or more of all votes (without consideration of the rights of any
class of stock to 

  

 - 6 - 

	 	 
elect directors by a separate class vote) to which all stockholders of such corporation would be entitled in the election of directors or where the members
of the Board of Directors of MEDICINOVA, immediately prior to the merger or consolidation, do not, immediately after the merger or consolidation, constitute a majority of the Board of Directors of the corporation issuing cash or securities in the
merger or consolidation; or 

  

	 	(B)	The sale or other disposition of all or substantially all the assets of MEDICINOVA; or 

  

	 	(v)	the occurrence of any of the events set forth in subsections (i) through (iv) by or on behalf of Tanabe Seiyaku Co., Ltd, a Japanese corporation (“Tanabe Japan”) or its
affiliate, Tanabe Holding America (“THA”) which is the largest stockholder as of the date of this Agreement, in which case all references to MEDICINOVA set forth in such subsections shall be deemed to refer to Tanabe Japan or THA.

  

	(g)	Anything in this Agreement to the contrary notwithstanding, in the event it shall be determined that as a result of any payment or distribution by MEDICINOVA to or for the benefit
of the CEO whether paid or payable or distributed or distributable pursuant to the terms of this Agreement or otherwise (a “Payment”), the CEO would be subject to the excise tax imposed by Section 49999 of the Internal Revenue Code (the
“Code”) or any interest or penalties are incurred by the CEO with respect to such excise tax (such excise tax, together with any such interest and penalties, are hereinafter collectively referred to as the “Excise Tax”), the CEO
shall be entitled to promptly receive an additional payment (a “Gross-Up Payment”) in an amount such that, after payment by the CEO of all taxes (including any interest or penalties imposed with respect to such taxes), including, without
limitation, any income taxes and Excise Tax imposed upon the Gross-Up Payment, the CEO is in the same after-tax position as if no Excise Tax had been imposed upon the CEO with respect to the Payments. Notwithstanding the foregoing provisions of this
Section, if it shall be determined that the CEO is entitled to a Gross-Up Payment, but that the CEO, after taking into account the Payments and the Gross-Up Payment, would not receive a net after-tax benefit of at least $50,000 (taking into account
both income taxes and Excise Tax) as compared to the net after-tax proceeds to the CEO resulting from the elimination of the Gross-Up Payment and a reduction of the Payments, in the aggregate, to an amount (the “Reduced Amount”) such that
the receipt of Payments would not give rise to any Excise Tax, then no Gross-Up Payment shall be made to the CEO and the Payments, in the aggregate, shall be reduced to the Reduced Amount. 

  

	6.	Confidential Information 

  

	(a)	 CEO acknowledges that during the term of this Agreement, CEO will have access to and become acquainted with MEDICINOVA’s confidential records, secrets, and
information, including without limitation, its manufacturing processes, formulae, research and development activities, product development, marketing activity, licensing activity, financial, personnel and other practices of MEDICINOVA and
MEDICINOVA’s 

  

 - 7 - 

	 	 
customers, licensees, licensors and affiliated entities (hereinafter referred to as the “Confidential Information”). CEO agrees that all such
Confidential Information is and shall remain the sole and exclusive property of MEDICINOVA, regardless of whether or not CEO develops such Confidential Information during the term of this Agreement, and that CEO shall not use or disclose any such
Confidential Information other than in the course of performing his duties pursuant to this Agreement. CEO further agrees that, upon termination of this Agreement, regardless of whether voluntary, involuntary or upon non-renewal, CEO shall not take
or use any such Confidential Information, records or files of MEDICINOVA or any copies thereof, and that CEO shall promptly return to MEDICINOVA all such Confidential Information, records and files that CEO may have previously removed to assist him
in performing his duties, as well as any copies thereof or notes with respect thereto then in CEO’s custody or possession. CEO’s obligations under this Article 6 shall survive any termination or expiration of this Agreement for three (3)
years from the date of such termination or expiration of this Agreement. 

  

	(b)	CEO shall disclose promptly to MEDICINOVA any and all ideas, inventions, discoveries, proprietary matters, and its equivalents (regardless of whether such are patentable,
copyrightable) conceived or made by CEO, existent or contemplated, alone or with others, prior to or during the term of this Agreement and related, connected or pertinent to the business or activities of MEDICINOVA. CEO acknowledges that such ideas,
inventions, discoveries, proprietary matters, and its equivalents are and shall be the property of MEDICINOVA and hereby assigns and agrees to assign all of CEO’s interest therein to MEDICINOVA or its nominee. Whenever requested to do so by
MEDICINOVA, CEO shall execute without charge to MEDICINOVA any and all applications, assignments, or other instruments which MEDICINOVA deems necessary to apply for and obtain copyrights, patents or other intellectual property rights in the United
States or any other foreign country or to protect or otherwise confirm MEDICINOVA’s interest and ownership in such ideas, inventions, discoveries, proprietary matters, and its equivalents. CEO shall otherwise assist MEDICINOVA in every way, at
MEDICINOVA’s reasonable expense, to obtain and enforce copyrights, patents and other intellectual property rights in the United States or any other foreign country, including testifying in any suit or other proceedings, involving any such
copyrights, patents and other intellectual property rights. CEO further agrees that the obligations under Article 6(b) shall survive any termination or expiration of this Agreement for one year from the date of such termination or expiration of this
Agreement. Under Section 2870 of the California Labor Code, CEO’s obligation under this Article does not apply to an invention (i) for which no equipment, supplies, facility or the Confidential Information of MEDICINOVA was used and which was
developed entirely on CEO’s own time, (ii) which does not relate to the business of MEDICINOVA, (iii) which does not relate to MEDICINOVA’s actual or demonstrably anticipated research or development and (iv) which does not result from any
work performed by CEO for MEDICINOVA. If after the term of this Agreement, MEDICINOVA wishes to use CEO’s services to assist MEDICINOVA in obtaining or defending any intellectual property rights obtained during this Agreement, MEDICINOVA and
CEO shall negotiate in good faith the terms of a Consultant Agreement for this purpose. 

  

	(c)	 CEO acknowledges and agrees that the violation of Article 6(a) shall cause irreparable harm to MEDICINOVA, and that MEDICINOVA shall be entitled to specific
performance of this Agreement or an injunction without proof of special damages, 

  

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together with the costs and reasonable attorneys’ fees incurred by MEDICINOVA in enforcing its rights under Article 6(a). 

 

	7.	Solicitation of CEOs 

  
 CEO shall be called upon to work closely with other personnel of MEDICINOVA in performing services under this Agreement. CEO shall not during the term of
this Agreement, and for one year thereafter, solicit, scout or recruit any personnel of MEDICINOVA. In addition, all information about such personnel which becomes known to CEO during the course of this Agreement and which is not otherwise known to
the public is Confidential Information of MEDICINOVA and shall not be used by CEO in soliciting, scouting or recruiting personnel of MEDICINOVA at any time during or after termination of this Agreement. 
  

	8.	Conflicting Agreement 

  
 CEO hereby represents and warrants to MEDICINOVA that CEO’s entering into this Agreement and the obligations and duties undertaken by him hereunder
will not conflict with, violate or constitute a breach of the terms of any employment or other agreement to which he is a party and that he is not required to obtain the consent of any person, firm, corporation or other entity in order to enter into
this Agreement. 
  

	9.	Entire Agreement 

  
 This Agreement sets forth the entire agreement between the parties hereto and shall supersede and cancel any other and all prior agreements between the
parties hereto, express or implied, relating to the subject matter hereof. CEO and MEDICINOVA further intend that this Agreement shall constitute the complete and exclusive statement of its terms and that no parol or extrinsic evidence whatsoever
may be introduced in any proceeding involving this Agreement. No provisions or terms of this Agreement shall be changed, altered, modified or amended except in writing signed by CEO and a member of MEDICINOVA’s Board of Directors. 

 

	10.	Non-Waiver 

  
 The failure or refusal of either party to insist upon the strict performance of any provision of this Agreement or to exercise any right in any one or
more instances or circumstances shall not be construed as a waiver or relinquishment of such provision or right, nor shall such failure or refusal be deemed a custom or practice contrary to such provision or right. 
  

	11.	Non-Assignment 

  
 CEO shall have no right to assign to any third party any of the rights, nor to delegate any of the duties under this Agreement, and any assignment or
attempted assignment of CEO’s rights, and any delegation or attempted delegation of CEO’s duties shall be null and void. In all other respects, this Agreement shall be binding upon and shall inure to the benefit of the parties hereto and
their respective heirs, beneficiaries, personal representatives, successors, assigns, officers and directors. Subject to the provisions of Section 5 (f) of this Agreement, CEO agrees that if MEDICINOVA causes or has caused the creation of an
affiliated corporation which will succeed MEDICINOVA, such corporation shall be substituted for MEDICINOVA as the employer of CEO, and such corporation shall succeed MEDICINOVA with respect to this Agreement in all respects. 
  

 - 9 - 

	12.	Severability 

  
 If any article, section, paragraph, term or provision of this Agreement should be held or determined to be unenforceable, the balance of this Agreement
shall nevertheless continue in full force and effect unaffected by such holding or determination. In addition, in any such event, the parties agree that it is their intention and agreement that any such article, section, paragraph, term or provision
which is held or determined to be unenforceable as written, shall nonetheless be enforced and binding to the fullest extent permitted by law as though such article, section, paragraph, term or provision had been written in such a manner and to such
an extent as to be enforceable under the circumstances. 
  

	13.	Notice 

  
 All notices hereunder shall be in writing. Notices may be delivered personally, or by mail, postage prepaid, to the respective addresses first written
above. Either party may designate a new address for purposes of this Agreement by notice to the other party. 
  

	14.	Governing Law and Arbitration 

  

	(a)	Governing Law and Arbitration - While MEDICINOVA may seek in a court of competent jurisdiction injunctive relief to enforce the provisions of Article 6 (a) (Confidential
Information) of this Agreement, any claim (except with respect to the judicial remedy of injunction), arising out of or relating to this Agreement, the relationship created hereby, performance in connection herewith or the breach or termination or
non-renewal hereof (including, but not limited to, claims arising under federal, state or local employment discrimination statutes), shall be settled solely by binding arbitration in California, and the judgment on the award may be entered in any
court of competent jurisdiction. This Agreement shall be interpreted and enforced pursuant to and under the laws of the State of California. 

  

	(b)	Rules of Arbitration - The arbitration shall be governed by the Employment Dispute Resolution Rules of the American Arbitration Association in effect at the time of the arbitration
proceeding, except that the Expedited Procedures of the Employment Dispute Resolution Rules shall not be applicable, regardless of the amount in dispute. 

  

	15.	Captions and Titles 

  
 Captions and titles have been used in this Agreement only for convenience, and shall in no way define, limit or describe the meaning of this Agreement or
any part thereof. 
  

	16.	Acknowledgment 

  
 CEO acknowledges that CEO has consulted with or have had the opportunity to consult with independent counsel of his own choice concerning this Agreement
and have been advised to do so by MEDICINOVA, and that CEO has read and understood this Agreement, are fully aware of its legal effect, and have entered into it freely based on its own judgment. 
  

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 IN WITNESS WHEREOF, the parties have signed this Agreement. 
  

									
	CEO	 	 	 	MEDICINOVA, Inc.
					
	By:	 	 /s/ Takashi Kiyoizumi
	 	 	 	By:	 	 /s/ Yuichi Iwaki

	 	 	 Takashi Kiyoizumi, M.D., Ph.D., Sc.M.
	 	 	 	 	 	 Yuichi Iwaki, M.D., Ph.D.
 Chairman of the Board

  

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