Document:

ex10-15.htm

 

Exhibit 10.15

 

SUPPLEMENTAL EXECUTIVE RETIREMENT PLAN

FOR

JAY S. SIDHU

ARTICLE I

PURPOSE

1.01           The purpose of this Plan is to provide a supplemental retirement benefit to the Executive in order to competitively compensate him for his services to the Company.  The supplemental retirement benefit shall be earned by the Executive and accrued by the Company on a defined contribution basis.  Except as provided in Section 4.02 below, this Plan shall be of no force or effect prior to the Effective Date, and shall never become effective in the event of the Executive’s termination of employment with the Company for any reason, voluntarily or involuntarily, prior to the Effective Date.

ARTICLE II

DEFINITIONS

2.01           "Account" means a bookkeeping reserve account established in the books of the Company for the Executive.

2.02           "Beneficiary" means the beneficiary or beneficiaries designated by the Executive to receive the amounts, if any, payable under the Plan upon his death, pursuant to Article VI below.

 

2.03           "Board of Directors" means the Board of Directors of the Company.

 

2.04           “Cause” shall have the same meaning as the definition set forth in the Employment Agreement.

2.05           “Code” means the Internal Revenue Code of 1986, as amended, and Treasury Regulations promulgated thereunder.

2.06           “Company” means New Century Bank, a Pennsylvania bank.

2.07           “Effective Date” means the first to occur of (a) an Initial Public Offering, or (b) the consummation of an acquisition by the Company or New Century Bank of a controlling interest in or substantially all the assets of an institution insured by the Federal Deposit Insurance Corporation or such governmental entity that succeeds to the regulatory obligations of the Federal Deposit Insurance Corporation.

2.08           “Employment Agreement” means the Employment Agreement between New Century Bank and Jay S. Sidhu dated June 17, 2009, as the same may be amended from time to time.

 

2.09           "Executive" means Jay S. Sidhu.

 

 

  

  

  

 

 

2.10           “Initial Public Offering” shall mean the initial public offering of common stock of the Company pursuant to a registration statement filed with the U. S. Securities and Exchange Commission under the Securities Act of 1933, as amended.

2.11           “Payment Date” means the later of (a) the date of Executive’s Separation from Service, or (b) the Executive’s sixty-fifth (65th) birthday.

2.12           "Plan" means this Supplemental Executive Retirement Plan, as the same may be amended from time to time.

2.13           “Policy” means life insurance policy #6807092 issued by Principal Life Insurance Company.

2.14           “Separation from Service” means the Executive’s separation from service with the Company within the meaning of Section 409A of the Code.

2.15           "Valuation Date" means each day on which the New York Stock Exchange is open for business.

ARTICLE III

ALLOCATION OF DEFERRED COMPENSATION

3.01           On or as soon as reasonably practicable following May 1, 2010, and on or as soon as reasonably practicable after the each of the next four (4) one (1)-year anniversaries of May 1, 2010, the Company shall credit uniform amounts to the Account that are sufficient to create a hypothetical fund that would provide payments of three hundred thousand dollars ($300,000) per year for fifteen (15) years commencing on the Executive’s sixty-fifth (65th) birthday, assuming a rate of return of seven percent (7%) per year, compounded annually, from the date of the first credit made pursuant to this Section 3.01 until the final payment.

3.02           As of each Valuation Date, the Company shall credit the Account with earnings or losses on the balance of the Account since the preceding Valuation Date in accordance with the performance of the notional investments selected pursuant to Section 5.02, below.

ARTICLE IV

ENTITLEMENT DEFERRED TO COMPENSATION

4.01           Commencing on the Payment Date, or as soon as practicable thereafter, the Executive’s interest in the Account shall be paid to him in fifteen (15) annual installments; provided, however, if as of the date of Executive’s Separation from Service, stock of the Company or a holding company or other parent entity with respect to the Company is publicly traded on an established securities market or otherwise, and if necessary to comply with Section 409A of the Code, the first payment shall not be made prior to the later of (a) the Payment Date, or (b) the six (6)-month anniversary of the date of the Executive’s Separation from Service.  The amount of each installment, other than the last installment, shall be that amount derived from dividing the Executive’s interest in the balance of the Account as of the last Valuation Date preceding payment of that installment by the number of installment payments remaining (e.g., divided by fifteen (15) for the first installment, fourteen (14) for the second installment, etc).  The amount of the final installment shall be equal to the Executive’s interest in the balance of the Account as of the last Valuation Date preceding the date of payment of that installment.  Any portion of the Executive’s interest in the Account remaining upon the death of the Executive shall be paid to his Beneficiary in a single lump sum.

 

 

 

  

  

  

 

4.02           In the event of the death of the Executive prior to the Payment Date, whether before or after the Effective Date, three million dollars ($3,000,000) shall be paid to his Beneficiary in a single lump sum as soon as practicable following the date of death.  No further amounts shall be paid to the Beneficiary or any other person attributable to the Account or otherwise pursuant to this Plan.

4.03           All amounts payable pursuant to this Plan shall be subject to all applicable Federal, state and local tax withholding requirements, and other charges and assessments imposed by law.

 

4.04           Notwithstanding the foregoing provisions of this Article IV, if the Executive’s employment with the Company is terminated for Cause prior to the commencement of payments, he shall forfeit his interest in the Account, and no payments to him or his Beneficiary shall be made under this Plan.

ARTICLE V

FUNDING OF DEFERRED COMPENSATION

5.01           Neither the Executive nor the Beneficiary shall have any right, title, or interest in or to any investments which the Company may make to aid it in meeting its obligations hereunder. Such investments, whether held in trust or otherwise, shall be unrestricted corporate assets.

5.02           For purposes of determining the balance of the Account as of any Valuation Date, the Company shall be deemed to have deposited the amounts credited to the Account pursuant to Section 3.01 above to the investment funds available within the Policy as of the crediting dates described in Section 3.01.  Such amounts shall be deemed to have been invested and reinvested in the investment funds available under the Policy and selected by the Executive.  The Executive shall communicate his notional investment choices and changes thereto to the Company or its designee in such form and in the number of days in advance of any such change as the Company may require.  In no event shall the Company, or any person acting on the Company’s behalf, be liable for any losses or damages of any kind relating to the deemed investment or reinvestment of the Account balance in accordance with the Executive’s instructions.

ARTICLE VI

DESIGNATION OF BENEFICIARIES

6.01           The Executive shall file with the Company a written designation in the form attached hereto as Appendix A of one or more persons as Beneficiary to receive the amount, if any, payable under the Plan upon his death. The Executive may, from time to time, revoke or change his Beneficiary designation by filing a new designation with the Company.  The last such designation received by the Company shall be controlling, provided, however, that no designation, change or revocation thereof, shall be effective unless received by the Company prior to the Executive’s death.

 

 

 

  

  

  

 

6.02           If no such Beneficiary designation is in effect at the time of the Executive’s death, or if no designated Beneficiary survives the Executive, the payment of the amount, if any, payable under the Plan upon his death shall be made to his surviving spouse; if no surviving spouse, to the Executive’s surviving children equally; if no surviving children, to the Executive’s surviving grandchildren equally; if no surviving grandchildren, to the Executive’s estate.

 

ARTICLE VII

ADMINISTRATION

7.01           The Company shall have the discretionary authority to determine eligibility for payments under the Plan and to construe, interpret and administer the Plan, and shall do so in a manner that is consistent with the requirements and limitations of Section 409A of the Code.

 

7.02           The Executive or, in the event of the Executive’s death, the Executive’s Beneficiary, may file a written claim for payment hereunder with the Company.  In the event of a denial of any payment due to or requested by the Executive or Beneficiary (the “claimant”), the Company will give the claimant written notification containing specific reasons for the denial.  The written notification will contain specific reference to the pertinent provisions of this Agreement on which the denial of the claim is based.  In addition, it will contain a description of any other material or information necessary for the claimant to perfect a claim, and an explanation of why such material or information is necessary.  The notification will provide further appropriate information as to the steps to be taken if the claimant wishes to submit the claim for review and the time limits applicable thereto, and a statement of the claimant’s right to bring a civil action under Section 502(a) of the Employee Retirement Income Security Act of 1974, as amended.  This written notification will be given to a claimant within ninety (90) days after receipt of the claim by the Company unless special circumstances require an extension of time for processing the claim, in which case the Company shall provide written notice of the extension to the claimant and the reasons therefore, and the date by which the Company expects to make its determination with respect to the claim.  In no event shall such extension exceed 90 days.

 

7.03           In the event of a denial of a claim for benefits, the claimant or a duly authorized representative will be permitted to submit issues and comments in writing to the Company and to submit documents, records and other information relating to the claim for benefits.  The claimant or a duly authorized representative shall also be provided, upon request and free of charge, reasonable access to, and copies of, all documents, records, and other information relevant to the claimant’s claim for benefits.  In addition, the claimant or a duly authorized representative may make a written request for a full and fair review of the claim and its denial by the Company that takes into account all comments, documents, records and other information submitted by the claimant, without regard to whether such information was submitted or considered in the initial benefits determination; provided, however, that such written request is received by the Company (or its delegate) within sixty (60) days after receipt by the claimant of written notification of the denial.  The sixty (60) day requirement may be waived by the Company in appropriate cases.

 

 

  

  

  

 

 

 

7.04           A decision on review of a claim for benefits will be rendered by the Company within sixty (60) days after the receipt of the request.  Under special circumstances, an extension (up to an additional 60 days) can be granted for processing the decision.  Notice of this extension must be provided in writing to the claimant prior to the expiration of the initial sixty-day period.  In no event will the decision be rendered more than one hundred twenty (120) days after the initial request for review.  Any decision by the Company will be furnished to the claimant in writing and will set forth the specific reasons for the decision and the specific provisions on which the decision is based.  The claimant or a duly authorized representative shall also be provided, upon request and free of charge, reasonable access to, and copies of, all documents, records, and other information relevant to the claimant’s claim for benefits.

 

ARTICLE VIII

AMENDMENT

8.01           Except as provided in Section 8.02, the Company may amend the Plan only with the express, written consent of the Executive or, after his death, the Beneficiary.

8.02           The Company may amend the Plan at any time to the extent necessary to comply with any requirement or limitation set forth in Section 409A of the Code or the regulations relating thereto.

ARTICLE IX

MISCELLANEOUS

9.01           Nothing contained in the Plan shall give the Executive the right to be retained in the employment of the Company or affect the right of the Company to terminate the Executive’s services. The adoption of the Plan shall not constitute an employment contract between the Company and Executive.

9.02           If the Company shall find that any person to whom any amount is payable under the Plan is unable to care for his or her affairs because of illness or accident, or is a minor, the Company may direct that any amount to which such person is entitled be paid to his or her spouse, a child, a relative, an institution maintaining or having custody of such person, or any other person deemed by the Company to be a proper recipient on behalf of such person otherwise entitled to payment.  Any such payment shall be a complete discharge of the liability of the Plan and the Company therefor.

9.03           Except insofar as may otherwise be required by law, no amount payable at any time under the Plan shall be subject in any manner to alienation by anticipation, sale, transfer, assignment, bankruptcy, pledge, attachment, charge, encumbrance or garnishment by creditors of the Executive or the Beneficiary nor be subject in any manner to the debts or liabilities of any person, and any attempt to do so alienate or subject any such amount, whether presently or thereafter payable, shall be void.

9.04           It is the intention of the Company that the Plan shall be unfunded for Federal income tax purposes and for purposes of the Employee Retirement Income Security Act of 1974, as amended.

 

 

 

  

  

  

 

 

9.05           The rights and obligations of the Executive and the Company under this Plan shall inure to the benefit of an shall be binding upon the respective heirs, personal representatives, successors and assignees of the Bank and the Executive.

9.06           All rights under this Plan shall be governed by and construed in accordance with the laws of the Commonwealth of Pennsylvania, except to the extent such laws are superseded by the laws of the United States.

 

 

IN WITNESS WHEREOF, the Company has caused this Plan to be executed by its authorized officers as of this 18th day of December, 2010.

	
ATTEST:

 

 

/s/ Gertrude M. Hackney

Secretary

	
NEW CENTURY BANK

 

 

By: /s/ Thomas R. Bruggeraccelr810kaexh101.htm

Exhibit 10.1

CERTAIN PORTIONS OF THIS EXHIBIT HAVE BEEN OMITTED PURSUANT TO RULE 24B-2 AND ARE SUBJECT TO A CONFIDENTIAL TREATMENT REQUEST.  COPIES OF THIS EXHIBIT CONTAINING THE OMITTED INFORMATION HAVE BEEN FILED SEPARATELY WITH THE SECURITIES AND EXCHANGE COMMISSION.  THE OMITTED PORTIONS OF THIS DOCUMENT ARE MARKED WITH A [***].

Exhibit A

EVALUATION AGREEMENT

This Evaluation Agreement (the “Agreement”) is made by and between Novartis Vaccines and Diagnostics, Inc., 4560 Horton Street, Emeryville, California 94608 (“Novartis Diagnostics”), and Accelr8 Technology Corporation, a corporation having its address at 7000 North Broadway, Building 3-307, Denver, Colorado 80221 (“Accelr8”), effective as of 14 June, 2010 (“Effective Date”), as follows:

 

WHEREAS:

 

	
  

	
A.

	
Novartis Diagnostics is engaged in the business of discovering, developing, manufacturing, marketing and selling diagnostic products;

 

	
  

	
B.

	
Accelr8 is engaged in the business of discovering, validating and developing quantitative bacterial diagnostics systems that can be used directly by healthcare professionals;

 

	
  

	
C.

	
In reliance upon that skill, knowledge and experience, the parties wish to perform an Evaluation of how reproducibly Accelr8’s materials and technology can determine the identification, quantitation, and antibiotic resistance testing of bacterial pathogens for the purpose of evaluating the potential of a future business collaboration between the parties using Accelr8’s clinical assay technology;

 

	
  

	
D.

	
Both parties also wish to ensure, and each party agrees, that any confidential information disclosed by one to the other, now or in the future, should be subject to the restrictions on disclosure and use contained in this Agreement.

 

NOW THEREFORE, for and in consideration of the mutual covenants and agreements set forth in this Evaluation Agreement, the parties agree as follows:

1.           Definitions.

	
  

	
“Data” means the results of the Evaluation, including but not limited to interim and final written Evaluation reports.

	
  

	 

	
  

	
“Evaluation” means the evaluation more fully described in the Evaluation Plan.

	
  

	
“Evaluation Plan” means the written description of the Evaluation attached hereto as Exhibit A and incorporated herein.

 

 

Page 1 of 11

NOVARTIS V&D

-CONFIDENTIAL-

[***] Confidential Treatment Requested

  

  

 

 

	
  

	
“Company Materials” means the materials and sequences thereof (either in numerical or alpha arrangement or a combination thereof) or technology specifically described in Exhibit B, together with (i) any part, progeny, mutant or hybrid thereof, (ii) any nucleic acid or other genetic material derived therefrom, (iii) any vector particles derived therefrom, and any progeny, derivatives or modifications of any such vector particles, (iv) any copy, complement or transcription or expression product thereof, (v) any combination of any of the foregoing with other substances (other than Novartis Diagnostics Materials), (vi) any related biological material and associated know-how and data that Accelr8 provides to Novartis Diagnostics.

	
  

	
“Principal Investigator” means Jody Witt for Novartis Diagnostics.

	
  

	
“Publication” means any public presentation or publication regarding the Evaluation or the Data.

2.           Evaluation.  Novartis Diagnostics wishes to perform the Evaluation as more fully described in the Evaluation Plan.  In conducting the Evaluation, the parties will take the following actions:

(a)           Principal Investigators.  The Evaluation shall be performed under the direction of the Principal Investigator.

 

(b)           Company Materials. Accler8 shall provide sufficient quantities of Company Materials to Novartis Diagnostics to enable performance of the Evaluation solely for Novartis Diagnostics’ use in the Evaluation and not for any other purpose, nor may Novartis Diagnostics take, send or allow Company Materials received to be provided to any third party, without obtaining Accler8’s prior written approval.  Upon termination or expiration of this Agreement, or upon written request, Novartis Diagnostics shall destroy any unconsumed Company Materials and any progeny, portions or derivatives thereof remaining in its possession.

(c)           Data.  The parties shall freely share with each other all Data generated in the course of the Evaluation.  In addition, each party shall, upon reasonable request of the other party from time to time during the course of the Evaluation, provide the requesting party a written summary of the results of the providing party’s Evaluation activities to date.  In addition, if mutually agreed upon, each party shall provide the other with a final written report of the results of its performance of the Evaluation within ten (10) business days after the conclusion or termination of the Evaluation.

 

(e)           Expenses.  Novartis Diagnostics agrees to pay Accler8 a total of one hundred fifty thousand dollars (USD $150,000) for Accelr8’s commitment to costs and expenses associated with the performance of its obligations hereunder payable within fifteen (15) business days of the Effective Date.

3.           Ownership and Use of Materials and Data.

(a)           Company Materials.  Accler8 shall solely own all right, title and interest in and to the Company Materials.  Novartis Diagnostics shall use the Company Materials solely for purposes of carrying out the Evaluation, and shall not take, send or otherwise provide the Company Materials to any third party without Accelr8’s prior written approval.

 

 

  

Page 2 of 11

NOVARTIS V&D

-CONFIDENTIAL-

[***] Confidential Treatment Requested

  

(c)           Data.  Neither party may disclose the Data to any third party without the other party’s prior written approval.

4.           Confidentiality, Non-Use Obligations and Data Privacy.

(a)           Confidential Information.  During the course of the Evaluation, Novartis Diagnostics and Accler8 may each disclose confidential and/or proprietary information, including but not limited to each party’s proprietary materials and technologies, economic information, business or research strategies, trade secrets and material embodiments thereof (each party’s “Confidential Information”), to the other solely for the purpose of carrying out the Evaluation.

(b)           Confidentiality and Non-Use.  For a period of seven (7) years following either the expiration or termination of this Agreement, the recipient shall maintain the disclosing party’s Confidential Information in confidence.  The recipient shall use the disclosing party’s Confidential Information solely for its performance of the Evaluation, unless otherwise mutually agreed in writing.

(c)           Exclusions.  The recipient’s obligations of confidentiality and non-use shall not apply to any information that:  (i) is shown by contemporaneous documentation of the recipient to have been in its rightful possession prior to receipt from the disclosing party; (ii) is or becomes, through no fault of the recipient, publicly known; (iii) is furnished to the recipient by a third party without breach of a duty to the disclosing party; (iv) is independently developed by the recipient without access to the disclosing party’s Confidential Information; or (v) such disclosure is required by applicable law, provided that the disclosing party has received advance notice of the proposed disclosure by the recipient.

(d)           No Receipt of Third Party Confidential Information.  Neither party shall disclose to the other party any confidential information obtained from a third party on a confidential basis unless the disclosing party has obtained written permission from such third party to do so, or the information is in the public domain.

(e)           Data Protection (Privacy).  Personal information including Accelr8 employee names, addresses, qualifications, relevant experience (clinical trial or otherwise), financial information relating to, among other matters, compensation and reimbursement payments, and other personal data may be collected and processed for administrative purposes in connection with the Evaluation.  The information is being collected to conduct the Evaluation and will also be used for administrative purposes such as to process communications or payments if any.  The information will not be publicly published, publicly attributed to Accelr8’s employees, or shared with or disclosed to any other party except those directly involved with the Novartis Diagnostics operations, or to such parties involved in the technical administration and maintenance of any database which will house the information.

Consent is sought to gather this personal information which will be processed in the United States and other European Union (EU) and European Economic Area (EEA) countries by Novartis Diagnostics.  It will be stored in either an automated or manual database.  The United States, like some other non-European Union locations, provides a level of privacy protection that is not as stringent as that in the European Union.  Privacy and data protection laws and regulations vary from country to country.

 

 

  

Page 3 of 11

NOVARTIS V&D

-CONFIDENTIAL-

[***] Confidential Treatment Requested

  

Novartis Diagnostics will provide sufficient technical security and organizational measures to protect the information against accidental or unlawful destruction or accidental loss, alteration, unauthorized disclosure or access.

In order to review the data, to amend or correct it, to request to have the information cleared from the database, or to have questions answered relating to the information or to a database, you may contact Novartis Diagnostics at NVD.IntegrityCompliance@Novartis.com or at the following Novartis Diagnostics address:

Integrity & Compliance

Novartis Vaccines and Diagnostics, Inc.

350 Massachusetts Avenue

Cambridge, MA  02139

Fax:  (510) 597-5881

The information will be kept in accordance with the Novartis Records and Retention Policy for the requisite length of time and method of destruction.

By signing this agreement Accelr8 agrees that the information provided above will be collected and processed.  Accler8’s employees have the right, upon reasonable notice; to obtain a complete extract of the information stored which pertains to such Accelr8 employee and/or to request the correction and/or the deletion of any such stored information without providing any reasons.

5.           Intellectual Property.

(a)           Internal Use License.  Subject to each party’s obligations, during the term of the Evaluation each party shall have a co-exclusive, royalty-free license, without the right to sublicense, to use the Data solely for the purpose of negotiating a potential strategic or collaborative agreement between Accler8 and Novartis Diagnostics.  Nothing contained within this Agreement shall impose an obligation to negotiate or enter into any future agreement.

(b)           No Implied Rights in Intellectual Property.  Except as expressly set forth in Article 5(a) hereof, nothing herein shall be deemed to grant to either Novartis Diagnostics or Accler8 any rights under the other party’s patents, patent applications, know-how (whether patentable or unpatentable) or other intellectual property rights of the other party.  Accler8 may not use the Data, or any information derived therefrom for any products or processes or for profit-making or commercial purposes, including the filing of patent applications relating to the Data, or their use, without Novartis Diagnostics’ prior written permission.

6.           Publications.  Neither Novartis Diagnostics nor Company shall make any Publication without providing the text of the proposed Publication to the other party at least sixty (60) days prior to submission thereof to a publisher or any third party and obtaining the written consent of the other to such Publication in the form provided to it.  In the case of an oral presentation, the term “text” will refer to an abstract setting forth all material information to be covered by the oral presentation.  Within this period, at Novartis Diagnostics’ request, the Publication shall be delayed for a maximum of ninety (90) days from initial disclosure in order to protect the potential patentability of any Invention described therein.  In no event shall either party disclose any Confidential Information of the other party in any Publication.  The parties shall, in any Publication, consider joint authorship and acknowledge the contributions and publications of the other as scientifically appropriate.

 

 

Page 4 of 11

NOVARTIS V&D

-CONFIDENTIAL-

[***] Confidential Treatment Requested

  

  

7.           Representations and Warranties.  Each party represents and warrants to the other party as follows:

(a)           Such party has full power and authority to execute and deliver this Agreement and to perform its obligations hereunder.  The execution, delivery and performance by such party of this Agreement has been duly and validly authorized, and no additional authorization or consent is required in connection with the execution, delivery and performance by such party of this Agreement.

(b)           This Agreement has been duly executed and delivered by such party and constitutes a valid and legally binding obligation of such party, enforceable in accordance with its terms.

(c)           Such party shall use all Company Materials received from the other party in compliance with all applicable laws and regulations, including, where applicable, those relating to the treatment of laboratory animals and NIH guidelines pertaining to biological materials, and shall not use any such Company Materials in humans. Such party represents and warrants that it shall perform the Evaluation with reasonable due care and in conformity with current generally accepted standards and procedures, and that it is the responsibility of its management to establish appropriate quality assurance, quality controls and review procedures.  Such party also represents and warrants that it complies with, and, in performing its duties under this Agreement it shall comply in all material respects with Good Laboratory Practices (GLPs), and all other applicable laws, codes, regulations, rules, decrees, orders and the like of any applicable governmental authority.

8.           Limited Warranty.  Acceler8 warrants and represents that (i) it owns and/or has the right to transfer to Novartis Diagnostics, Company Materials and perform as provided under this Agreement, and (ii) as of the Effective Date the Company Materials are not, to the best of its knowledge, the subject of any pending, imminent, or threatened litigation or dispute.  Unless otherwise set forth in this Agreement, COMPANY MATERIALS ARE PROVIDED WITHOUT WARRANTY OF ANY SORT, EXPRESS OR IMPLIED, INCLUDING THE IMPLIED WARRANTIES OF MERCHANTABILITY AND FITNESS FOR A PARTICULAR PURPOSE OR ANY OTHER WARRANTY.  IN NO EVENT SHALL EITHER PARTY BE LIABLE FOR LOSS OF PROFITS, LOSS OF USE, OR ANY OTHER CONSEQUENTIAL, INCIDENTAL OR PUNITIVE DAMAGES.

9.           Notices. Routine notices of conditions or situations affecting the Evaluation will be given in writing between the Principal Investigators of each party.  All other notices will be given in writing and delivered by mail or facsimile to the parties as follows:

 

 

	To Novartis Vaccines and Diagnostics, Inc.:    	To Company: 
	 	 
	Novartis Vaccines and Diagnostics, Inc.  	Accelr8 Technology Corporation 
	4560 Horton Street  	7000 North Broadway, Building 3-307 
	Emeryville, California  94608  	Denver, Colorado 80221 
	 	 
	Attention:   	Attention: David Howson 

 

   

  

Page 5 of 11

NOVARTIS V&D

-CONFIDENTIAL-

[***] Confidential Treatment Requested

  

10.           Indemnification.  To the fullest extent permitted by applicable law, each party shall indemnify the other party and such other party’s directors, officers, employees, agents and representatives from and against any and all demands, claims, losses, liabilities, damages, costs, and expenses whatsoever (including, without limitation, reasonable fees and disbursements of counsel), sustained or incurred under this Agreement by an indemnified party if and to the extent resulting from any action or omission of the indemnifying party or any of its officers, employees, agents or representatives.

(a)           Procedure.  The indemnified party shall promptly notify the indemnifying party of any claim or suit giving rise to its obligations hereunder and permit the indemnifying party to assume sole direction and control of the defense of the claim (including the reasonable selection of counsel) with the right to reasonably settle such action in its sole discretion, provided that such settlement does not impose any material obligation on the indemnified party (including compromising its intellectual property rights) or any admission of fault of the indemnified party.  The indemnified party will reasonably cooperate as requested, at the expense of the indemnifying party, in the defense of the action.

11.           Term; Termination.  The term of this Agreement (the “Term”) shall begin on the Effective Date and end on October 30, 2010 unless extended by mutual written consent.  Either party may terminate this Agreement upon thirty (30) days prior written notice to the other party.  Upon termination or expiration of this Agreement, unless otherwise mutually agreed, both parties shall destroy all Data, except that each party may retain one (1) copy of the Data in its legal archives for the sole purpose of monitoring its obligations hereunder.  Each recipient shall, at the providing/disclosing party’s option, either return or destroy any of the other party’s Confidential Information remaining in its possession.

12.           Survival.  The provisions of Articles 3, 4, 5, 6, 8 and 10 shall survive termination or expiration of this Agreement.

13.           Independent Contractors; Use of Names.  The parties shall perform this Agreement in the capacity of independent contractors.  Neither party, nor their respective employees, consultants or representatives, shall be considered employees, partners, or agents of the other party.  Neither party may make any representations or commitments on the other party’s behalf, nor use the other party’s name or trademarks in any public disclosure, without the named party’s prior written consent.  Accler8 shall comply with all instructions given by Novartis Diagnostics employees while on Novartis Diagnostics’ premises, shall wear a Novartis Diagnostics visitor’s badge above the waist and in plain sight at all times while working within the limits of Novartis Diagnostics facilities, and shall promptly report any missing badges to Novartis Diagnostics.

 

 

  

 Page 6 of 11 

NOVARTIS V&D

-CONFIDENTIAL-

[***] Confidential Treatment Requested

  

14.           Corporate Citizenship.  Novartis Diagnostics gives preference to third parties who share its societal and environmental values, as set forth in the Novartis Vaccines and Diagnostics, Inc.’s Corporate Citizenship Third Party Code (http://www.corporatecitizenship.novartis.com/downloads/business-conduct/Novartis_TP_Code.pdf) and incorporated by reference.  Accordingly, Accler8 represents and warrants that this Agreement will be performed in material compliance with all applicable laws and regulations, including without limitation, laws and regulation relating to health, safety and the environment, fair labor practices and unlawful discrimination.

15.           Assignment.  This Agreement may not be assigned or transferred without the prior written consent of both parties, which consent shall not be unreasonably withheld; provided, however, Novartis Diagnostics may freely assign this Agreement to any person or entity who acquires all or substantially all of its business or assets (or of the business division or product line of such party to which the Evaluation primarily relates).

16.           Waiver and Severability.  No waiver of any of the provisions of this Agreement shall be deemed, or shall constitute, a waiver of any other provision, whether or not similar, nor shall any waiver constitute a continuing waiver.  No waiver shall be binding unless executed in writing by the party making the waiver.  This Agreement shall be interpreted as a whole and neither for or against either party, in accordance with their common meaning, but taking into account the nature of the project to be rendered and the standards and responsibilities of the parties as professionals rendering those project activities as herein specified.  In the event of a conflict between the provisions in the body of this Agreement and any Exhibits, the terms in the body of this Agreement shall control.  The terms of this Agreement are severable, and if any term of this Agreement is determined to be invalid or unenforceable under any controlling body of law, such invalidity or non-enforceability shall not in any way affect the validity or enforceability of the remaining terms or the validity or enforceability of those terms in any jurisdiction where they are valid and enforceable.  The parties desire the terms herein to be valid and enforced to the maximum extent not prohibited by law, regulation or court order in a given jurisdiction and as such, any invalid or unenforceable terms will be reformed by the parties to effectuate the intent of the parties as evidenced on the Effective Date.

17.           Smoke Free Policy.  Novartis Diagnostics has adopted a smoke-free policy to provide a healthier environment for employees and visitors.  The policy provides that smoking is not permitted at any time on or at any Novartis Diagnostics U.S. site and applies to all companies, subcontractors and agents visiting or providing services on or at Novartis Diagnostics U.S. premises (“Smoke Free Policy”).  Each party shall ensure that its employees, subcontractors, agents and representatives observe the Smoke Free Policy at all times while on or at Novartis Diagnostics’ U.S. premises.  Failure to comply with the Smoke Free Policy may result in the offending individual(s) being directed to leave the premises.

16.           Entire Agreement; Amendment.  This Agreement is the entire agreement of the parties relating to the subject matter hereof.  It may not be amended or modified except in a writing signed by both Novartis Diagnostics and Company.

17.           Governing Law.  This Agreement shall be governed by, and construed in accordance with the laws of the State of California without regard to its choice of law principles.

 

Page 7 of 11

NOVARTIS V&D

-CONFIDENTIAL-

[***] Confidential Treatment Requested

  

  

  

 

 

 

 

[SIGNATURE PAGE IMMEDIATELY FOLLOWS]

 

 

 

 

Page 8 of 11

NOVARTIS V&D

-CONFIDENTIAL-

[***] Confidential Treatment Requested

  

  

 

IN WITNESS WHEREOF, the parties have caused this Agreement to be executed in multiple counterparts by their duly authorized representatives.

	
NOVARTIS VACCINES

AND DIAGNOSTICS, INC.

 

By:  _________________________________

Authorized Representative

Name: ________________________________

 

Title:   ________________________________

 

Date: ________________________________

 

	
ACCELR8 TECHNOLOGY CORPORATION

 

 

By:     ________________________________

           Authorized Representative

Name: ________________________________

 

Title:   ________________________________

 

Date:   ________________________________

Page 9 of 11

NOVARTIS V&D

-CONFIDENTIAL-

[***] Confidential Treatment Requested

  

  

  

EXHIBIT A

Evaluation Plan

Quantitative bacterial detection

Novartis Diagnostics is interested in the performance and accuracy of bacterial and fungal detection from clinical specimens against microbiological culture methods.

Based on ongoing clinical research studies that Accelr8 has initiated, Novartis will evaluate the results of the BACcel system in identifying the type and quantity of bacterial pathogens in these specimens.

Evaluate the range of specimens the BACcel system can utilize including, but not limited to, [***].

Antibiotic ResistanceResistance Phenotype Testing

The BACcel system has the capability to evaluate a range of antibiotic compound to determine pathogen resistance (or susceptibility).  Based on ongoing clinical research studies that Accelr8 has initiated, Novartis will evaluate the results of the BACcel system in determining resistance phenotypes.

Platform (Hardware/Software/Disposable) Investigation

Accelr8 has developed prototype instrumentation, disposables and software to enable the analysis, identification and preparation of clinical specimens towards determining bacterial content and resistance phenotypes.  Novartis will evaluate the system components towards establishing a target product profile and development plan for a diagnostic system.

Page 10 of 11

NOVARTIS V&D

-CONFIDENTIAL-

[***] Confidential Treatment Requested

  

  

  

EXHIBIT B

Company Materials

	
  

	
·

	
Genomic DNA or lysed pathogens from a range of organisms covering [***].

	
  

	
·

	
Proprietary technology for the BACcel platform.

Page 11 of 11

NOVARTIS V&D

-CONFIDENTIAL-

[***] Confidential Treatment Requested

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00188-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00188-of-00352.parquet"}]]