Document:

Exhibit 10.1

 

 

EMPLOYMENT AGREEMENT

 

This Employment Agreement (this “Agreement”), is made and entered into as
of the 22 day of January, 2008 (the “Effective
Date”), by and
between INTERLEUKIN GENETICS, INC., a Delaware corporation (“Employer”), and LEWIS H. BENDER, an
individual (“Employee”).

 

RECITALS

 

A.                                   Employer desires to obtain the benefit of the
services of Employee and Employee desires to render such services to Employer.

 

B.                                     The Board of Directors of Employer (the “Board”) has determined that it is in
Employer’s best interest to employ Employee and to provide certain benefits to
Employee.

 

C.                                     Employer and Employee desire to set forth the
terms and conditions of Employee’s employment with Employer on the terms and
subject to the conditions of this Agreement.

 

AGREEMENT

 

In consideration of the foregoing recitals and of
the mutual covenants and conditions contained herein, the parties, intending to
be legally bound, agree as follows:

 

1.                                       Term and Renewal.  Subject
to the terms hereof, Employee’s employment hereunder will commence on the
Effective Date and continue until the second (2nd) anniversary
thereof (the “Initial Term”), unless earlier
terminated in accordance with the provisions of this Agreement.  On the second and each subsequent anniversary
of the Effective Date, the term of Employee’s employment hereunder will be
automatically extended for an additional period of one (1) year (each a “Subsequent Term”) unless either Employee or Employer
provides written notice to the other that such automatic extension will not
occur (a “Non-Renewal Notice”), which notice is
given not less than ninety (90) days prior to the relevant anniversary of the
Effective Date, and unless Employee’s employment is not otherwise earlier
terminated in accordance with the provisions of this Agreement.  The Initial Term and any Subsequent Term are
referred to herein collectively as the “Term.”

 

2.                                       Employment of Employee.

 

(a)                                  Specific Position.  Employer
and Employee hereby agree that, subject to the provisions of this Agreement,
Employer will employ Employee and Employee will serve as an employee of
Employer.  Employee will report directly
to the Board, and Employee shall have the title and perform the duties of Chief
Executive Officer of Employer, and such other reasonable, usual and customary
duties of such office as may be delegated to Employee from time to time by the
Board, subject always to the policies as reasonably determined from time to
time by the Board.  Employee will work from
Employer’s Waltham, MA office.

 

 

(b)                                 Board Membership.  During
the Term, Employee will serve as a member of the Board, subject to any required
approval of Employer’s stockholders. 
Employee shall resign from the Board effective upon the termination of
Employee’s employment with Employer for any reason.

 

(c)                                  Promotion of Employer’s Business. 
During the Term, Employee shall not engage in any business
competitive with Employer.  Employee
agrees to devote his full business time, attention, knowledge, skill and energy
to the business, affairs and interests of Employer and matters related thereto,
and shall use his best efforts and abilities to promote Employer’s interests;
provided, however, that Employee is not precluded from devoting reasonable
periods to time required: (i) for serving as a director, committee member
or scientific editor of any organization that does not compete with Employer or
that does not involve a conflict of interest with Employer; or (ii) for
managing his personal investments; so long as in either case, such activities do
not interfere with the regular performance of his duties under this Agreement.

 

3.                                       Salary.  Employer
shall pay to Employee during the Term of this Agreement a base salary (“Base Salary”) in the gross amount of $340,000 per year,
payable in equal monthly installments in accordance with Employer’s usual
payroll practices.  The Base Salary may
be increased (but not decreased) annually at end of each calendar year at the
discretion of the Compensation Committee of the Board (the “Compensation
Committee”) throughout the Term.

 

4.                                       Bonus/Stock Options.

 

(a)                                  Sign On Bonus.  In
addition to the Base Salary, Employee shall be eligible to receive a sign on
bonus (the “Sign-On Bonus”) up to a maximum
gross amount of $35,000.  Employee shall
earn and be entitled to $20,000 of the Sign-On Bonus upon completion of his
first three (3) months of employment with Employer, and shall earn and be
entitled to an additional $15,000 of the Sign-On Bonus upon completion of his
first six (6) months of employment with Employer.  The Sign-On Bonus will be paid within fifteen
(15) days after it is earned, in accordance with Employer’s usual payroll
practices.

 

(b)                                 Annual Bonus.  In
addition to the Base Salary, Employee shall be eligible to receive a
discretionary annual performance bonus (the “Annual
Bonus”) based on Employer’s financial performance between January 1st
and December 31st of each year (the “Bonus Year”),
under the following terms and conditions:

 

(i)                                     If
the Compensation Committee determines that Employer’s financial performance met
the threshold of the standards and measures (the “Threshhold Measures”)
approved by the Compensation Committee for the Bonus Year, Employee will be
entitled to an Annual Bonus in an amount equal to ten percent (10%) of the Base
Salary;

 

(ii)                                  If
the Compensation Committee determines that Employer’s financial performance met
the target of the standards and measures (the “Target Measures”) approved by
the Compensation Committee for the Bonus Year, 

 

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Employee will be entitled
to an Annual Bonus in an amount equal to twenty percent (20%) of the Base
Salary; and

 

(iii)                               If
the Compensation Committee determines that Employer’s financial performance was
exceptional as compared to the standards and measures (the “Exceptional
Measures”) approved by the Compensation Committee for the Bonus Year, Employee
will be entitled to an Annual Bonus in an amount equal to fifty percent (50%)
of the Base Salary.

 

                                                The
Threshold Measures, Target Measures & Exceptional Measures shall be
determined and agreed upon by the parties within thirty (30) days from the
Effective Date.  The Annual Bonus shall
be paid to Employee within thirty (30) days following the close of the Bonus
Year, in accordance with Employer’s usual payroll practices.  The Annual Bonus for the first Bonus Year, if
any, will be paid on a pro-rata basis according to the start date of
Employee.  The Compensation Committee
may, in its sole discretion, award an Annual Bonus that exceeds the amounts
listed in subsections (i) - (iii) above.  Employee must be employed by Employer at the
time that the Annual Bonus is paid in order to be eligible for, and to be
deemed as having earned, such Annual Bonus.

 

(c)                                  Stock Options.  Subject
to approval by the Compensation Committee, Employee will be granted an
incentive stock option to purchase 500,000 shares of common stock in Employer
(the “Options”) at an exercise price equal
to the fair market value of such stock on the date of grant (the “Grant Date”), pursuant to the terms of a formal stock
option agreement and stock plan, with such Options to vest under the following
terms and conditions: (i) Employee will vest in 100,000 Options upon the
Grant Date; (ii) Employee will vest in 100,000 Options on February 1,
2009; (iii) Employee will vest in 100,000 Options on February 1,
2011; (iv) Employee will vest in 100,000 Options on February 1, 2012;
and (v) Employee will vest in 100,000 Options on February 1,
2013.  Employee must be employed by
Employer on the date of vesting in order to be eligible for and be entitled to
such vesting.

 

(d)                                 Accelerated Vesting Of Stock Options. 
Subject to approval by the Compensation Committee, the
vesting of the Options described in sections (c)(ii)-(v) above may be
accelerated upon Employer’s attainment of certain financial milestones (e.g., earnings, products to market, execution of strategic
agreements, etc.), with any such milestones and the terms and conditions of any
such acceleration to be agreed upon in writing, in advance, by Employee and Employer.

 

(e)                                  Additional Option Grants.  Subject
to approval by the Compensation Committee, Employee may be granted additional
incentive stock options during the course of his employment with Employer, with
the award and amount of any such grant to be determined by Employer in its sole
discretion, and with such grant (if made) to be made pursuant to the terms of a
formal stock option agreement and stock plan.

 

5.                                       Benefits.

 

(a)                                  Fringe Benefits.  During
Employee’s employment by Employer under this Agreement, Employee shall be
eligible for participation in and shall be covered by any 

 

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and all such medical, disability, life and other
insurance plans and such other similar benefits available to other executive employees.

 

(b)                                 Reimbursements.  During
Employee’s employment with Employer under this Agreement, Employee shall be
entitled to receive prompt reimbursement of all reasonable expenses incurred by
Employee in performing services hereunder, including all expenses of travel at
the request of, or in the service of, Employer provided that such expenses are
incurred and accounted for in accordance with the policies and procedures
established by Employer.

 

(c)                                  Vacation.  During
Employee’s employment with Employer hereunder, Employee shall be entitled to an
annual vacation leave of four (4) weeks at full pay.

 

(d)                                 Relocation/Living Expenses.  During
Employee’s first twelve (12) months of employment with Employer, Employee shall
be entitled to reimbursement of relocation and/or living expenses in an amount
to be agreed upon in writing, in advance, by Employee and Employer.  Such expenses may include the costs of moving
Employee’s family and tangible possessions to the Waltham, Massachusetts
vicinity, expenses related to the rental of an apartment or use of a hotel room
in the Waltham, Massachusetts vicinity, travel costs to and from the Employee’s
current residence to the Waltham, Massachusetts vicinity, and expenses related
to the search for a permanent residence in the Waltham, Massachusetts vicinity.

 

6.                                       Termination And Termination Payment.

 

(a)                                  Termination.  Notwithstanding
anything else contained in this Agreement, Employee’s employment hereunder will
terminate upon the earliest to occur of the following:

 

(i)                                     Expiration of the Term.  If
a Non-Renewal Notice has been given pursuant to Section 1, immediately
upon expiration of the Term.

 

(ii)                                  Death or Disability.  Immediately
upon Employee’s death or Disability (as defined below).

 

(iii)                               Termination by Employer.

 

(A)                              If
by Employer for Cause (as defined below), written notice by Employer to
Employee that Employee’s employment is being terminated for Cause and that sets
forth the factual basis supporting the alleged Cause, which termination shall
be effective on the date of such notice or such later date as specified in
writing by Employer; or

 

(B)                                If
by Employer for reasons other than under Sections 6(a)(i), or 6(a)(iii)(A),
written notice by Employer to Employee that Employee’s employment is being
terminated, which termination shall be effective thirty (30) days after the
date of such notice, provided that
Employer, at its exclusive option, may elect to provide Employee with pay in
lieu of any or all of the aforementioned notice period.

 

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(iv)                              Termination by Employee.

 

(A)                              If
by Employee for Good Reason (as defined below), written notice by Employee to
Employer that Employee is terminating Employee’s employment for Good Reason and
that sets forth the factual basis supporting the alleged Good Reason, which
termination shall be effective thirty (30) days after Employer’s receipt of
such notice, provided that
Employer, at its exclusive option, may elect to provide Employee with pay in
lieu of any or all of the aforementioned notice period, and further provided that if Employer has
cured the circumstances giving rise to the Good Reason within thirty (30) days
after Employer’s receipt of such notice, then such termination shall not be
effective; or

 

(B)                                If
by Employee without Good Reason, written notice by Employee to Employer that
Employee is terminating Employee’s employment, which termination shall be
effective ninety (90) days after the date of such notice.

 

Notwithstanding anything in
this Section 6(a), Employer may at any point terminate Employee’s
employment for Cause prior to the effective date of any other termination
contemplated hereunder provided Employee has not sent a notice of termination.

 

(b)                                 Termination Payments.

 

(i)                                     Termination for Cause, by Employee Without Good Reason, as Result of
Employee’s Disability or Death, or as Result of Expiration of Term.  If Employee’s employment hereunder is
terminated by Employer for Cause, by Employee without Good Reason, as a result
of Employee’s Disability or death, or as a result of the expiration of the
Term, Employer will pay the Accrued Obligations (as defined below) to Employee
(or Employee’s estate, as the case may be) promptly (within fifteen (15) days)
following the effective date of such termination, and Employee (or Employee’s
estate, as the case may be) shall be entitled to no further compensation
hereunder.

 

(ii)                                  Termination Without Cause or For Good Reason.  If Employee’s employment hereunder is
terminated by Employer without Cause or by Employee for Good Reason, then:

 

(A)                              Employer
will pay the Accrued Obligations to Employee promptly (within fifteen (15)
days) following the effective date of such termination.

 

(B)                                Employer
will provide Employee with additional separation pay under the following terms
and conditions: (1) if Employee’s employment is terminated under this
subsection (ii) within Employee’s first (1St) year of
employment under this Agreement, Employer shall pay to Employee an amount equal
to six (6) months of the Base Salary; (2) if Employee’s employment is
terminated under this subsection (ii) within 

 

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Employee’s second (2nd) year of employment
under this Agreement, Employer shall pay to Employee an amount equal to twelve
(12) months of the Base Salary; and (3) if Employee’s employment is
terminated under this subsection (ii) any time after the inception of
Employee’s third (3rd) year of employment under this Agreement,
Employer shall pay to Employee an amount equal to eighteen (18) months of the
Base Salary.  Any payments made under
this subsection (ii) shall be made in equal monthly installments in
accordance with Employer’s usual payroll practices, or in a single lump sum
payment in Employer’s sole discretion.

 

(C)                                Should
Employee continue his medical and dental insurance pursuant to the Consolidated
Omnibus Budget Reconciliation Act of 1985 (COBRA), Employer will reimburse to
Employee the cost of the COBRA payments made by Employee to continue his
participation in Employer’s medical and dental insurance plans, less Employee’s
co-pay if any (which shall be deducted from any payments made to Employee under
this subsection), through the applicable monthly period described in
subsections (ii)(B)(1), (ii)(B)(2), and (ii)(B)(3) above, to the same
extent that such insurance is provided to persons employed by Employer.

 

(D)                               The
payments and benefits described in this subsection (ii) will begin on the
first regular pay date following the effective date of the separation agreement
set forth in subsection (iv) below.

 

(E)                                 In
the event that Employee is eligible for payments and benefits under subsection (iii) below,
Employee shall not be eligible for and shall not receive any payments and
benefits described in this subsection (ii).

 

(iii)                               Termination Without Cause or For Good Reason After Change Of
Control.  If Employer
undergoes a Change of Control (as defined below) and Employee’s employment
hereunder is terminated by Employer without Cause or by Employee for Good
Reason, then:

 

(A)                              Employer
will pay the Accrued Obligations to Employee promptly (within fifteen (15)
days) following the effective date of such termination.

 

(B)                                Employer
will provide Employee with additional separation pay under the following terms
and conditions: (1) if Employer undergoes a Change of Control and
thereafter Employee’s employment is terminated under this subsection (iii) within
Employee’s first (1st) year of employment under this Agreement,
Employer shall pay to Employee an amount equal to twelve (12) months of the
Base Salary; (2) if Employer undergoes a Change of Control and thereafter
Employee’s employment is terminated under this subsection (iii) within
Employee’s second (2nd) year of employment under this Agreement,
Employer shall pay to Employee an amount equal to eighteen (18) months of the
Base Salary; and (3) if Employer undergoes a Change of Control and
thereafter Employee’s 

 

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employment is terminated under this subsection (iii) any
time after the inception of Employee’s third (3rd) year of
employment under this Agreement, Employer shall pay to Employee an amount equal
to twenty four (24) months of the Base Salary. 
Any payments made under this subsection (iii) shall be made in
equal monthly installments in accordance with Employer’s usual payroll
practices, or in a single lump sum payment in Employer’s sole discretion.

 

(C)                                Should
Employee continue his medical and dental insurance pursuant to the Consolidated
Omnibus Budget Reconciliation Act of 1985 (COBRA), Employer will reimburse to
Employee the cost of the COBRA payments made by Employee to continue his
participation in Employer’s medical and dental insurance plans, less Employee’s
co-pay if any (which shall be deducted from any payments made to Employee under
this subsection), through the applicable monthly period described in
subsections (iii)(B)(1), (iii)(B)(2), and (iii)(B)(3) above, to the extent
permissible under COBRA, and to the same extent that such insurance is provided
to persons employed by Employer.

 

(D)                               The
payments and benefits described in this subsection (iii) will begin on the
first regular pay date following the effective date of the separation agreement
set forth in subsection (iv) below.

 

(E)                                 In
the event that Employee is eligible for payments and benefits under subsection (ii) above,
Employee shall not be eligible for and shall not receive any payments and
benefits described in this subsection (iii).

 

(iv)                              Separation Agreement; Release of Claims.  Employer shall not be obligated to
pay Employee any of the payments or benefits set forth in Sections 6(b)(ii) or
6(b)(iii) (other than the Accrued Obligations) unless and until Employee
has executed (without revocation) a timely separation agreement in a form that
is acceptable to Employer and Employee, which will include, at a minimum, a
complete release of claims against Employer and its affiliated entities.

 

(c)                                  Definitions.

 

(i)                                     Cause.  As used
herein, “Cause” means any of the following: (A) the
continued failure or refusal by Employee to substantially perform his duties
hereunder (other than any such failure resulting from his incapacity due to
physical or mental illness); (B) the engaging by Employee in misconduct
which is injurious to Employer’s business or reputation, monetarily or
otherwise; (C) the disloyalty, deliberate dishonesty, breach of fiduciary
duty or violation by Employee of any provision of this Agreement or any other
Agreement he has with Employer; (D) Employee’s commission of an act of
fraud or embezzlement against Employer; (E) Employee is convicted by a
court of competent jurisdiction, or pleads “no contest” to, a felony (other
than minor traffic violations) by Employee; (F) the use by Employee of
so-called “street” or illicit drugs, whether 

 

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or not during business hours, regardless of whether
such use results in arrest or conviction, or the abuse of any drug or
medication so as to materially and adversely affect Employee’s performance.

 

(ii)                                  Good  Reason.  As used herein, “Good Reason” means any of the following, unless the basis
for such Good Reason is cured within thirty (30) days after Employer receives
written notice from Employee specifying the basis for such Good Reason: (A) a
change in the principal location at which Employee provides services to
Employer to over fifty (50) miles away from Waltham, Massachusetts, without
Employee’s prior written consent; (B) a material adverse change by
Employer to Employee’s duties, authority and responsibilities as CEO which
causes Employee’s position with Employer to become of materially less
responsibility and authority than Employee’s position immediately prior to such
change (provided that such change is not in connection with a termination of
Employee’s employment hereunder by Employer); (C) a change in the lines of
reporting such that Employee no longer reports to the Board; (D) a
material breach of this Agreement by Employer; or (E) failure by Employer
to obtain the assumption of this Agreement by any successor to Employer.

 

(iii)                               Disability.  As used herein,
“Disability” means Employee is unable
to perform the essential functions of his job with or without a reasonable
accommodation because of a physical or mental impairment for a period of at
least three (3) months.

 

(iv)                              Accrued Obligations.  As
used herein, “Accrued Obligations” means: (A) the
portion of Employee’s Base Salary that has accrued prior to any termination of
Employee’s employment with Employer and has not yet been paid; and (B) the
amount of any expenses properly incurred by Employee on behalf of Employer
prior to any such termination and not yet reimbursed.  Employee’s entitlement to any other
compensation or benefit under any plan of Employer shall be governed by and
determined in accordance with the terms of such plans, except as otherwise
specified in this Agreement.

 

(v)                                 Change of Control.  As
used herein, “Change of Control” means: (A) any person, entity or group
(within the meaning of Sections 13(d) and 14(d) of the Securities
Exchange Act of 1934, as amended (the “Exchange Act”)) (other than Alticor Inc.
and its affiliates), shall become the “beneficial owner” (as such term is
defined in Rule 13(d) under the Exchange Act), directly or
indirectly, of outstanding securities of Employer representing more than 50% of
the total voting power represented by all voting securities of Employer
entitled to vote generally in the election of directors.

 

(d)                                 No  Other Payments or Benefits
Owing.  The payments and
benefits set forth in Section 6(b) shall be the sole amounts owing to
Employee upon termination of Employee’s employment for any reason.  Employee shall not be eligible for any other
payments or other forms of compensation or benefits.  The payments and benefits set forth in Section 6(b) shall
be the sole remedy, if any, available to Employee in the event that he brings
any claim against Employer relating to the termination of his employment under
this Agreement.

 

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(e)                                  409A Limitation.  Notwithstanding
any other provision with respect to the timing of payments under Section 6,
if, at the time of Employee’s termination, Employee is deemed to be a “specified
Executive” (within the meaning of Code Section 409A, and any successor
statute, regulation and guidance thereto) of Employer, then limited only to the
extent necessary to comply with the requirements of Code Section 409A, any
payments to which Employee may become entitled under Section 6 which are
subject to Code Section 409A (and not otherwise exempt from its
application) will be withheld until the first (1st) business day of
the seventh (7th) month following the termination of Employee’s
employment, at which time Employee shall be paid an aggregate amount equal to
the accumulated, but unpaid, payments otherwise due to Employee under the terms
of Section 6.

 

7.                                       Publicity.  During the
Term and for a period of one (1) year thereafter, Employee shall not,
directly or indirectly, originate or participate in the origination of any
publicity, news release or other public announcements, written or oral, whether
to the public press or otherwise, relating to this Agreement, to any amendment
hereto, to Employee’s employment hereunder or to Employer, without the prior
written approval of Employer.  No officer
or director of Employer shall make no disparaging remarks regarding Employee
during the Term or one (1) year thereafter.

 

8.                                       Restrictive Covenants.

 

(a)                                  Non-Competition; Customer Lists; Non-Solicitation.  In consideration of the benefits
of this Agreement, including Employee’s access to and limited use of
proprietary and confidential information of Employer, as well as training,
education and experience provided to Employee by Employer directly and/or as a
result of work projects assigned by Employer with respect thereto, Employee
hereby covenants and agrees that during the Term and for a period of twelve
(12) months following termination of Employee’s employment, regardless of how
such termination may be brought about, Employee shall not, directly or
indirectly:

 

(i)                                     as
proprietor, partner, stockholder, director, officer, employee, consultant,
joint venturer, investor or in any other capacity, engage in, or own, manage,
operate or control, or participate in the ownership, management, operation or
control, of any entity which engages anywhere in the world in any business
activity which is competitive to current business activities in which Employer
participates during Employee’s employment with Employer, or take any action in
preparation to do any of the foregoing; provided,
however, the foregoing shall not, in any event, prohibit Employee
from purchasing and holding as an investment not more than 1% of any class of
publicly traded securities of any entity which conducts a business in
competition with the business of Employer, so long as Employee does not participate
in any way in the management, operation or control of such entity.  It is further recognized and agreed that,
even though an activity may not be restricted under the foregoing provision,
Employee shall not during the Term and for a period of twelve (12) months
following termination of his employment, regardless of how such termination may
be brought about, provide services to any person or entity which may be used
against, or is or may be in conflict with the interests of, Employer or its
customers or clients;

 

9

 

(ii)                                  use
or make known to any person or entity the names or addresses of any clients or
customers of Employer or any other information pertaining to them;

 

(iii)                               call
on for the purpose of competing, solicit, take away or attempt to call on,
solicit or take away any clients or customers of Employer on whom Employee
called or with whom he became acquainted during his employment with Employer;
or

 

(iv)                              recruit
or attempt to recruit or hire or attempt to hire any employees of Employer.

 

(b)                                 Confidentiality.  Employee
agrees to execute the Confidentiality and Intellectual Property Agreement
attached hereto as Exhibit A and agrees to fulfill his obligations
thereunder.

 

(c)                                  Judicial Reformation.  Employee
acknowledges that, given the nature of Employer’s business, the covenants
contained in Section 8 establish reasonable limitations as to time,
geographic area and scope of activity to be restrained and do not impose a
greater restraint than is reasonably necessary to protect and preserve the
goodwill of Employer’s business and to protect its legitimate business
interests.  If, however, Section 8
is determined by any court of competent jurisdiction to be unenforceable by
reason of its extending for too long a period of time or over too large a
geographic area or by reason of it being too extensive in any other respect or
for any other reason, it will be interpreted to extend only over the longest
period of time for which it may be enforceable and/or over the largest
geographic area as to which it may be enforceable and/or to the maximum extent
in all other aspects as to which it may be enforceable, all as determined by
such court.

 

(d)                                 Affiliates.  When used
in this Section 8, the term “Employer” includes
Interleukin Genetics, Inc. and all affiliates, parents, and subsidiaries
of Interleukin Genetics, Inc.

 

9.                                       Miscellaneous.

 

(a)                                  Withholdings.  All
payments to Employee hereunder shall be made after reduction for all federal,
state and local withholding and payroll taxes, all as determined under
applicable law and regulations, and Employer shall make all reports and similar
filings required by such law and regulations with respect to such payments,
withholdings and taxes.

 

(b)                                 Taxation.  Employee
acknowledges and agrees that Employer does not guarantee the tax treatment or
tax consequences associated with any payment or benefit arising under this
Agreement, including but not limited to consequences related to Section 409A
of the Internal Revenue Code of 1986, as amended (the “Code”).  Employer and Employee agree that, in addition
to abiding by Section 6(e) if applicable, both will negotiate in good
faith and jointly execute an amendment to modify this Agreement to the extent
necessary to comply with the requirements of Code Section 409A, or any
successor statute, regulation and guidance thereto; provided, that no such 

 

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amendment shall increase the total financial
obligation of Employer under this Agreement.

 

(c)                                  Succession.  This
Agreement shall inure to the benefit of and shall be binding upon Employer, its
successors and assigns.  The obligations
and duties of Employee hereunder shall be personal and not assignable.

 

(d)                                 Notices.  Any and all
notices, demands, requests or other communications hereunder shall be in
writing and shall be deemed duly given when personally delivered to or
transmitted overnight express delivery or by facsimile to and received by the
party to whom such notice is intended (provided the original thereof is sent by
mail, in the manner set forth below, on the next business day after the
facsimile transmission is sent), or in lieu of such personal delivery or
overnight express delivery or facsimile transmission, on receipt when deposited
in the United States mail, first-class, certified or registered, postage
prepaid, return receipt requested, addressed to the applicable party at the
address set forth below such party’s signature to this Agreement.  The parties may change their respective
addresses for the purpose of this Section 9(d) by giving notice of
such change to the other parties in the manner which is provided in this Section 9(d).

 

(e)                                  Entire Agreement.  This
Agreement contains the entire agreement of the parties relating to the subject
matter hereof, and it replaces and supersedes any prior agreements between the
parties relating to said subject matter.

 

(f)                                    Headings.  The
headings of Sections herein are used for convenience only and shall not affect
the meaning of contents hereof.

 

(g)                                 Waiver; Amendment.  No
provision hereof may be waived except by a written agreement signed by the
waiving party.  The waiver of any term or
of any condition of this Agreement shall not be deemed to constitute the waiver
of any other term or condition.  This
Agreement may be amended only by a written agreement signed by the parties
hereto.

 

(h)                                 Severability.  If any
of the provisions of this Agreement shall be held unenforceable by the final
determination of a court of competent jurisdiction and all appeals therefrom
shall have failed or the time for such appeals shall have expired, such
provision or provisions shall be deemed eliminated from this Agreement but the
remaining provisions shall nevertheless be given full effect.  In the event this Agreement or any portion
hereof is more restrictive than permitted by the law of the jurisdiction in
which enforcement is sought, this Agreement or such portion shall be limited in
that jurisdiction only to the extent required by the law of that jurisdiction.

 

(i)                                     Governing Law.  This
Agreement shall be governed by and construed in accordance with the laws of the
Commonwealth of Massachusetts.

 

(j)                                     Arbitration.  Except
for the provisions of Sections 7 and 8, and Exhibit A  hereto, with regard to which Employer expressly
reserves the right to petition a court directly for injunctive or other relief,
any dispute arising out of or relating to this Agreement, or the breach,
termination or the validity hereof, shall be settled by arbitration in
Massachusetts, in accordance with the Commercial Arbitration Rules of the 

 

11

 

American Arbitration Association.  Judgment upon the award rendered by the
arbitrator or arbitrators may be entered in any court having jurisdiction thereof.  THE ARBITRATOR OR ARBITRATORS ARE NOT
EMPOWERED TO AWARD DAMAGES IN EXCESS OF COMPENSATORY DAMAGES (INCLUDING
REASONABLE ATTORNEYS FEES AND EXPERT WITNESS FEES) AND EACH PARTY HEREBY
IRREVOCABLY WAIVES ANY RIGHT TO RECOVER SUCH DAMAGES (INCLUDING, WITHOUT
LIMITATION, PUNITIVE DAMAGES) IN ANY FORUM. 
The arbitrator or arbitrators may award equitable relief in those
circumstances where monetary damages would be inadequate.  The arbitrator or arbitrators shall be
required to follow the applicable law as set forth in the governing law section
of this Agreement.  The arbitrator or
arbitrators shall award reasonable attorneys fees and costs of arbitration to
the prevailing party in such arbitration.

 

(k)                                  Equitable Relief.  In
the event of a breach or a threatened breach by Employee of any of the
provisions contained in Sections 7 or 8 of this Agreement or Exhibit A
hereto, Employee acknowledges that Employer will suffer irreparable injury not
fully compensable by money damages and, therefore, will not have an adequate
remedy available at law.  Accordingly,
Employer shall be entitled to obtain such injunctive relief or other equitable
remedy from any court of competent jurisdiction as may be necessary or
appropriate to prevent or curtail any such breach, threatened or actual,
without having to post bond.  The
foregoing shall be in addition to and without prejudice to any other rights
that Employer may have under this Agreement, at law or in equity, including,
without limitation, the right to sue for damages.

 

(l)                                     Counterparts.  This
Agreement may be executed in two or more counterparts, and by different parties
hereto on separate counterparts, each of which will be deemed an original, but
all of which together will constitute one and the same instrument.

 

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

 

	
  LEWIS H. BENDER

  	
  INTERLEUKIN GENETICS, INC.

  
	
   

  	
   

  
	
   

  	
   

  
	
  By:

  	
  /s/ Lewis H. Bender

  	
   

  	
  By:

  	
  /s/ Thomas R. Curran, Jr.

  
	
   

  	
   

  	
  Thomas R. Curran, Jr.

  
	
   

  	
   

  
	
  Address:

  	
  Address:

  
	
  43 Ledgewood Road

  	
  135 Beaver Street

  
	
  Redding, CT 06896

  	
  Waltham, MA 02452

  
						

 

12Exhibit 10.2

 

RESEARCH AGREEMENT

 

This RESEARCH AGREEMENT (this “Agreement”) is entered into as of February 25,
2008 (the “Effective Date”) by and between Interleukin Genetics, Inc. a
Delaware corporation (“ILI”) and Access Business Group International LLC,
having its principal office at 7575 Fulton Street, East, Ada, Michigan
49355-0001 (“Access”).  Each of ILI and
Access is sometimes referred to individually herein as a “Party” and
collectively as the “Parties.”

 

WHEREAS,
Access, together with its Affiliates (defined below), has expertise and
experience in the development, commercialization and marketing of nutritional
supplements and personal care products and ILI has expertise and experience in
analyzing the effect of variations in genes related to inflammation, including
the effect of such variations on the risk for osteoporosis and cardiovascular
disease, and determining, through genetic profiling, individuals who may
benefit from specific interventions to promote health;

 

WHEREAS, ILI
also has expertise and experience in seeking and analyzing scientific
opportunities that would support development of nutritional supplements and
personal care products and determining the credibility of such opportunities;

 

WHEREAS, Access desires that ILI perform the Research Program (defined
below) on the terms and subject to the conditions set forth in this Agreement
and the Parties desire to obtain certain rights to inventions arising out of
the Research Program; and

 

WHEREAS, ILI is willing to perform the Research Program and the Parties
are willing to grant each other such rights as described herein.

 

NOW, THEREFORE, in consideration of the mutual covenants contained
herein, and for other good and valuable consideration, the Parties hereby agree
as follows:

 

1.             DEFINITIONS

 

Whenever used
in this Agreement with an initial capital letter, the terms defined in this Section 1
shall have the meanings specified.

 

1.1       “Affiliate”
means any corporation, firm, partnership or other entity that directly or
indirectly controls or is controlled by or is under common control with a Party
to this Agreement.  For purposes of this
definition, “control” means ownership, directly or through one or more
Affiliates, of fifty percent (50%)  or more of the
shares of stock entitled to vote for the election of directors, in the case of
a corporation, fifty percent (50%) or more of the equity interests in the case
of any other type of legal entity, status as a general partner in any
partnership, or any other arrangement whereby a Party controls or has the right
to control the Board of Directors or equivalent governing body of a corporation
or other entity.  For purposes of this
Agreement, Access, Alticor Inc. and subsidiaries of Alticor Inc., on the one
hand, and ILI, on the other hand, will not be deemed to be Affiliates of each
other.

 

 

Portions
of this Exhibit were omitted and have been filed separately with the Secretary
of the Commission pursuant to the Company’s application requesting confidential
treatment under Rule 24b-2 of the Securities Exchange Act of 1934.

 

 

1.2       “Access
Patent Rights” means any Patent Rights with respect to Access
Technology.

 

1.3       “Access
Proprietary Materials” means any Proprietary Materials of Access
that are used by Access, or provided by Access, for use in the Research
Program.

 

1.4       “Access
Technology” means any Technology Controlled by Access as of the
Effective Date and during the Term that is used by Access, or provided by
Access for use, in the Research Program.

 

1.5       “Confidential Information” means, as
regards a Party (the “Receiving Party”), (i) all information produced or
discovered by either Party under the Research Program (including without
limitation, compilations, data, formulae, models, patent disclosures,
procedures, processes, projections, protocols, results of experimentation and
testing, specifications, strategies and techniques), and all tangible and
intangible embodiments thereof of any kind whatsoever (including, without
limitation, apparatus, biological or chemical materials, animals, cells, compositions,
documents, drawings, machinery, patent applications, records and reports) and (ii) all
other information (including but not limited to information about any element
of Technology or a Party’s business) which is disclosed, whether in writing and
marked as confidential at the time of disclosure to the Receiving Party or
customarily considered to be confidential information or by oral disclosure
reduced to a writing, by the other Party (the “Disclosing Party”) to the
Receiving Party or to any of its employees, consultants, Affiliates, licensees
and sublicensees hereunder, except to the extent that the information
described in this subsection (ii) (a) as of the date of disclosure is
demonstrably known to, or in the possession of, the Receiving Party or its
Affiliates, as shown by written documentation, other than by virtue of a prior
confidential disclosure by the Disclosing Party or its Affiliates; (b) as
of the date of disclosure is in, or subsequently enters, the public domain,
through no fault or omission of the Receiving Party or its Affiliates; (c) as
of the date of disclosure or thereafter is obtained by the Receiving Party or
its Affiliates from a Third Party free from any obligation of confidentiality
to the Disclosing Party and rightfully in possession of such information or (d) is
independently developed by or for the Receiving Party or its Affiliates without
reference to or in reliance upon any of the foregoing information as
demonstrated by competent written records.

 

1.6       “Control” or “Controlled”
means (a) with respect to Technology (other than Proprietary Materials)
and/or Patent Rights, the possession by a Party of the ability to grant a
license or sublicense of such Technology and/or Patent Rights as provided
herein without violating the terms of any agreement or arrangement between such
Party and any third party and (b) with respect to Proprietary Materials,
the possession by a Party of the ability to supply such Proprietary Materials
to the other Party as provided herein without violating the terms of any
agreement or arrangement between such Party and any third party.

 

1.7       “ILI Patent Rights” means any Patent
Rights with respect to ILI Technology.

 

1.8       “ILI Technology” means any
Technology Controlled by ILI as of the Effective Date and during the Term that
is used by ILI, or provided by ILI, or provided by ILI for use, in the Research
Program.

 

 

Portions
of this Exhibit were omitted and have been filed separately with the Secretary
of the Commission pursuant to the Company’s application requesting confidential
treatment under Rule 24b-2 of the Securities Exchange Act of 1934.

 

2

 

1.9       “Joint Science Committee” or “JSC”
shall have the meaning set forth in Section 5.1 hereof.

 

1.10     “Patent Rights” means the rights and interests in and
to issued patents and pending patent applications in any country, including all
substitutions, continuations, continuations-in-part, divisionals, supplementary
protection certificates, renewals, all letters patents granted thereon, and all
reissues, reexaminations, extensions, confirmations, revalidations,
registrations and patents of addition thereof.

 

1.11     “Party” or “Parties”
has the meaning set forth in the first paragraph of this Agreement.

 

1.12     “Program Invention” means any
Technology, whether or not patentable, which is conceived and/or first reduced
to practice by employees of, or consultants to, either Party, or jointly by
both Parties, in the conduct of the Research Program.

 

1.13     “Program Patent Rights” means all
Patent Rights claiming any Program Invention.

 

1.14     “Program Product” means any skin
care product, or delivery system for a skin care product (i) the
manufacture, use or sale of which would, absent the license or ownership rights
granted to Access hereunder, infringe any claim included in the Program Patent
Rights or the ILI Patent Rights, or (ii) which makes a claim or claims of
efficacy or utility based upon the research conducted hereunder or upon the use
or results of a Program Test.

 

1.15     “Program Test” means any nucleic
acid test used to determine appropriate recipients of Program Products (i) the
manufacture, use or sale of which would, absent the license or ownership rights
granted to Access hereunder infringe any claim included in the Program Patent
Rights or the ILI Patent Rights, or (ii) which was developed, modified or
improved hereunder.

 

1.16     “Proprietary Materials” means any
tangible chemical, biological or physical research materials, including but not
limited to chemical compounds that are furnished by or on behalf of one Party
to the other Party, in connection with this Agreement, that are proprietary to
the transferring Party through patent protection, trade secret, or other method
of intellectual property protection, regardless of whether such materials are
specifically designated as proprietary by the transferring Party.

 

1.17         “Research
Program” means the research program to be conducted by the
Parties as described in this Agreement and in Appendix A, as amended from time
to time.

 

1.18         “Technology”
means and includes all inventions, discoveries, know-how, trade secrets,
improvements and Proprietary Materials, whether or not patentable, including
but not limited to, structural and functional information and other data,
formulations and techniques.

 

1.19         “Term”
has the meaning set forth in Section 7.1.

 

 

Portions
of this Exhibit were omitted and have been filed separately with the Secretary
of the Commission pursuant to the Company’s application requesting confidential
treatment under Rule 24b-2 of the Securities Exchange Act of 1934.

3

 

1.20         “Territory”
means worldwide.

 

1.21         “Third
Party” means any entity other than ILI, Access or their
respective Affiliates.

 

2.             RESEARCH PROGRAM

 

2.1       Implementation of Research Program.  The Research Program shall be conducted by
the Parties in accordance with this Agreement and in compliance with all
applicable laws and regulations.  ILI
shall use commercially reasonable efforts to perform the activities to be
performed by it under the Research Program.

 

2.2       Supply of Proprietary Materials.  From time to time during the Term of this
Agreement, one Party may supply the other Party with its Proprietary Materials
for use in the Research Program.  In
connection therewith, the recipient Party hereby agrees that (a) it shall
not use Proprietary Materials for any purpose other than conducting the
Research Program pursuant to this Agreement; (b) it shall use the
Proprietary Materials only in compliance with all applicable federal, state,
and local laws and regulations; (c) it shall not transfer any Proprietary
Materials to any Third Party without the prior written consent of the supplying
Party, except as expressly permitted hereby; (d) the supplying Party shall
retain full ownership of all such Proprietary Materials; and (e) upon the
expiration or termination of this Agreement, the recipient Party shall at the
instruction of the transferring Party either destroy or return any unused
Proprietary Materials which are not the subject of the grant of a continuing
license hereunder.

 

2.3       Consideration.  In consideration of ILI conducting the
Research Program described herein, Access shall pay ILI $1,200,000 on the terms
and subject to the conditions set forth on Appendix B attached hereto, which
shall consist of additional research funding on a time and materials basis and
external costs incurred by ILI in connection with the Research Program;
provided, that, Access has approved in advance all such external costs.

 

3.             RESEARCH LICENSES

 

3.1       License to ILI.  Subject to the terms and conditions of this
Agreement, Access hereby grants to ILI a non-exclusive, worldwide, royalty-free
license, under the Access Technology, Access Patent Rights, Program Inventions
and Program Patent Rights for the sole purpose of performing its obligations
under the Research Program.

 

3.2       License to Access.  Subject to the terms and conditions of this
Agreement, ILI hereby grants to Access a non-exclusive, worldwide, royalty-free
license, under the ILI Technology, ILI Patent Rights, and Program Inventions
and Program Patent Rights relating to Program Tests, for the sole purpose of
performing its obligations under the Research Program.

 

4.             TREATMENT OF CONFIDENTIAL
INFORMATION; PUBLICITY

 

4.1       Confidentiality.

 

4.1.1.                       Confidentiality
Obligations.  Access and ILI each
recognize that the Confidential Information of the other Party constitutes
highly valuable and proprietary 

 

 

Portions
of this Exhibit were omitted and have been filed separately with the Secretary
of the Commission pursuant to the Company’s application requesting confidential
treatment under Rule 24b-2 of the Securities Exchange Act of 1934.

4

 

confidential information.  Access
and ILI each agrees that during the Term and for five (5) years
thereafter, it will keep confidential, and will cause its employees,
consultants, Affiliates and sublicensees to keep confidential, all of the
Confidential Information of the other Party. 
Neither Access nor ILI nor any of their respective employees,
consultants, Affiliates and sublicensees shall use the Confidential Information
of the other Party for any purpose except as expressly permitted in this
Agreement.

 

4.1.2.                       Limited
Disclosure of Confidential Information. 
Access and ILI each agree that any disclosure of the other Party’s
Confidential Information to any of its employees, consultants, Affiliates or
sublicensees shall be made only if and to the extent necessary to carry out its
rights and responsibilities under this Agreement, shall be limited to the
maximum extent possible consistent with such rights and responsibilities, and
shall only be made to persons who are bound by written confidentiality
obligations to maintain the confidentiality thereof and not to use such
Confidential Information except as expressly permitted by this Agreement.  Access and ILI each agree not to disclose the
other Party’s Confidential Information to any Third Party under any
circumstance without prior written approval from the other Party, except as
otherwise required by law, and except as otherwise expressly permitted by this
Agreement.  Each Party shall take such
action, and shall cause its Affiliates and sublicensees to take such action, to
preserve the confidentiality of the other Party’s Confidential Information as
it would customarily take to preserve the confidentiality of its own
confidential materials, which shall not, in any event, be less than reasonable
care.  Each Party, upon the other’s
request, will return all the other Party’s Confidential Information disclosed
to it by the other Party pursuant to this Agreement, including all copies and
extracts of documents, within sixty (60) days of the request following the
termination of this Agreement, provided  that, a Party may retain
Confidential Information of the other Party relating to any license or right to
use Technology which survives such termination and one copy of all other
Confidential Information may be retained in inactive archives solely for the
purpose of establishing the contents thereof.

 

4.2       Publicity.  Neither Party may publicly disclose the terms
of this Agreement or the status or content of the Research Program without the
prior written consent of the other Party; provided, however, that
either Party may make such a disclosure (a) to the extent required by law
or by the requirements of any nationally recognized securities exchange,
quotation system or over-the-counter market on which such Party has its
securities listed or traded or (b) to any actual or prospective acquirors,
real estate or equipment lessors, investors, lenders and other potential
financing sources who are obligated to keep such information confidential.  In the event that such disclosure is required
by the foregoing clause (a), the disclosing Party shall make reasonable efforts
to provide the other Party with notice beforehand and to coordinate with the
other Party to the maximum extent possible with respect to the wording and
timing of any such disclosure.  The
Parties shall mutually agree on a press release announcing the execution of
this Agreement to be issued immediately following the execution hereof.  If either Party wishes to issue any further
press release regarding the Research Program, it shall furnish a copy to the
other Party, which shall review such press release and provide any comments
within two (2) business days.  Once
any written statement is approved for public disclosure by both Parties, either
Party may make subsequent public disclosure of the contents of such statement
without the further approval of the other Party.

 

 

Portions
of this Exhibit were omitted and have been filed separately with the Secretary
of the Commission pursuant to the Company’s application requesting confidential
treatment under Rule 24b-2 of the Securities Exchange Act of 1934.

5

 

5.             JOINT SCIENCE COMMITTEE.

 

5.1           Formation.  Within thirty (30) days after the Effective
Date, the Parties will establish a Joint Science Committee (the “JSC”) to
oversee and coordinate the Parties’ conduct of the Research Program and to
consider mutually beneficial business opportunities pursuant to the subject
matter hereof.  The JSC shall be composed
of two (2) representatives of ILI and two (2) representatives of
Access and shall have the powers enumerated below in this Section 5.  Either party shall have the right to replace
any of its JSC representatives at any time in its sole discretion.

 

5.2           Functions
and Powers of the JSC. 
During the Term, the JSC will coordinate and oversee the activities of
the Parties in the conduct of the Research Program and will exchange
information in anticipation of developing mutually beneficial business
opportunities pursuant to the subject matter hereof.  The JSC shall keep written minutes of its
meetings and all actions taken or approved by the JSC.  The members of the JSC designated by each
Party shall be responsible for keeping that Party informed as to the progress
of the Research Program.  The JSC shall
recommend to the Parties amendments and/or modifications to the protocol,
timeline and the scope of the Research Program and make recommendations to the
Parties as to the mutually beneficial prosecution of ILI Patent Rights and
Program Patent Rights.  The JSC shall
have no power to amend, modify or waive compliance with this Agreement and
shall have only such powers as are specifically delegated to it hereunder.

 

5.3           JSC
Governance.

 

5.3.1.       Membership.  The JSC representatives have initially been
designated by the Parties as follows:

 

ILI Representatives:

 

[***]

[***]

 

Access Representatives:

 

[***]

[***]

 

6.             INTELLECTUAL PROPERTY RIGHTS

 

6.1           Ownership.

 

6.1.1.                       Access
Intellectual Property Rights. 
Subject to ILI’s rights as described in Section 3 of this
Agreement, Access shall have sole and exclusive ownership of all right, title
and interest on a worldwide basis in and to all Access Technology and Access
Patent Rights, and all Program Inventions and Program Patent Rights relating to
Program Products, with full rights to license or sublicense.

 

 

Portions
of this Exhibit were omitted and have been filed separately with the Secretary
of the Commission pursuant to the Company’s application requesting confidential
treatment under Rule 24b-2 of the Securities Exchange Act of 1934.

6

 

6.1.2.                       ILI
Intellectual Property Rights. 
Subject to Access’s rights as described in Section 3 of this
Agreement, ILI shall have sole and exclusive ownership of all right, title and
interest on a worldwide basis in and to all ILI Technology, ILI Patent Rights
and all Program Inventions and Program Patent Rights relating to Program Tests,
with full rights to license or sublicense.

 

6.2           Patent Filing, Prosecution and Maintenance.  During the Term with respect to any Patent
Rights arising hereunder:

 

6.2.1              Access shall bear the cost associated with the filing,
prosecution, issuance and maintenance of all Program Patent Rights and shall
control prosecution of all such Program Patent Rights, including, but not
limited to, having the right to choose the patent attorney(s) or agent(s) who
will prosecute the applications, having the right to inspect, review and
provide substantive comments to all correspondence with any patent office or
patent agent, and having the right to select the countries in which or treaties
under which the patent applications will be filed.

 

6.2.2                Should Access choose not to prosecute certain Program
Patent Rights relating either to Program Products or Program Tests, then ILI
may prosecute Program Patent Rights at ILI’s sole expense.

 

6.3           Provisions with Respect to 11 U.S.C. § 365(n).  With respect to each license granted by
either Party to the other Party hereunder, the Parties agree that, for purposes
of 11 U.S.C. § 365(n), this Agreement shall be deemed to be an executory
contract under which the Party granting such license is a “licensor” and the
Party to whom such license is granted is the “licensee”.  With respect to all other provisions of this
Agreement, the Parties agree that, for purposes of 11 U.S.C. § 365(n), this
Agreement shall be deemed to be an agreement supplementary to such executory
contract.

 

7.             TERM; TERMINATION

 

7.1       Term.  This Agreement shall commence on the
Effective Date and continue for a period of one (1) year.  If the Research Program has not been
completed within the Term, through no fault of Access, then Access may, by
written notice, elect to extend the term hereof for additional time necessary
to complete the Research Program, up to a maximum of an additional six (6) month
term.

 

7.2       Termination.

 

7.2.1                        Termination for Breach.  In the event
that either Party defaults or breaches any material term of this Agreement on
its part to be performed or observed, the other Party shall have the right to
terminate this Agreement (a) by giving thirty (30) days’ written notice to
the defaulting Party in the case of a breach of any payment term of this
Agreement and (b) by giving sixty (60) days’ written notice to the
defaulting Party in the case of any other breach; provided, however,
that in the case of a default or breach capable of being cured, if the said
defaulting Party shall cure the said default or breach within such notice
period after the said notice shall have been given, then the said notice shall
not be effective.  If Access terminates
this 

 

 

Portions
of this Exhibit were omitted and have been filed separately with the Secretary
of the Commission pursuant to the Company’s application requesting confidential
treatment under Rule 24b-2 of the Securities Exchange Act of 1934.

7

 

Agreement pursuant to this Section 7.2.1, it shall pay ILI pro
rata through the date of notice of termination, for the parts of the Research
Program completed by ILI, and for external costs for which ILI has committed in
connection with the Research Program, as of the date of notice of termination.

 

7.2.2                        Termination
for Bankruptcy.  In the event that
either Party files for protection under bankruptcy laws, makes an assignment
for the benefit of creditors, appoints or suffers appointment of a receiver or
trustee over its property, files a petition under any bankruptcy or insolvency
act or has any such petition filed against it which is not discharged within
sixty (60) days of the filing thereof, then the other Party may terminate this
Agreement effective immediately upon written notice to such Party.

 

7.2.3.                       Deliverables.  Upon termination of this Agreement, ILI shall
advise Access of the extent to which performance has been completed through the
termination notice date, or the end of the Term, as the case may be, and
collect and deliver to Access all deliverables under the Research Program,
including, without limitation, all work-in-progress through any reasonable
means specified by Access.  ILI shall, to
the extent not already transferred by virtue of this Agreement or law, grant to
Access all Access Technology and Access Patent
Rights, and all Program Inventions and Program Patent Rights relating to
Program Products, in the form in which they exist on the date of termination,
which form shall not materially differ from the status described in the reports
that ILI has submitted to Access.  All
obligations in relation to such intellectual property rights and obligations as
set forth in Section 6 shall apply to the intellectual property
transferred upon termination hereof, if any.

 

7.3       Surviving Provisions.  Termination of this Agreement for any reason
shall be without prejudice to rights which expressly survive termination in
accordance with the terms of this Agreement, including without limitation, the
rights and obligations of the Parties provided in Sections 4, 6, 7.3, 8.2, 8.3
and 10, all of which shall survive such termination.

 

8.             REPRESENTATIONS AND WARRANTIES

 

8.1       Mutual Representations.  Access and ILI each represents and warrants
to the other Party as follows:

 

8.1.1.                       Organization.   Both Parties are corporations, duly
organized, validly existing and is in good standing under the laws of the
jurisdiction of organization, is qualified to do business and is in good
standing as a foreign entity in each jurisdiction in which the performance of
its obligations hereunder requires such qualification.

 

8.1.2.                       Authorization.  The execution, delivery and performance by it
of this Agreement have been duly authorized by all necessary corporate action
and do not and will not violate any provision of any law, rule, regulation,
order, writ, judgment, injunction, decree, determination or award presently in
effect having applicability to it or any provision of its charter documents.

 

8.1.3.                       Binding
Agreement.  This Agreement is a
legal, valid and binding obligation of it enforceable against it in accordance
with its terms and conditions.

 

 

Portions
of this Exhibit were omitted and have been filed separately with the Secretary
of the Commission pursuant to the Company’s application requesting confidential
treatment under Rule 24b-2 of the Securities Exchange Act of 1934.

8

 

8.1.4.                       No
Inconsistent Obligation.  It is not
under any obligation to any person, or entity, contractual or otherwise, that
is conflicting or inconsistent in any respect with the terms of this Agreement
or that would impede the diligent and complete fulfillment of its obligations.

 

8.2       Warranty Disclaimer.  EXCEPT AS OTHERWISE EXPRESSLY PROVIDED IN
THIS AGREEMENT, NEITHER PARTY MAKES ANY WARRANTY WITH RESPECT TO ANY
TECHNOLOGY, GOODS, SERVICES, RIGHTS OR OTHER SUBJECT MATTER OF THIS AGREEMENT
AND HEREBY DISCLAIMS WARRANTIES OF MERCHANT- ABILITY, FITNESS FOR A PARTICULAR
PURPOSE AND NONINFRINGEMENT WITH RESPECT TO ANY AND ALL OF THE FOREGOING.

 

8.3       Limited Liability.  NOTWITHSTANDING ANYTHING ELSE IN THIS
AGREEMENT OR OTHERWISE, NEITHER ACCESS NOR ILI WILL BE LIABLE WITH RESPECT TO
ANY SUBJECT MATTER OF THIS AGREEMENT UNDER ANY CONTRACT, NEGLIGENCE, STRICT
LIABILITY OR OTHER LEGAL OR EQUITABLE THEORY FOR (I) ANY INDIRECT,
INCIDENTAL, CONSEQUENTIAL OR PUNITIVE DAMAGES OR LOST PROFITS OR (II) COST
OF PROCUREMENT OF SUBSTITUTE GOODS OR TECHNOLOGY.

 

9.             Status of
Research Program.

 

9.1           Monthly
Reports.  On a monthly
basis during the Term, ILI shall provide to Access written reports setting
forth:  (a) steps taken, work
completed and progress made by ILI in performing the Research Program under
this Agreement during the preceding one (1) month period; (b) projected
work for the next one (1) month period; and (c) any changes
recommended by ILI with respect to remaining portions of the Research Program,
which changes shall not be deemed adopted unless and until approved in writing
by Access.

 

9.2           Quarterly
Meetings.  On a quarterly
basis during the Term, designated representatives from ILI and Access will meet
in person to review the overall status of the Research Program and to reconcile
the parts of the Research Program performed by ILI with the payments made to
date by Access.

 

9.3           Final
Reconciliation.  The
Parties agree that the maximum cash consideration payable hereunder is
$1,200,000.   At the end of the Term, the
Parties shall, within sixty (60) days thereof, work in good faith to reconcile
the total consideration paid by Access with the work performed by ILI under
this Agreement.  If any parts of the
Research Program have not been performed by ILI hereunder, the Parties shall
arrange for reimbursement of applicable amounts allocable to such work as set
forth in Appendix A or any amendment thereto.

 

9.4           Amendments
to Appendix A.  Pursuant
to Section 10.7, the Parties may, from time to time, revise Appendix A to
reflect the Parties’ agreement as to allocation of the consideration paid
hereunder to the projects that comprise the Research Program and the timing and
priority of deliverables.  ILI shall
prepare and deliver to Access a change order setting forth the Parties’
agreement with respect to these matters, which shall become effective as an
amendment to Appendix A upon execution by both ILI and Access.

 

 

Portions
of this Exhibit were omitted and have been filed separately with the Secretary
of the Commission pursuant to the Company’s application requesting confidential
treatment under Rule 24b-2 of the Securities Exchange Act of 1934.

9

 

10.          MISCELLANEOUS

 

10.1         Dispute Resolution.  The Parties recognize that disputes may from
time to time arise between the Parties during the term of this Agreement.  It is the objective of the Parties to
establish procedures to facilitate the resolution of disputes arising under
this Agreement, including, without limitation, disputes concerning the
definitions of terms used in this Agreement, in an expedient manner by mutual
cooperation and without resort to litigation. 
To accomplish this objective, the Parties agree to follow the procedures
set forth in this Section 10.1 to resolve any dispute arising under this
Agreement.  In the event of such a
dispute between the Parties, either Party, by written notice to the other
Party, shall have such dispute referred to the Parties’ respective executive
officers designated below or their successors, for attempted resolution by good
faith negotiations within thirty (30) days after such notice is received.  Said designated officers are as follows:

 

For ILI:                                                     Chief Executive Officer

 

For Access:                               Vice President, Research & Development

 

In the event the designated executive
officers are not able to resolve such dispute after such thirty (30) day
period, then the Parties shall resolve such dispute by arbitration under the
Commercial Rules of the American Arbitration Association (the “AAA”).  Three arbitrators shall be selected.  ILI and Access shall each select one
arbitrator and the two chosen arbitrators shall select the third arbitrator, or
failing agreement on the selection of the third arbitrator, the AAA shall
select the third arbitrator.  Unless
otherwise agreed by ILI and Access, arbitration will take place in Grand
Rapids, Michigan.

 

10.2         Notices.  All notices shall be in writing mailed via
certified mail, return receipt requested or courier providing evidence of
delivery, addressed as follows, or to such other address as may be designated
from time to time:

 

	
  If to ILI:

  	
   

  	
  If to Access:

  
	
   

  	
   

  	
   

  
	
  135 Beaver Street  

  Waltham, MA 02452  
 Attention: Lewis H. Bender

  	
   

  	
  7575 Fulton St. East  

  Ada, MI 49355-0001  
 Attention: Robin M. Dykhouse

  
	
   

  	
   

  	
   

  
	
  With a copy to: 

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  Mintz, Levin, Cohn, Ferris  
 Glovsky and Popeo, P.C.  
 One Financial Center  
 Boston, MA 02111  
 Attn: John Cheney

  	
   

  	
  7575 Fulton St. East.  
 Ada, MI 49355-0001  
 Attention: General Counsel

  

 

 

Portions
of this Exhibit were omitted and have been filed separately with the Secretary
of the Commission pursuant to the Company’s application requesting confidential
treatment under Rule 24b-2 of the Securities Exchange Act of 1934.

10

 

10.3         Governing Law.  This Agreement shall be governed by and
construed in accordance with the laws of the State of Michigan, without regard
to the application of principles of conflicts of law.

 

10.4         Binding Effect.  This Agreement shall be binding upon and
inure to the benefit of the Parties and their respective legal representatives,
successors and permitted assigns.

 

10.5         Headings.  Section and subsection headings are
inserted for convenience of reference only and do not form a part of this
Agreement.

 

10.6         Counterparts.  This Agreement may be executed simultaneously
in two or more counterparts, each of which shall be deemed an original.

 

10.7         Amendment; Waiver.  This Agreement, including the Exhibits
attached hereto, may be amended, modified, superseded or canceled, and any of
the terms may be waived, only by a written instrument executed by each Party
or, in the case of waiver, by the Party or Parties waiving compliance.  The delay or failure of any Party at any time
or times to require performance of any provisions shall in no manner affect the
rights at a later time to enforce the same. 
No waiver by any Party of any condition or of the breach of any term
contained in this Agreement, whether by conduct, or otherwise, in any one or
more instances, shall be deemed to be, or considered as, a further or
continuing waiver of any such condition or of the breach of such term or any
other term of this Agreement.

 

10.8         No Agency or Partnership.  Nothing contained in this Agreement shall
give either Party the right to bind the other, or be deemed to constitute the
Parties as agents for the other or as partners with each other or any Third
Party.

 

10.9         Assignment and Successors.  This Agreement may not be assigned by either
Party without the written consent of the other which shall not be unreasonably
withheld, except that each Party may assign this Agreement and the rights,
obligations and interests of such Party to any purchaser of all or
substantially all of its assets or to any successor corporation resulting from
any merger or consolidation of such Party with or into such corporation.

 

10.10       Force Majeure.  Neither ILI nor Access shall be liable for
failure of or delay in performing obligations set forth in this Agreement, and
neither shall be deemed in breach of its obligations, if such failure or delay
is due to natural disasters or any causes beyond the reasonable control of ILI
or Access.  In event of such force
majeure, the Party affected thereby shall use reasonable efforts to cure or
overcome the same and resume performance of its obligations hereunder.

 

10.11       Interpretation.  The Parties hereto acknowledge and agree
that:  (i) each Party reviewed and
negotiated the terms and provisions of this Agreement and have contributed to
its revision; (ii) the rule of construction to the effect that any
ambiguities are resolved against the drafting Party shall not be employed in
the interpretation of this Agreement; and (iii) the terms and provisions
of this Agreement shall be construed fairly as to all Parties hereto and not in
a 

 

 

Portions
of this Exhibit were omitted and have been filed separately with the Secretary
of the Commission pursuant to the Company’s application requesting confidential
treatment under Rule 24b-2 of the Securities Exchange Act of 1934.

11

 

favor of or against any Party, regardless of which Party was generally
responsible for the preparation of this Agreement.

 

10.12       Integration; Severability.  This Agreement is the sole agreement with
respect to the subject matter hereof and supersedes all other agreements and
understandings between the Parties with respect to same.  If any provision of this Agreement is or
becomes invalid or is ruled invalid by any court of competent jurisdiction or
is deemed unenforceable, it is the intention of the Parties that the remainder
of the Agreement shall not be affected.

 

IN WITNESS WHEREOF, the Parties have caused
this Agreement to be executed by their duly authorized representatives.

 

	
   

  	
  INTERLEUKIN GENETICS, INC.

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Lewis H. Bender

  
	
   

  	
   

  	
  Lewis H. Bender

  
	
   

  	
   

  	
  Chief Executive Officer

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  ACCESS BUSINESS GROUP

  
	
   

  	
   INTERNATIONAL LLC

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Robin M.
  Dykhouse

  
	
   

  	
   

  	
  Robin M. Dykhouse

  
	
   

  	
   

  	
  Vice President –
  Research & Development

  

 

 

Portions
of this Exhibit were omitted and have been filed separately with the Secretary
of the Commission pursuant to the Company’s application requesting confidential
treatment under Rule 24b-2 of the Securities Exchange Act of 1934.

12

 

APPENDIX A

Deliverables by Quarter

 

Q1

	
  Project

  	
   

  	
  Milestone

  	
   

  	
  Compl. Date

  	
   

  	
  FTE Costs

  	
   

  	
  External Support

  	
   

  	
  Loaded Cost

  	
   

  	
  Grand Totals

  	
   

  
	
  [***]

  	
   

  	
  [***]

  	
   

  	
  [***]

  	
   

  	
  $

  	
  [***]

  	
   

  	
  [***]

  	
   

  	
  $

  	
  [***]

  	
   

  	
  $

  	
  [***]

  	
   

  
	
  [***]

  	
   

  	
  [***]

  	
   

  	
  [***]

  	
   

  	
  $

  	
  [***]

  	
   

  	
  [***]

  	
   

  	
  $

  	
  [***]

  	
   

  	
  $

  	
  [***]

  	
   

  
	
  [***]

  	
   

  	
  [***]

  	
   

  	
  [***]

  	
   

  	
  $

  	
  [***]

  	
   

  	
   

  	
   

  	
  $

  	
  [***]

  	
   

  	
  $

  	
  [***]

  	
   

  
	
  [***]

  	
   

  	
  [***]

  	
   

  	
  [***]

  	
   

  	
  $

  	
  [***]

  	
   

  	
   

  	
   

  	
  $

  	
  [***]

  	
   

  	
  $

  	
  [***]

  	
   

  
	
  [***]

  	
   

  	
  [***]

  	
   

  	
  [***]

  	
   

  	
  $

  	
  [***]

  	
   

  	
   

  	
   

  	
  $

  	
  [***]

  	
   

  	
  $

  	
  [***]

  	
   

  
	
  [***]

  	
   

  	
  [***]

  	
   

  	
  [***]

  	
   

  	
  $

  	
  [***]

  	
   

  	
   

  	
   

  	
  $

  	
  [***]

  	
   

  	
  $

  	
  [***]

  	
   

  
	
  [***]

  	
   

  	
  [***]

  	
   

  	
  [***]

  	
   

  	
  $

  	
  [***]

  	
   

  	
   

  	
   

  	
  $

  	
  [***]

  	
   

  	
  $

  	
  [***]

  	
   

  
	
  [***]

  	
   

  	
  [***]

  	
   

  	
  [***]

  	
   

  	
  $

  	
  [***]

  	
   

  	
   

  	
   

  	
  $

  	
  [***]

  	
   

  	
  $

  	
  [***]

  	
   

  
	
  Totals

  	
   

  	
  $

  	
  [***]

  	
   

  	
   

  	
   

  	
  $

  	
  [***]

  	
   

  	
  $

  	
  [***]

  	
   

  

 

Q2

	
  Project

  	
   

  	
  Milestone

  	
   

  	
  Compl.

  Date

  	
   

  	
  FTE Costs

  	
   

  	
  External Support

  	
   

  	
  Loaded Cost

  	
   

  	
  Grand Totals

  	
   

  
	
  [***]

  	
   

  	
  [***]

  	
   

  	
  [***]

  	
   

  	
  $

  	
  [***]

  	
   

  	
  [***]

  	
   

  	
  $

  	
  [***]

  	
   

  	
  $

  	
  [***]

  	
   

  
	
  [***]

  	
   

  	
  [***]

  	
   

  	
  [***]

  	
   

  	
  $

  	
  [***]

  	
   

  	
  [***]

  	
   

  	
  $

  	
  [***]

  	
   

  	
  $

  	
  [***]

  	
   

  
	
  [***]

  	
   

  	
  [***]

  	
   

  	
  [***]

  	
   

  	
  $

  	
  [***]

  	
   

  	
   

  	
   

  	
  $

  	
  [***]

  	
   

  	
  $

  	
  [***]

  	
   

  
	
  [***]

  	
   

  	
  [***]

  	
   

  	
  [***]

  	
   

  	
  $

  	
  [***]

  	
   

  	
  [***]

  	
   

  	
  $

  	
  [***]

  	
   

  	
  $

  	
  [***]

  	
   

  
	
  [***]

  	
   

  	
  [***]

  	
   

  	
  [***]

  	
   

  	
  $

  	
  [***]

  	
   

  	
  [***]

  	
   

  	
  $

  	
  [***]

  	
   

  	
  $

  	
  [***]

  	
   

  
	
  Totals

  	
   

  	
  $

  	
  [***]

  	
   

  	
   

  	
   

  	
  $

  	
  [***]

  	
   

  	
  $

  	
  [***]

  	
   

  

 

Q3

	
  Project

  	
   

  	
  Milestone

  	
   

  	
  Compl.

  Date

  	
   

  	
  FTE Costs

  	
   

  	
  External Support

  	
   

  	
  Loaded Cost

  	
   

  	
  Grand Totals

  	
   

  
	
  [***]

  	
   

  	
  [***]

  	
   

  	
  [***]

  	
   

  	
  $

  	
  [***]

  	
   

  	
  [***]

  	
   

  	
  $

  	
  [***]

  	
   

  	
  $

  	
  [***]

  	
   

  
	
  [***]

  	
   

  	
  [***]

  	
   

  	
  [***]

  	
   

  	
  $

  	
  [***]

  	
   

  	
  [***]

  	
   

  	
  $

  	
  [***]

  	
   

  	
  $

  	
  [***]

  	
   

  
	
  [***]

  	
   

  	
  [***]

  	
   

  	
  [***]

  	
   

  	
  $

  	
  [***]

  	
   

  	
   

  	
   

  	
  $

  	
  [***]

  	
   

  	
  $

  	
  [***]

  	
   

  
	
  [***]

  	
   

  	
  [***]

  	
   

  	
  [***]

  	
   

  	
  $

  	
  [***]

  	
   

  	
   

  	
   

  	
  $

  	
  [***]

  	
   

  	
  $

  	
  [***]

  	
   

  
	
  Totals

  	
   

  	
  $

  	
  [***]

  	
   

  	
   

  	
   

  	
  $

  	
  [***]

  	
   

  	
  $

  	
  [***]

  	
   

  

 

Q4

	
  Project

  	
   

  	
  Milestone

  	
   

  	
  Compl.

  Date

  	
   

  	
  FTE Costs

  	
   

  	
  External Support

  	
   

  	
  Loaded Cost

  	
   

  	
  Grand Totals

  	
   

  
	
  [***]

  	
   

  	
  [***]

  	
   

  	
  [***]

  	
   

  	
  $

  	
  [***]

  	
   

  	
  [***]

  	
   

  	
  $

  	
  [***]

  	
   

  	
  $

  	
  [***]

  	
   

  
	
  [***]

  	
   

  	
  [***]

  	
   

  	
  [***]

  	
   

  	
  $

  	
  [***]

  	
   

  	
  [***]

  	
   

  	
  $

  	
  [***]

  	
   

  	
  $

  	
  [***]

  	
   

  
	
  [***]

  	
   

  	
  [***]

  	
   

  	
  [***]

  	
   

  	
  $

  	
  [***]

  	
   

  	
   

  	
   

  	
  $

  	
  [***]

  	
   

  	
  $

  	
  [***]

  	
   

  
	
  [***]

  	
   

  	
  [***]

  	
   

  	
  [***]

  	
   

  	
  $

  	
  [***]

  	
   

  	
   

  	
   

  	
  $

  	
  [***]

  	
   

  	
  $

  	
  [***]

  	
   

  
	
  Totals

  	
   

  	
  $

  	
  [***]

  	
   

  	
   

  	
   

  	
  $

  	
  [***]

  	
   

  	
  $

  	
  [***]

  	
   

  
	
  Totals

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  $

  	
  [***]

  	
   

  	
   

  	
   

  	
  $

  	
  [***]

  	
   

  	
  $

  	
  [***]

  	
   

  

 

*
Milestones will be added when study plan is approved

**
Study cost is estimated - budget will be approved when study plan is complete

 

 

Portions of this Exhibit
were omitted and have been filed separately with the Secretary of the
Commission pursuant to the Company’s application requesting confidential
treatment under Rule 24b-2 of the Securities Exchange Act of 1934.

 

13

 

2008 SUMMARY

 

	
   

  	
   

  	
  Functional
  Area

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Project

  	
   

  	
  Biz.
  Dev.

  	
   

  	
  Med Dir

  	
   

  	
  Clin Ops

  	
   

  	
  Genetic
  Sci.

  	
   

  	
  Biostats

  	
   

  	
  Prog. 

  Mgmnt.

  	
   

  	
  Exec. Mgmnt.

  	
   

  	
  Total 

  FTE 

  2008

  	
   

  	
  FTE Costs

  	
   

  	
  External 

  Cost

  	
   

  	
  Grand Totals

  	
   

  
	
  [***]

  	
   

  	
  [***]

  	
   

  	
  [***]

  	
   

  	
  [***]

  	
   

  	
  [***]

  	
   

  	
  [***]

  	
   

  	
  [***]

  	
   

  	
  [***]

  	
   

  	
  [***]

  	
   

  	
  $

  	
  [***]

  	
   

  	
  $

  	
  [***]

  	
   

  	
  $

  	
  [***]

  	
   

  
	
  [***]

  	
   

  	
  [***]

  	
   

  	
  [***]

  	
   

  	
  [***]

  	
   

  	
  [***]

  	
   

  	
  [***]

  	
   

  	
  [***]

  	
   

  	
  [***]

  	
   

  	
  [***]

  	
   

  	
  $

  	
  [***]

  	
   

  	
  $

  	
  [***]

  	
   

  	
  $

  	
  [***]

  	
   

  
	
  [***]

  	
   

  	
  [***]

  	
   

  	
  [***]

  	
   

  	
  [***]

  	
   

  	
  [***]

  	
   

  	
  [***]

  	
   

  	
  [***]

  	
   

  	
  [***]

  	
   

  	
  [***]

  	
   

  	
  $

  	
  [***]

  	
   

  	
  $

  	
  [***]

  	
   

  	
  $

  	
  [***]

  	
   

  
	
  [***]

  	
   

  	
  [***]

  	
   

  	
  [***]

  	
   

  	
  [***]

  	
   

  	
  [***]

  	
   

  	
  [***]

  	
   

  	
  [***]

  	
   

  	
  [***]

  	
   

  	
  [***]

  	
   

  	
  $

  	
  [***]

  	
   

  	
  $

  	
  [***]

  	
   

  	
  $

  	
  [***]

  	
   

  
	
  [***]

  	
   

  	
  [***]

  	
   

  	
  [***]

  	
   

  	
  [***]

  	
   

  	
  [***]

  	
   

  	
  [***]

  	
   

  	
  [***]

  	
   

  	
  [***]

  	
   

  	
  [***]

  	
   

  	
  $

  	
  [***]

  	
   

  	
  $

  	
  [***]

  	
   

  	
  $

  	
  [***]

  	
   

  
	
  [***]

  	
   

  	
  [***]

  	
   

  	
  [***]

  	
   

  	
  [***]

  	
   

  	
  [***]

  	
   

  	
  [***]

  	
   

  	
  [***]

  	
   

  	
  [***]

  	
   

  	
  [***]

  	
   

  	
  $

  	
  [***]

  	
   

  	
  $

  	
  [***]

  	
   

  	
  $

  	
  [***]

  	
   

  
	
  [***]

  	
   

  	
  [***]

  	
   

  	
  [***]

  	
   

  	
  [***]

  	
   

  	
  [***]

  	
   

  	
  [***]

  	
   

  	
  [***]

  	
   

  	
  [***]

  	
   

  	
  [***]

  	
   

  	
  $

  	
  [***]

  	
   

  	
  $

  	
  [***]

  	
   

  	
  $

  	
  [***]

  	
   

  
	
  TotalFTEs

  	
   

  	
  [***]

  	
   

  	
  [***]

  	
   

  	
  [***]

  	
   

  	
  [***]

  	
   

  	
  [***]

  	
   

  	
  [***]

  	
   

  	
  [***]

  	
   

  	
  [***]

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Total Costs

  	
   

  	
  $

  	
  [***]

  	
   

  	
  $

  	
  [***]

  	
   

  	
  $

  	
  [***]

  	
   

  	
  $

  	
  [***]

  	
   

  	
  $

  	
  [***]

  	
   

  	
  $

  	
  [***]

  	
   

  	
  $

  	
  [***]

  	
   

  	
   

  	
   

  	
  $

  	
  [***]

  	
   

  	
  $

  	
  [***]

  	
   

  	
  $

  	
  [***]

  	
   

  
																																		

 

 

 

Portions of this Exhibit
were omitted and have been filed separately with the Secretary of the
Commission pursuant to the Company’s application requesting confidential
treatment under Rule 24b-2 of the Securities Exchange Act of 1934.

 

14

 

 

APPENDIX B

 

PAYMENT SCHEDULE

 

Consideration: Est.
$1,200,000

 

Payment Schedule

 

(1)          Access shall pay ILI $[***] on the [***]
during the Term of this Agreement.

 

(2)          In addition to the $1,200,000 of
additional funding  payable by ABG under
this Agreement, up to $803,732 in unallocated funding  previously made by ABG under previous
Research Agreements, as described in Appendix C attached hereto, shall be
credited against the time and materials and external costs incurred by ILI
under this Agreement for study proposals that are mutually accepted by ILI and
ABG and conducted pursuant to this Agreement.

 

 

 

 

Portions of this Exhibit
were omitted and have been filed separately with the Secretary of the
Commission pursuant to the Company’s application requesting confidential
treatment under Rule 24b-2 of the Securities Exchange Act of 1934.

 

15

 

APPENDIX C

 

UNALLOCATED FUNDING FROM

PREVIOUS RESEARCH AGREEMENTS

 

	
  Agreement

  	
   

  	
  Unused

  	
   

  	
  Markup

  add-back

  (15%)

  	
   

  	
  repayment

  factor

  	
   

  	
  due to

  ABG

  	
   

  
	
  [***]

  	
   

  	
  $

  	
  [***]

  	
   

  	
  $

  	
  [***]

  	
   

  	
  [***]

  	
   

  	
  $

  	
  [***]

  	
   

  
	
  [***]

  	
   

  	
  $

  	
  [***]

  	
   

  	
  $

  	
  [***]

  	
   

  	
  [***]

  	
   

  	
  $

  	
  [***]

  	
   

  
	
  [***]

  	
   

  	
  $

  	
  [***]

  	
   

  	
  $

  	
  [***]

  	
   

  	
  [***]

  	
   

  	
  $

  	
  [***]

  	
   

  
	
  [***]

  	
   

  	
  $

  	
  [***]

  	
   

  	
  $

  	
  [***]

  	
   

  	
  [***]

  	
   

  	
  $

  	
  [***]

  	
   

  
	
  [***]

  	
   

  	
  $

  	
  [***]

  	
   

  	
  $

  	
  [***]

  	
   

  	
  [***]

  	
   

  	
  $

  	
  [***]

  	
   

  
	
  [***]

  	
   

  	
  $

  	
  [***]

  	
   

  	
  $

  	
  [***]

  	
   

  	
  [***]

  	
   

  	
  $

  	
  [***]

  	
   

  
	
  [***]

  	
   

  	
  $

  	
  [***]

  	
   

  	
  $

  	
  [***]

  	
   

  	
  [***]

  	
   

  	
  $

  	
  [***]

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  $

  	
  [***]

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  [***]

  	
   

  	
  [***]

  	
   

  	
  [***]

  	
   

  	
  [***]

  	
   

  	
  $

  	
  [***]

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  $

  	
  [***]

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  Grand

  Total

  	
   

  	
  $

  	
  [***]

  	
   

  

 

 

 

 

Portions of this Exhibit
were omitted and have been filed separately with the Secretary of the
Commission pursuant to the Company’s application requesting confidential
treatment under Rule 24b-2 of the Securities Exchange Act of 1934.

 

16

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00142-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00142-of-00352.parquet"}]]