Common use of Deconvolution Clause in Contracts

Deconvolution. Each party shall pay fifty percent (50%) of the ------------- aggregate costs incurred in connection with the conduct of Deconvolution on Lead Extracts and the designation of Lead Molecules, including without limitation fully loaded costs of all employees and/or consultants and all out-of-pocket expenses (collectively, "Deconvolution Costs"). After the commencement of Deconvolution activities, each party shall on a calendar quarter basis prepare a report to the Committee detailing all Deconvolution Costs incurred by it during such quarter and aggregate Deconvolution Costs less reimbursements hereunder. To the extent that any such report shows aggregate Deconvolution Costs incurred by one party in an amount exceeding those incurred by the other by at least [ ]*, the party incurring the lesser Deconvolution Costs shall, within [ ]* after receipt of such report, reimburse the party incurring the greater costs to the extent that such other party's Deconvolution Costs exceed 50% of the aggregate Deconvolution Costs incurred by both parties. Estimates of costs associated with their respective tasks, as such tasks are set forth in detail on Appendix A, ---------- shall be furnished by both Phytera and Galileo as soon as practicable following a determination by the Committee to undertake Deconvolution with respect to a Lead Extract. Such estimates shall be approved in advance by the Committee, and precise terms of cost reimbursement shall be stated in writing by the Committee prior to commencement of Deconvolution.