Common use of Initial Collaboration Targets Clause in Contracts

Initial Collaboration Targets. (i) Licensee may select up to three (3) Collaboration Targets. (ii) If Licensee selects a first Collaboration Target, then Licensee will select the first Collaboration Target within ***** after the expiration of the AST-005 Option Exercise Period; provided, however, that Licensee shall not have the right to select any target as a first Collaboration Target that Licensor and/or its Affiliate has advanced in its own internal research activities beyond Stage 1 (or the equivalent thereof), unless Licensee provides funding to Licensor to reimburse the research and development expenses of Licensor and/or its Affiliate up to such stage and also makes payment of the milestone payments that would have been applicable if such target were included as a first Collaboration Target, but in no event shall Licensee have the right to select any target as a Collaboration Target that Licensor and/or its Affiliate has advanced beyond Stage 2 (or the equivalent thereof). (iii) If Licensee selects a second Collaboration Target, then Licensee will select the second Collaboration Target within ***** after the expiration of the AST-005 Option Exercise Period; provided, however, that Licensee shall not have the right to select any target as a second Collaboration Target that Licensor and/or its Affiliate has advanced in its own internal research activities beyond Stage 1 (or the equivalent thereof), unless Licensee provides funding to Licensor to reimburse the research and development expenses of Licensor and/or its Affiliate up to such stage and also makes payment of the milestone payments that would have been applicable if such target were included as a second Collaboration Target, but in no event shall Licensee have the right to select any target as a Collaboration Target that Licensor and/or its Affiliate has advanced beyond Stage 2 (or the equivalent thereof). (iv) If Licensee selects a third Collaboration Target, then Licensee will select the third Collaboration Target within ***** after the expiration of the AST-005 Option Exercise Period; provided, however, that Licensee shall not have the right to select any target as a third Collaboration Target that Licensor and/or its Affiliate has advanced in its own internal research activities beyond Stage 1 (or the equivalent thereof), unless Licensee provides funding to Licensor to reimburse the research and development expenses of Licensor and/or its Affiliate up to such stage and also makes payment of the milestone payments that would have been applicable if such target were included as a third Collaboration Target, but in no event shall Licensee have the right to select any target as a Collaboration Target that Licensor and/or its Affiliate has advanced beyond Stage 2 (or the equivalent thereof).