Common use of Time-Based Shares Clause in Contracts

Time-Based Shares. Measured from the effective time of the combination (through a subsidiary merger) of the Company (formerly known as Receptor Pharmaceuticals, Inc.) and Apoptos, Inc. (the “Vesting Measurement Date”), the Stockholder shall acquire a vested interest in sixty-two and one-half percent (62.5%) of the Shares (i.e., Five Hundred Thousand (500,000) shares of Common Stock — the “Time-Based Shares”), and the Repurchase Right shall lapse as to such Time-Based Shares, as follows (so long as the Stockholder continues to be a Service Provider to the Company): (1) twenty-five percent (25%) of the total Time-Based Shares (i.e., One Hundred Twenty-Five Thousand (125,000) shares of Common Stock) shall vest on the first (1st) anniversary of the Vesting Measurement Date; and (2) 1 48th of the total Time-Based Shares shall vest on the same day of each successive month after the first (1st) anniversary of the Vesting Measurement Date such that one hundred percent (100%) of the Time-Based Shares will have become vested (assuming the Stockholder continues to be a Service Provider) as of the fourth (4th) anniversary of the Vesting Measurement Date.

Time-Based Shares. Measured from the effective time commencement of the combination (through a subsidiary merger) of Stockholder’s employment with the Company (formerly known as Receptor Pharmaceuticalson November 19, Inc.) and Apoptos, Inc. 2010 (the “Vesting Measurement Date”), the Stockholder shall acquire a vested interest in sixtyTwo Million Six Hundred Ninety-two and oneOne Thousand Seven Hundred Ninety-half percent Seven (62.5%2,691,797) of the Shares (i.e., Five Hundred Thousand (500,000) shares of Common Stock — the “Time-Based Shares”), and the Repurchase Right shall lapse as to such the Time-Based Shares, as follows (so long as the Stockholder continues to be a Service Provider to the Company): (1) twenty-five percent (25%) of the total Time-Based Shares (i.e., One Six Hundred TwentySeventy-Five Two Thousand Nine Hundred Forty-Nine (125,000672,949) shares of Common Stockthe Shares) shall vest on the first (1st) anniversary of the Vesting Measurement Date; and (2) 1 48th of the total Time-Based Shares (i.e., Fifty-Six Thousand Seventy-Nine (56,079) of the Shares) shall vest on the same day of each successive month after the first (1st) anniversary of the Vesting Measurement Date such that one hundred percent (100%) of the Time-Based Shares will have become vested (assuming the Stockholder continues to be a Service Provider) as of the fourth (4th) anniversary of the Vesting Measurement Date.