COMMITTED LEAD OPTIMIZATION PROJECTS Clause Samples

COMMITTED LEAD OPTIMIZATION PROJECTS. ArQule agrees to perform, and SB agrees to perform and fund, two lead optimization projects in accordance with the terms and conditions of this Agreement. One of the committed projects will come from a Licensed Compound Set with activity for an Anti-Infective Target, which project will be selected as described in Subsection 4.2.2 (b) should SB desire to optimize an Available Compound. For the avoidance of doubt, in the event SB does not elect to optimize an Available Compound, SB shall have no obligation to fund or perform an optimization project for any Licensed Compound Set for an Anti-Infective Target and, as a result, SB shall only have an obligation to fund and perform the optimization project described in the next sentence. The other committed project will come from a series of SB Compounds that SB has determined to have activity for an Anti-Infective Target, which project will be selected by SB and submitted to ArQule as described in Subsection 4.2.2 (a) SB will define the general guidelines and goals of the project and the JSC will develop a defined workplan for each project in accordance with such guidelines and goals, including project deliverables, and then the JSC will coordinate and monitor the projects. The project deliverables are subject to approval by both parties through the JSC, but SB has the final decision for all other aspects of the lead optimization projects. Each lead optimization project under this Section will commence not later than the end of the Screening Phase and shall continue for the initial periods set forth in Section 4.2.4 and such extension as set forth in Section 4.2.5, but not more than [*****] years, unless earlier terminated as described in Subsection 4.2.6.