Common use of Covenants of PPD Clause in Contracts

Covenants of PPD. For so long as there is development activity on SYR110322, SYR110619 [*] by TSD or its Affiliates, or marketing or sales of Products by TSD, its Affiliates or licensees: (a) PPD covenants that it will not discover, develop, or commercialize any product directed to the Target; (b) PPD covenants that it will not acquire from any Third Party the right to discover, develop, or commercialize any product directed to the Target; (c) PPD covenants that it will not enter into any agreement in which any Third Party pursuant to such agreement discovers, develops, or commercializes any product directed to the Target; and (d) PPD covenants that it will not invest in any Third Party that, to PPD’s knowledge at the time such investment is made, is engaged or intends to engage in the discovery, development or commercialization of any product directed to the Target. Notwithstanding the foregoing covenants, PPD may provide services to Third Parties in connection with the preclinical and clinical development of one or more inhibitors of the Target and products containing or comprising such inhibitors, provided that (a) such services are limited to those that are usual and customary for clinical research organizations in general and PPD in particular; and (b) PPD shall not retain (1) any right, title, interest or license in any such inhibitor; or (2) any right to receive (directly or indirectly) any consideration in connection with the subsequent development, regulatory filings, regulatory approval, promotion or sales of such inhibitors or products (other than normal and customary fees and expenses charged by PPD for any such services).