Common use of Restrictions on Settlement with Third Parties Clause in Contracts

Restrictions on Settlement with Third Parties. The Party that controls the defense or prosecution of a given claim under Sections 11.6 or 11.7 shall also have the right to control settlement of such claim; provided, however, that (a) no settlement shall be entered into by such controlling Party without the prior written consent of the non-controlling Party if such settlement would adversely affect or diminish the rights and benefits of the non-controlling Party under this Agreement, impose any new obligations or adversely affect any obligations of the non-controlling Party under this Agreement, or adversely affect the validity or enforceability of the Patents or other Intellectual Property Rights of such non-controlling Party and (b) the controlling Party shall not be entitled to settle any such Third Party claim by granting a license or covenant not to xxx under or with respect to the non-controlling Party’s Intellectual Property Rights without the prior written consent of the non-controlling Party. * Confidential treatment requested; certain information omitted and filed separately with the SEC.

Appears in 2 contracts

Samples: License Agreement, License Agreement (Salix Pharmaceuticals LTD)

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Restrictions on Settlement with Third Parties. The Party that controls the defense or prosecution of a given claim under Sections 11.6 6.6 or 11.7 6.7 shall also have the right to control settlement of such claim; provided, however, that (a) no settlement shall be entered into by such controlling Party without the prior written consent of the non-controlling Party if such settlement would adversely affect or diminish the rights and benefits of the non-controlling Party under this Agreement, impose any new obligations or adversely affect any obligations of the non-controlling Party under this Agreement, or adversely affect the validity or enforceability of the Patents or other Intellectual Property Rights of such non-controlling Party and (b) the controlling Party shall not be entitled to settle any such Third Party claim by granting a license or covenant not to xxx under or with respect to the non-controlling Party’s Intellectual Property Rights without the prior written consent of the non-controlling Party. * Confidential treatment requested; certain information omitted and filed separately with the SEC.

Appears in 2 contracts

Samples: License Agreement, License Agreement (Biotime Inc)

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