Common use of Single Royalty; Non-Royalty Sales Clause in Contracts

Single Royalty; Non-Royalty Sales. No royalty shall be payable under Section 5.5.1 above with respect to sales of Agreement Products among SPL, its Affiliates and Sublicensees for resale; however, a royalty shall be payable upon such resale by SPL’s Affiliates and Sublicensees to any Third Party. In no event shall more than one royalty be due hereunder with respect to any Agreement Product unit even if covered by more than one patent included in the Pharmacopeia Technology or Collaboration Technology. For purposes of clarity and avoidance of doubt, the Parties acknowledge and agree that under no circumstances will any royalty ever be payable under Sections 5.5.1(i) or 5.5.1(ii) with respect to sales of any Agreement Product resulting from an independent screening programs conducted by SPL pursuant to Section 2.11. No royalties shall accrue on the disposition of any Agreement Product in reasonable quantities by SPL, its Affiliates or its Sublicenses as (i) samples (promotional or otherwise), (ii) donations (for example, to non-profit institutions or government agencies for a non-commercial purpose), (iii) for use in clinical studies, or (iv) free of charge in compassionate use and/or indigent care programs.

Single Royalty; Non-Royalty Sales. No royalty shall be payable under Section 5.5.1 above with respect to sales of Agreement Products among SPLSchering, its Affiliates and Sublicensees for resale; however, a royalty shall be payable upon such resale by SPLSchering’s Affiliates and Sublicensees to any Third Party. In no event shall more than one royalty be due hereunder with respect to any Agreement Product unit even if covered by more than one patent included in the Pharmacopeia Technology or Collaboration Technology. For purposes of clarity and avoidance of doubt, the Parties acknowledge and agree that under no circumstances will any royalty ever be payable under Sections 5.5.1(i) or 5.5.1(ii) with respect to sales of any Agreement Product resulting from an independent screening programs conducted by SPL Schering pursuant to Section 2.11. No royalties shall accrue on the disposition of any Agreement Product in reasonable quantities by SPLSchering, its Affiliates or its Sublicenses as (i) samples (promotional or otherwise), (ii) donations (for example, to non-profit institutions or government agencies for a non-commercial purpose), (iii) for use in clinical studies, or (iv) free of charge in compassionate use and/or indigent care programs.