Common use of Clinical Trial Clause in Contracts

Clinical Trial. Zila agrees to enter into the GSA with Quintiles. In the event Zila terminates the GSA within twelve (12) months following its execution, for reasons other than cause, or Quintiles terminates the GSA for cause, then PharmaBio shall have the right, but not obligation, to terminate this Agreement. This option must be exercised in writing within thirty (30) days following the termination. If PharmaBio exercises such right, then (i) Zila shall immediately, but in no event less than ten (30) days, pay to PharmaBio a cash payment equal to $500,000 (less any amounts received by PharmaBio as royalty payments through the date of option exercise), and (ii) PharmaBio’s right to royalty payments shall terminate.