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Without limiting the foregoing, Licensee will\n(a) maintain a bona fide, funded, ongoing and active research, development, manufacturing, regulatory, marketing or sales program (all as commercially reasonable) to make a Licensed Product commercially available to the public as soon as commercially practicable, and\n(b) fulfill the following milestone events by the deadlines indicated: [***] [***] [***] [***] [***] [***] [***] [***] [***] [***] If the obligations under this Section 2.7 are not fulfilled, Licensor may treat such failure as a breach in accordance with Section 7.3(b). For the avoidance of doubt, initiation of a clinical trial means the dosing of the first patient in said clinical trial. Notwithstanding the foregoing, if Licensee believes that, despite using commercially reasonably efforts, it will not achieve any Diligence Milestone Event set forth in this Section 2.7 by the relevant deadline, it may notify Licensor in writing thereof in advance of the deadline. Licensee shall include with such notice a reasonable explanation of the reasons for such failure. If Licensee so notifies Licensor and such explanation is acceptable to Licensor (in its reasonable discretion), or, in any event, if such failure to meet the Diligence Milestone Event is due to circumstances beyond Licensee\u2019s reasonable control (such as patent infringement or regulatory issues), then the Parties shall negotiate in good faith an initial extension of the deadlines for said Diligence Milestone Event and all later Diligence Milestone Events (the \u201cInitial Extended Milestones\u201d) so that Licensee shall not be deemed to be in breach of achieving said Diligence Milestone Event by its deadline. In the event that Licensee believes that, despite using commercially reasonable efforts, it will not achieve one or more such Initial Extended Milestones, then Licensee may notify Licensor in writing thereof in advance of the relevant deadline and the Parties shall negotiate in good faith a second extension of deadlines for said Diligence Milestone Event and all later Diligence Milestone Events (the \u201cSecond Extended Milestones\u201d) so that Licensee shall not be deemed to be in breach of achieving said Diligence Milestone Event by its deadline. Upon agreement of the Parties with respect to the deadlines for such Second Extended Milestones, Licensee shall make a non-creditable payment of one-half of the Milestone Fee of the Milestone Event corresponding to said Diligence Milestone Event.", "samples": [{"hash": "7XHeVtCCZyu", "uri": "/contracts/7XHeVtCCZyu#diligent-commercialization", "label": "Patent and Technology License Agreement (LogicBio Therapeutics, Inc.)", "score": 29.7693367004, "published": true}, {"hash": "bXuwcImUvlm", "uri": "/contracts/bXuwcImUvlm#diligent-commercialization", "label": "Patent and Technology License Agreement (LogicBio Therapeutics, Inc.)", "score": 29.6132793427, "published": true}], "snippet_links": [{"key": "affiliates-and-sublicensees", "type": "clause", "offset": [34, 61]}, {"key": "use-commercially-reasonable-efforts", "type": "clause", "offset": [67, 102]}, {"key": "licensed-product", "type": "clause", "offset": [113, 129]}, {"key": "commercially-available", "type": "definition", "offset": [130, 152]}, {"key": "in-the-field", "type": "clause", "offset": [153, 165]}, {"key": "within-the-territory", "type": "clause", "offset": [166, 186]}, {"key": "without-limiting-the-foregoing", "type": "clause", "offset": [188, 218]}, {"key": "licensee-will", "type": "clause", "offset": [220, 233]}, {"key": "bona-fide", "type": "definition", "offset": [249, 258]}, {"key": "sales-program", "type": "clause", "offset": [350, 363]}, {"key": "available-to-the-public", "type": "definition", "offset": [437, 460]}, {"key": "milestone-events", "type": "definition", "offset": [528, 544]}, {"key": "the-obligations", "type": "clause", "offset": [636, 651]}, {"key": "in-accordance-with", "type": "definition", "offset": [738, 756]}, {"key": "for-the-avoidance-of-doubt", "type": "clause", "offset": [773, 799]}, {"key": "clinical-trial", "type": "clause", "offset": [817, 831]}, {"key": "first-patient-in", "type": "definition", "offset": [856, 872]}, {"key": "notwithstanding-the-foregoing", "type": "clause", "offset": [894, 923]}, {"key": "commercially-reasonably-efforts", "type": "clause", "offset": [966, 997]}, {"key": "diligence-milestone", "type": "definition", "offset": [1023, 1042]}, {"key": "the-relevant", "type": "clause", "offset": [1082, 1094]}, {"key": "in-writing", "type": "clause", "offset": [1128, 1138]}, {"key": "in-advance", "type": "clause", "offset": [1147, 1157]}, {"key": "licensee-shall", "type": "clause", "offset": [1175, 1189]}, {"key": "reasonable-explanation", "type": "definition", "offset": [1217, 1239]}, {"key": "to-licensor", "type": "definition", "offset": [1341, 1352]}, {"key": "reasonable-discretion", "type": "definition", "offset": [1361, 1382]}, {"key": "failure-to-meet", "type": "clause", "offset": [1411, 1426]}, {"key": "reasonable-control", "type": "clause", "offset": [1499, 1517]}, {"key": "patent-infringement", "type": "clause", "offset": [1527, 1546]}, {"key": "regulatory-issues", "type": "clause", "offset": [1550, 1567]}, {"key": "the-parties-shall", "type": "clause", "offset": [1575, 1592]}, {"key": "negotiate-in-good-faith", "type": "definition", "offset": [1593, 1616]}, {"key": "extension-of-the", "type": "clause", "offset": [1628, 1644]}, {"key": "breach-of", "type": "definition", "offset": [1813, 1822]}, {"key": "in-the-event", "type": "clause", "offset": [1881, 1893]}, {"key": "licensee-may", "type": "clause", "offset": [2041, 2053]}, {"key": "extension-of-deadlines", "type": "clause", "offset": [2180, 2202]}, {"key": "upon-agreement-of-the-parties", "type": "clause", "offset": [2428, 2457]}, {"key": "with-respect-to", "type": "clause", "offset": [2458, 2473]}, {"key": "a-non", "type": "clause", "offset": [2545, 2550]}, {"key": "payment-of", "type": "clause", "offset": [2562, 2572]}, {"key": "milestone-fee", "type": "clause", "offset": [2589, 2602]}], "size": 5, "hash": "cd3175591deddea96b7479799485d0f2", "id": 7}, {"snippet": "Licensee by itself or through its Affiliates and Sublicensees will use diligent and commercially reasonable efforts to commercialize Licensed Products and/or Licensed Processes in the Field of Use within the Territory. Without limiting the foregoing, Licensee will: (a) maintain a bona fide, funded, ongoing and active research, development, manufacturing, marketing, and/or sales program to diligently make, have made, use, sell, and have sold Licensed Products and/or Licensed Processes that are commercially available to the public as soon as commercially practicable, and (b) fulfill the milestone events specified in Section 2.4,3 of the PTLA by the deadlines indicated therein. If the obligations under this Section 2.4,3 are not fulfilled, Licensor may treat such failure as a breach in accordance with Section 7.3(b).", "samples": [{"hash": "8vSYbA4mnII", "uri": "/contracts/8vSYbA4mnII#diligent-commercialization", "label": "Patent & Technology License Agreement (Cellectis S.A.)", "score": 30.1909656525, "published": true}, {"hash": "bvwXeMCTqO3", "uri": "/contracts/bvwXeMCTqO3#diligent-commercialization", "label": "Patent & Technology License Agreement (Cellectis S.A.)", "score": 26.1909656525, "published": true}], "snippet_links": [{"key": "affiliates-and-sublicensees", "type": "clause", "offset": [34, 61]}, {"key": "commercially-reasonable-efforts-to-commercialize", "type": "clause", "offset": [84, 132]}, {"key": "licensed-products", "type": "definition", "offset": [133, 150]}, {"key": "licensed-processes", "type": "definition", "offset": [158, 176]}, {"key": "field-of-use", "type": "definition", "offset": [184, 196]}, {"key": "within-the-territory", "type": "clause", "offset": [197, 217]}, {"key": "without-limiting-the-foregoing", "type": "clause", "offset": [219, 249]}, {"key": "licensee-will", "type": "clause", "offset": [251, 264]}, {"key": "bona-fide", "type": "definition", "offset": [281, 290]}, {"key": "sales-program", "type": "clause", "offset": [375, 388]}, {"key": "have-sold", "type": "definition", "offset": [435, 444]}, {"key": "available-to-the-public", "type": "definition", "offset": [511, 534]}, {"key": "milestone-events", "type": "definition", "offset": [592, 608]}, {"key": "the-obligations", "type": "clause", "offset": [687, 702]}, {"key": "in-accordance-with", "type": "definition", "offset": [791, 809]}], "size": 2, "hash": "9840cd11a3e297c76ae25db8a64b1697", "id": 9}, {"snippet": "Catalyst shall use Diligent Efforts to: (a) Commercialize at least one Licensed Product for LEMS in the U.S.; and (b) take all other actions necessary to either satisfy BioMarin\u2019s obligations or allow BioMarin to satisfy its obligations (i) to EUSA under the EUSA License and (ii) to the Former Stockholders of Huxley under the Huxley Stock Purchase Agreement, in each case, (i) and (ii), relating to the Commercialization of Licensed Product in the Territory. Any failure by Catalyst to comply with the obligations set forth in this Section 6.2 shall be deemed to be a material breach of this Agreement, for which BioMarin may exercise its termination rights in accordance with Section 13.2 or any other available remedies at law or in equity.", "samples": [{"hash": "2xG2B19zgNE", "uri": "/contracts/2xG2B19zgNE#diligent-commercialization", "label": "License Agreement (Catalyst Pharmaceutical Partners, Inc.)", "score": 23.8309383392, "published": true}, {"hash": "hNkyMb4uCvj", "uri": "/contracts/hNkyMb4uCvj#diligent-commercialization", "label": "License Agreement (Catalyst Pharmaceutical Partners, Inc.)", "score": 22.0088977814, "published": true}], "snippet_links": [{"key": "diligent-efforts", "type": "definition", "offset": [19, 35]}, {"key": "the-us", "type": "clause", "offset": [100, 107]}, {"key": "other-actions-necessary", "type": "clause", "offset": [127, 150]}, {"key": "former-stockholders", "type": "definition", "offset": [288, 307]}, {"key": "stock-purchase-agreement", "type": "clause", "offset": [335, 359]}, {"key": "each-case", "type": "definition", "offset": [364, 373]}, {"key": "relating-to", "type": "definition", "offset": [389, 400]}, {"key": "commercialization-of-licensed-product", "type": "clause", "offset": [405, 442]}, {"key": "in-the-territory", "type": "clause", "offset": [443, 459]}, {"key": "failure-by", "type": "clause", "offset": [465, 475]}, {"key": "the-obligations", "type": "clause", "offset": [500, 515]}, {"key": "section-62", "type": "clause", "offset": [534, 545]}, {"key": "material-breach-of-this-agreement", "type": "clause", "offset": [570, 603]}, {"key": "termination-rights", "type": "clause", "offset": [641, 659]}, {"key": "in-accordance-with", "type": "definition", "offset": [660, 678]}, {"key": "section-132", "type": "clause", "offset": [679, 691]}, {"key": "remedies-at-law-or-in-equity", "type": "clause", "offset": [715, 743]}], "size": 2, "hash": "2bee2e0e830e570fb179e8a513b0db45", "id": 10}], "next_curs": "CmMSXWoVc35sYXdpbnNpZGVyY29udHJhY3Rzcj8LEhZDbGF1c2VTbmlwcGV0R3JvdXBfdjU2IiNkaWxpZ2VudC1jb21tZXJjaWFsaXphdGlvbiMwMDAwMDAwYQyiAQJlbhgAIAA=", "clause": {"children": [["diligence", "Diligence"], ["development-report", "Development Report"], ["general-diligence", "General Diligence"], ["specific-diligence", "Specific Diligence"], ["performance-reports", "Performance Reports"]], "title": "Diligent Commercialization", "parents": [["license-grant-and-commercialization", "License Grant and Commercialization"], ["license", "License"], ["commercialization", "Commercialization"], ["diagnostic-prognostic-sublicense", "Diagnostic & Prognostic Sublicense"], ["license-grant", "License Grant"]], "size": 103, "id": "diligent-commercialization", "related": [["commercialization", "Commercialization", "Commercialization"], ["development-and-commercialization", "Development and Commercialization", "Development and Commercialization"], ["development-activities", "Development Activities", "Development Activities"], ["joint-commercialization-committee", "Joint Commercialization Committee", "Joint Commercialization Committee"], ["development-program", "Development Program", "Development Program"]], "related_snippets": [], "updated": "2026-02-25T05:25:33+00:00", "also_ask": ["What objective standards define 'diligence' in commercialization obligations?", "How can parties structure milestones or benchmarks to ensure enforceability?", "What remedies or consequences should be included for failure to diligently commercialize?", "How do courts interpret 'diligent commercialization' compared to 'best efforts' or 'reasonable efforts'?", "What are the most common pitfalls or ambiguities that undermine this clause in litigation?"], "drafting_tip": "Specify performance standards to set clear expectations, define timelines to ensure timely progress, and outline reporting obligations to facilitate monitoring\u2014each to promote accountability and effective commercialization.", "explanation": "The Diligent Commercialization clause requires a party, typically a licensee, to actively and consistently pursue the development and marketing of a product or technology covered by an agreement. In practice, this may involve meeting specific milestones, investing reasonable resources, or following an agreed-upon commercialization plan to bring the product to market. The core function of this clause is to ensure that the licensed technology or product is not left idle and that both parties benefit from its timely and effective commercialization, thereby preventing stagnation and maximizing potential returns."}, "json": true, "cursor": ""}}