Common use of Funding Commitments Clause in Contracts

Funding Commitments. The parties shall determine the -------------------- funding commitments and arrangements for the development and commercialization of each Development Candidate. Such funding commitments and arrangements shall include, without limitation, the cost of providing research scientists, administration and management staff, research facilities, animal studies, clinical trials, and manufacturing. The parties shall also determine a written budget for the short term funding commitments. If the parties agree to share equally the funding commitments for the development and commercialization of the Development Candidate, the parties shall also share equally in any income from the commercialization of any resulting products or services. If the parties agree to unequal funding commitments for the development and commercialization of such Development Candidate, any income from resulting products or services shall be shared in proportion to the funding commitments made by the parties. The funding commitments and arrangements, reallocation of interests in a Development Candidate in the event of failure to meet funding commitments and the arrangements for sharing of income from the commercialization of any Product containing the Development Candidate shall be dealt with in a written agreement between the parties (a "Development and Commercialization Agreement").