Common use of Research Program Funding Clause in Contracts

Research Program Funding. During the Research Program Term, Fuso agrees to spend an aggregate of one million dollars ($1,000,000) per year on funding for the Research Program. (a) Two hundred fifty thousand dollars ($250,000) of such total shall be expended by Fuso each year on research conducted in Japan with regard to the Research Program, all or a portion of which will be used to sponsor research in the laboratory of Dr. Ohno pursuant to Section 2.1.4(b) above, and a portion of which may be used by Fuso to conduct research at its facility. (b) Fuso shall pay to GenVec the remaining seven hundred fifty thousand dollars ($750,000) per year for the Research Program. Such amounts shall be used by GenVec for its direct and indirect costs incurred in connection with Research Program activities approved by the Steering Committee, including, without limitation, research and development activities by GenVec, sponsored research at DFCI the supply by GenVec (subject to Section 6.2 below) of Collaboration Products for the conduct of clinical trials (including clinical trials in Japan) pursuant to the applicable Development Plan, the preparation and transfer of documents in support of clinical trials of Collaboration Products in Japan, patent prosecution by GenVec, travel and management expenses related to the Research Program, and general support of technology development by GenVec. (c) The parties anticipate that the amount of the funding provided in Sections 2.3.1(a) and (b) above will support the activities to be conducted in connection with the Research Program with the goal of identifying and commencing the development of * and filing an application for authorization for *. It is understood and agreed that GenVec shall have no obligation to expend any amount on the Research Program in excess of the amounts paid by Fuso to GenVec for the conduct of the Research Program. GenVec shall use reasonable efforts to conduct the Research Program activities approved by the Steering Committee in a cost efficient manner consistent with the Research Program budget and GenVec's customary practices.

Research Program Funding. During the Research Program Term, Fuso ------------------------ agrees to spend an aggregate of one million dollars ($1,000,000) per year on funding for the Research Program. (a) Two hundred fifty thousand dollars ($250,000) of such total shall be expended by Fuso each year on research conducted in Japan with regard to the Research Program, all or a portion of which will be used to sponsor research in the laboratory of Dr. Ohno pursuant to Section 2.1.4(b) above, and a portion of which may be used by Fuso to conduct research at its facility. (b) Fuso shall pay to GenVec the remaining seven hundred fifty thousand dollars ($750,000) per year for the Research Program. Such amounts shall be used by GenVec for its direct and indirect costs incurred in connection with Research Program activities approved by the Steering Committee, including, without limitation, research and development activities by GenVec, sponsored research at DFCI the supply by GenVec (subject to Section 6.2 below) of Collaboration Products for the conduct of clinical trials (including clinical trials in Japan) pursuant to the applicable Development Plan, the preparation and transfer of documents in support of clinical trials of Collaboration Products in Japan, patent prosecution by GenVec, travel and management expenses related to the Research Program, and general support of technology development by GenVec. (c) The parties anticipate that the amount of the funding provided in Sections 2.3.1(a) and (b) above will support the activities to be conducted in connection with the Research Program with the goal of identifying and commencing the development of * and filing an application for authorization for *. It is understood and agreed that GenVec shall have no obligation to expend any amount on the Research Program in excess of the amounts paid by Fuso to GenVec for the conduct of the Research Program. GenVec shall use reasonable efforts to conduct the Research Program activities approved by the Steering Committee in a cost efficient manner consistent with the Research Program budget and GenVec's customary practices.