Amendment 1
License Agreement between
Tensiodyne Scientific Corporation
and
The Trustees of the University of Pennsylvania
This Amendment 1 ("AMENDMENT 1") to the License Agreement effective October
15, 1993 ("AGREEMENT") between Tensiodyne Scientific Corporation ("LICENSEE")
and the Trustees of the University of Pennsylvania ("PENN") is made between
Material Technologies, Inc. ("MATECH") and PENN effective by the parties as
of the date of the last signature executing this AMENDMENT 1.
BACKGROUND
WHEREAS, MATECH, is a successor to LICENSEE's business, and therefore, is
obligated to perform the obligations of LICENSEE under the AGREEMENT, and this
AMENDMENT 1 thereto.
NOW, THEREFORE, the parties agree as follows:
1. Unless otherwise defined in this Amendment 1, all capitalized terms shall
have the same meaning as set forth in the AGREEMENT.
2. The parties hereby agree that PENN, no later than thirty (30) days after
the date of the last signature executing this AMENDMENT 1, will be issued
shares of common stock in MATECH as will cause PENN to own shares of common
stock representing at least five percent (5%) of the outstanding shares of
capital stock of MATECH on a fully diluted basis subsequent to an additional
two million dollars of paid in capital invested in MATECH. The issuance of
the shares of common stock will be conveyed by a mutually acceptable Stock
Purchase Agreement.
3. MATECH hereby represents and warrants that it is the lawful successor to
LICENSEE's rights and obligations under the AGREEMENT.
4. The parties hereby agree that Section 3.2 of the AGREEMENT is hereby
amended to obligate MATECH to pay to PENN a royalty of seven percent (7%) of
NET SALES.
5. Pursuant to Section 7.2 of the AGREEMENT, the parties hereby agree that,
LICENSEE will reimburse PENN, with funds from 30% of any equity investment,
debt, or any other capital with the exception of funds provided by any public
sector funding, (FUNDING) as set forth in paragraph 5 of REPAYMENT AGREEMENT,
for all documented attorney's fees, expenses, official fees and other charges
incident to the preparation, prosecution, licensing and maintenance of PENN
PATENT RIGHTS, including patents and patent applications in the United States
and in countries foreign to the United States on developments set forth in
foregoing Sections 4.2 of the AGREEMENT. However, such remittance to PENN
will be subsequent to the first $150,000.00 of such FUNDING raised by LICENSEE
after the date of the last signature executing this AMENDMENT1.
6. LICENSEE will have the right to cause its patent counsel, providing that
such patent counsel is acceptable to PENN, to pursue work, at the sole cost of
LICENSEE, on the PENN PATENT RIGHTS.
7. Except as set forth in the foregoing provisions of this AMENDMENT 1. all
of the terms and conditions of the AGREEMENT shall apply, and such AGREEMENT,
as amended, shall remain in full force and effect.
In WITNESS THEREOF, the parties have executed the AMENDMENT 1, through their
duly authorized representatives as set forth below, and this AMENDMENT 1 shall
be attached to, and shall become a part of, the AGREEMENT between the parties.
THE TRUSTEES OF THE
UNIVERSITY of PENNSYLVANIA MATERIAL TECHNOLOGIES INC.
By: /s/ Xxxxx X Xxxxxxxx By: /s/ Xxxxxx X. Xxxxxxxxx
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Name: Xxxxx X Xxxxxxxx Name: Xxxxxx X. Xxxxxxxxx
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Title: Managing Director - Center Title: President
for Technology Transfer ---------
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Date: 12/17/97 Date:12/19/97
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