Confidential Treatment Requested. Confidential portions of this document have been redacted and have been separately filed with the Commission. 2013 Amendment to License, Development, Manufacturing and Commercialization Agreement by and between Vertex Pharmaceuticals Incorporated and Janssen Pharmaceutica NV

EX-10.2 2 vrtx10k_2013-exhibit102.htm EX-10.2 VRTX 10K_2013-Exhibit 10.2


Exhibit 10.2

Execution Version



Confidential Treatment Requested. Confidential portions of this document have been redacted
and have been separately filed with the Commission.
 


2013 Amendment
to
License, Development, Manufacturing and Commercialization Agreement

by and between

Vertex Pharmaceuticals Incorporated

and

Janssen Pharmaceutica NV

Portions of this exhibit, indicated by the mark “[***],” have been redacted pursuant to a confidential treatment request. An unredacted version of this exhibit has been filed separately with the Commission.



TABLE OF CONTENTS
Article 1
Definitions
1
 
 
 
Article 2
Governance
2
2.1
Termination of Governance Provisions
2
2.2
Liaisons
2
2.3
Diligent Efforts
2
2.4
Safety
2
 
 
 
Article 3
Development
2
3.1
Termination of Development Provisions
2
3.2
Post-Collaboration Development Activities
2
3.3
Regulatory Submissions and Regulatory Approvals
2
3.4
Pediatric Study
3
3.5
Extend Study
3
3.6
Specific Studies
3
3.7
Wind Down
3
 
 
 
Article 4
Manufacture and Supply
3
4.1
Termination of Manufacture and Supply Provisions
3
4.2
Clinical and Commercial Supplies
3
4.3
Supply and Quality Agreement
4
 
 
 
Article 5
Commercialization
4
5.1
Termination of Commercialization Rights
4
5.2
Resource Allocation
4
5.3
Referral of Orders; Returns
4
5.4
Pharmacovigilance, Adverse Event and Product Complaint Reporting Procedures
4
5.5
Medical Enquiries
4
5.6
Website Cooperation Agreement
4
5.7
Advertising and Promotional Materials
5
5.8
Continuing Commercial Provisions
5
 
 
 
Article 6
Philanthropic Program
5
6.1
Philanthropic Program
5
 
 
 
Article 7
License Grant
5
7.1
License Grants
5
7.2
Additional Non-Exclusive Know-How License from Vertex
5
7.3
Additional Licenses from Janssen
5
7.4
Additional Development License from Vertex
5
7.5
Paid-Up License
5
7.6
Right to Sublicense
5
7.7
Other License Amendments
5
 
 
 
Article 8
Intentionally Left Blank
6

i
Portions of this exhibit, indicated by the mark “[***],” have been redacted pursuant to a confidential treatment request. An unredacted version of this exhibit has been filed separately with the Commission.



 
 
 
Article 9
Financial Provisions
6
9.1
One-time License Fee
6
9.2
Royalties Milestones and Other Payments
6
9.3
Cost Reimbursement
6
9.4
Third Party Licenses
6
9.5
Reports
6
9.6
Audits, Payments and Income Tax Withholdings
7
9.7
Parallel Importation
7
 
 
 
Article 10
Intellectual Property
7
10.1
General
7
10.2
Assignment
7
10.3
Reimbursement
7
10.4
ELC Patents
7
 
 
 
Article 11
Confidentiality
7
11.1
Confidentiality and Non-Use
7
11.2
Consultant and Advisor Obligations
8
11.3
Publication
8
11.4
Publicity/Use of Names
8
 
 
 
Article 12
Representations and Warranties; Indemnification
8
12.1
Authority
8
12.2
General
9
 
 
 
Article 13
Term
9
13.1
Term
9
13.2
Survival
9
 
 
 
Article 14
Governing Law and Dispute Resolution
9
14.1
Governing Law and Dispute Resolution
9
14.2
Amendment of Dispute Resolution Provisions
9
 
 
 
Article 15
Miscellaneous
9
15.1
Miscellaneous
9
 
 
 
Article 16
Mutual Releases
9
16.1
Release of Janssen
9
16.2
Release of Vertex
10
16.3
Non-Assignment of Claims
10
16.4
Later Discovered Facts
10
16.5
Voluntary Execution
10


ii
Portions of this exhibit, indicated by the mark “[***],” have been redacted pursuant to a confidential treatment request. An unredacted version of this exhibit has been filed separately with the Commission.



2013 Amendment to License, Development, Manufacturing and Commercialization Agreement
This 2013 Amendment to the License, Development, Manufacturing and Commercialization Agreement (this “2013 Amendment”) is effective as of November 19, 2013 (the “Amendment Effective Date”) and is entered into by and between Vertex Pharmaceuticals Incorporated, a Massachusetts corporation with corporate offices at 130 Waverly Street, Cambridge, MA 02139-4242, United States of America (“Vertex”) and Janssen Pharmaceutica NV, a Belgium corporation with corporate offices at 30, Turnhoutsesteenweg, B-2340 Beerse, Belgium (“Janssen”).
Background
WHEREAS, Vertex and Janssen have entered into a License, Development, Manufacturing and Commercialization Agreement effective June 30, 2006, as amended to date (the “Parent Agreement”) and the Website Cooperation Agreement dated January 4, 2011; and
WHEREAS, Vertex and Janssen have developed telaprevir and Janssen has commercialized Incivo (telaprevir) in the Territory under the terms of the Parent Agreement, and
WHEREAS, Vertex and Janssen each now wish to further amend the rights and obligations of the Parties under the Parent Agreement and the Website Cooperation Agreement.
NOW, THEREFORE, in consideration of the foregoing premises and the mutual covenants herein contained, the receipt and sufficiency of which are hereby acknowledged, the Parties agree as follows.
Article 1 - Definitions
Capitalized terms used in this 2013 Amendment that are not defined herein will have the meaning assigned to such terms in the Parent Agreement.
1.1
“Agreement” means the Parent Agreement as amended by this 2013 Amendment.
1.2
“ELC Patents” means a Janssen Assigned Patent, which has the family designation VPI/00-131 as listed on Schedule A.
1.3
“Extend Study” means the ongoing Clinical Trial entitled “A 3-Year, Virology Follow-up Study in Subjects Previously Treated With Telaprevir in Select Clinical Studies.”
1.4
“Janssen Assigned Patents” means the Patent Rights assigned to Janssen by Vertex as defined in Section 10.2 of this 2013 Amendment.
1.5
Liaisons” means the persons designated by the Parties pursuant to Section 2.2 of this 2013 Amendment and “Liaison” means any one of them.
1.6
“Pediatric Study” means the ongoing Clinical Trial entitled “An Open-Label Study of the Effect of Telaprevir in Combination With Peginterferon Alfa-2b and Ribavirin in Pediatric Subjects Infected With Hepatitis C Virus.”
1.7
“Post-Collaboration Development Activities” mean any Development activities of a Party that are initiated after the Amendment Effective Date and that relate to the Development of a Product containing VX-950.
1.8
“Specific Studies” means the following Clinical Trials entitled:
1.8.1    “A 2-Part, Open Label Study of Telaprevir in Combination With Peginterferon Alfa-2a (Pegasys®) and Ribavirin (Copegus®) in Subjects Chronically Infected With Genotype 1 Hepatitis C Virus Following Liver Transplantation;” (the Refresh study 117)

1
Portions of this exhibit, indicated by the mark “[***],” have been redacted pursuant to a confidential treatment request. An unredacted version of this exhibit has been filed separately with the Commission.



1.8.2    “An Open-Label, Phase 3b Study To Determine Efficacy and Safety of Telaprevir, Pegylated-Interferon-alfa-2a and Ribavirin in Hepatitis C Genotype 1 Infected, Stable Liver Transplant Subjects;” (the study HPC3006)
1.8.3    “An Open-Label, Phase 3b Study to Determine Efficacy and Safety of Telaprevir, Pegylated-Interferon-alfa-2a and Ribavirin in Hepatitis C Virus Treatment-Naïve and Treatment-Experienced Subjects With Genotype 1 Chronic Hepatitis C and Human Immunodeficiency Virus Type 1 (HCV-1/HIV-1) Coinfection;” (the study HPC3008) and
1.8.4    “An Open Label, Phase 3 Study of Telaprevir in Combination With Peginterferon Alfa 2a (Pegasys®) and Ribavirin (Copegus®) in Subjects Coinfected With Genotype 1 Hepatitis C Virus and Human Immunodeficiency Virus Type 1(HCV/HIV-1).” (the Unite study 115)
Article 2 - Governance
2.1
Termination of Governance Provisions. Article 2 of the Parent Agreement shall terminate in its entirety as of the Amendment Effective Date.
2.2
Liaisons. Promptly after the Amendment Effective Date, the Parties will designate Liaisons to receive communications and to communicate regarding (a) the conduct of Clinical Trials by a Party during the Term in which Product containing VX-950 is administered, including for the Pediatric Study, and (b) the Agreement. Any reference in the Agreement to the JSC or any other governance committee will be a reference to the Liaison of a Party as appropriate.
2.3
Diligent Efforts. For clarity, except as specifically provided herein, all obligations of the Parties to use diligent efforts under the Agreement are terminated.
2.4
Safety. For clarity, the governance provisions of the Pharmacovigilance Agreement, dated August 28, 2012, by and among the Parties and Mitsubishi Tanabe Pharma Corporation (the “Pharmacovigilance Agreement”), including provisions relating to the DST and SOWG (as defined in the Pharmacovigilance Agreement), are not affected by this 2013 Amendment.
Article 3 - Development
3.1
Termination of Development Provisions. Sections 3.1, 3.2, 3.3, 3.4, 3.5.1, 3.6, 3.7.2 and 3.7.5 of the Parent Agreement shall terminate in their entirety as of the Amendment Effective Date.
3.2
Post-Collaboration Development Activities. Section 3.5 of the Parent Agreement (excluding all governance provisions contained therein) shall continue to be applicable to Additional Development Activities initiated by a Party prior to the Amendment Effective Date, and the following shall be inserted after the final paragraph of Section 3.5:
“Each Party shall have the right to conduct Post-Collaboration Development Activities at such Party’s sole expense. A Party may include results from any Post-Collaboration Development Activities conducted by the other Party with a Regulatory Authority to the extent that filing such results is required for safety purposes by the Regulatory Authority. A Party who wishes to include the results from the other Party’s Post-Collaboration Development Activities in Regulatory Filings for other than required safety reasons shall have the right to do so to support a label claim or a change in an approved label in such Party’s territory [***].”
3.3
Regulatory Submissions and Regulatory Approvals. Sections 3.7.1, 3.7.3 and 3.7.4 of the Parent Agreement shall continue in full force and effect. Drafts of material submissions made by a Party to, or correspondence with, Regulatory Authorities in such Party’s territory regarding the Product will be provided to the other Party to the extent practicable a reasonable period prior to such submission.

2
Portions of this exhibit, indicated by the mark “[***],” have been redacted pursuant to a confidential treatment request. An unredacted version of this exhibit has been filed separately with the Commission.



3.4
Pediatric Study. The Parties agree to conduct the Pediatric Study as follows: (a) Vertex shall be responsible for using Diligent Efforts, including compliance with applicable law and Good Clinical Practice, to conduct the Pediatric Study as provided in the Global Development Plan as of the Amendment Effective Date, and (b) Vertex shall be reimbursed by Janssen for costs of the Pediatric Study as provided in Section 9.3 of the Parent Agreement as amended hereby. The Parties’ Liaisons shall review any proposed amendments to the Pediatric Study presented by either Party and may approve or disapprove any such proposed amendments; provided that such Pediatric Study shall be amended by the Parties to the extent required by any relevant Regulatory Authority. Disagreements regarding the Pediatric Study that cannot be resolved by the Liaisons shall be submitted for resolution as Unresolved Matters under the provisions of Section 14.2 of the Parent Agreement.
[***]
3.5
Extend Study. The Parties agree to conduct the Extend Study as follows: (a) the Parties shall be responsible for using Diligent Efforts, including compliance with applicable law and Good Clinical Practice, to conduct the Extend Study as provided in the Global Development Plan as of the Amendment Effective Date, and (b) each Party shall be reimbursed by the other Party for costs of the Extend Study as provided in Section 9.3 of the Parent Agreement as amended hereby. The Parties’ Liaisons shall review any proposed amendments to the Extend Study presented by either Party and may approve or disapprove any such proposed amendments; provided that such Extend Study shall be amended by the Parties to the extent required by any relevant Regulatory Authority. Disagreements regarding the Extend Study that cannot be resolved by the Liaisons shall be submitted for resolution as Unresolved Matters under the provisions of Section 14.2 of the Parent Agreement.
3.6
Specific Studies. Notwithstanding Section 3.5 of the Parent Agreement, the Parties have decided to share the results of the Specific Studies at no cost to the other Party. The Parties will make such disclosures to each other, execute such documents and provide such rights of reference to enable the other Party to submit to Regulatory Authorities such Janssen Know-How and Vertex Know-How generated as a result of these Specific Studies and to obtain the intended modifications to the Regulatory Approvals supported by such know-how. The Licenses of Sections 7.2 and 7.3 of the Parent Agreement will include a license to the Vertex Know-How and the Janssen Know-How resulting from any know-how generated as a result of and any Vertex Patent Rights or Janssen Patent Rights resulting from inventions conceived or reduced to practice as a result of the Specific Studies.
3.7
Wind-down. The Parties shall as promptly as practicable wind down all “other” activities, if any, contemplated by the Global Development Plan as of the Amendment Effective Date (“other” meaning other than the Pediatric Study, the conduct of which shall be governed by Section 3.4 of this 2013 Amendment, the Extend Study, the conduct of which shall be governed by Section 3.5 of this 2013 Amendment, and the Specific Studies).
Article 4 - Manufacture and Supply
4.1
Termination of Manufacture and Supply Provisions. Sections 4.1, 4.2, 4.3, 4.4, 4.5 and 4.7 of the Parent Agreement shall terminate in their entirety as of the Amendment Effective Date.
4.2
Clinical and Commercial Supplies. The Manufacture and supply of Product for both clinical and commercial purposes will occur in accordance with the terms of this 2013 Amendment as follows:
(a)
Clinical. Each Party shall use its own supply of VX-950 for Clinical Trials conducted by or on behalf of such Party in accordance with the licenses granted in the Agreement.
(b)
Commercial. Janssen will be responsible for the Manufacture of Product for Commercialization in the Territory, and Vertex will be responsible for the Manufacture of Product for Commercialization in its territories. If Janssen requests from Vertex any commercial quantities of VX-950, to the extent such commercial quantities are then available and will not adversely affect

3
Portions of this exhibit, indicated by the mark “[***],” have been redacted pursuant to a confidential treatment request. An unredacted version of this exhibit has been filed separately with the Commission.



Vertex’s Commercialization of Products containing VX-950 in its territories, Vertex will provide such quantities to Janssen [***] pursuant to the Supply Agreement dated July 9, 2009 (the “Supply Agreement”) between the Parties.
4.3
Supply Agreement and Quality Agreement.
4.3.1    Section 6.6 of the Supply Agreement is deleted in its entirety and the following is substituted therefor:
Survival. Notwithstanding anything in this Supply Agreement to the contrary, the following provisions herein shall survive the termination of this Supply Agreement: last sentence of Section 2.2, Sections 3.1, 6.3, 6.6, 9.1, 9.2, 9.4-9.13, and Articles 7 and 8, and the provisions of the Quality Agreement which by their terms survive such termination.”
4.3.2    The Supply Agreement, as amended by Section 4.3.1 of this 2013 Amendment, is terminated as of the Amendment Effective Date.
4.3.3    The Quality Agreement dated June 23, 2009, as amended, is terminated as of the Amendment Effective Date.
Article 5 - Commercialization
5.1
Termination of Commercialization Provisions. Sections 5.1, 5.2, 5.3, 5.4, 5.5, 5.8 and 5.9 of the Parent Agreement shall terminate in their entirety as of the Amendment Effective Date.
5.2
Resource Allocation. Janssen will be permitted to allocate resources to the Commercialization of the Product according to its own internal decision making process. Janssen shall be solely responsible for all decisions regarding the prices charged for the Product in the Territory, as well as discounts, rebates and all other deductions from Net Sales allowed under Section 1.77 of the Parent Agreement.
5.3
Referral of Orders; Returns. Section 5.6 of the Parent Agreement shall remain in full force and effect; provided that if Product sold in the Territory is returned to Vertex, Vertex shall promptly ship such Product to a facility designated by Janssen, at Janssen’s expense.
5.4
Pharmacovigilance, Adverse Event and Product Complaint Reporting Procedures.
5.4.1    Agreement. The Pharmacovigilance Agreement shall continue to govern the rights and obligations of the Parties regarding pharmacovigilance, adverse events and product complaint reporting procedures and is not modified by this 2013 Amendment. Section 5.7 of the Parent Agreement shall remain in full force and effect (subject to the later executed Pharmacovigilance Agreement) except that [***].
5.4.2    Database. The Parties agree to use commercially reasonable efforts to allow Janssen to, by March 1, 2014, (1) cease processing VX-950 adverse events in Vertex’s Argus Global Safety Database and (2) begin exchanging adverse events electronically (E2B) with Vertex from Janssen’s Safety Database; provided that this transition will not occur until the electronic exchange (a) meets the requirements set forth in ICH E2B (R2) - Maintenance of the ICH Guideline on Clinical Safety Data Management: Data Elements For Transmission of Individual Case Safety Reports and (b) requires only similar Vertex personnel resources as are currently required.
5.5
Medical Inquiries. Section 5.11.1 of the Parent Agreement is hereby amended by deleting (a) [***] and (b) the last sentence of such Section 5.11.1 of the Parent Agreement.
5.6
Website Cooperation Agreement. The establishment, content, operation, and maintenance of any site or domain on the internet by the Parties for the Product is subject to the Website Cooperation Agreement dated January 4, 2011 except that Article 3 of the Website Cooperation Agreement shall terminate as of the Amendment Effective Date.

4
Portions of this exhibit, indicated by the mark “[***],” have been redacted pursuant to a confidential treatment request. An unredacted version of this exhibit has been filed separately with the Commission.



5.7
Advertising and Promotional Materials. Janssen will have the right, but not the obligation, to carry Vertex’s name and logo on its Product packaging, package inserts, labels and containers, and on all printed, electronic and digital material related thereto, including educational materials and advertisements, with no size requirement.
5.8
Continuing Commercial Provisions. Sections 5.7, 5.10 and 5.11.2 of the Parent Agreement shall remain in full force and effect.
Article 6 - Philanthropic Program.
6.1
Philanthropic Program. Article 6 of the Parent Agreement has been deleted in its entirety and the following is substituted therefor:
“Each Party shall have the right but no obligation to conduct philanthropic programs with respect to the diagnosis, prevention, treatment and cure of HCV infection. Each Party will be free to qualify a bona fide program for the diagnosis, prevention, treatment and cure of HCV infection as philanthropic.”
Article 7 - License Grants
7.1
License Grants. Article 7 of the Parent Agreement, as supplemented and modified by this 2013 Amendment, shall remain in full force and effect.
7.2
Additional Non-exclusive Know-How License from Vertex. Vertex and its Affiliates hereby grant to Janssen a non-exclusive, worldwide [***] license to use the Information disclosed by Vertex or its Affiliates under the Agreement to Janssen or its Affiliates for any purpose within Janssen and its Affiliates consistent with Janssen’s obligation of confidentiality with respect to Third Parties pursuant to the Agreement. The license contained in this Section 7.2 of this 2013 Amendment may be sublicensed in accordance with Section 7.7, first paragraph, of the Parent Agreement.
7.3
Additional Licenses from Janssen. Janssen hereby grants to Vertex a perpetual, [***], non-exclusive license in the Territory to Manufacture VX-950 and Products containing VX-950 for Commercial use outside the Territory under Janssen Assigned Patents. Janssen hereby grants to Vertex a perpetual, [***], non-exclusive license in the Territory under the Janssen Assigned Patents for all purposes other than Developing, Manufacturing and/or Commercializing VX-950 or its bioequivalents, and Products containing VX-950 or its bioequivalents. The licenses contained in this Section 7.3 of this 2013 Amendment may be sublicensed in accordance with Section 7.7, first paragraph, of the Parent Agreement.
7.4
Additional Development License from Vertex. Vertex and its Affiliates hereby grant to Janssen a non-exclusive right and license under the Vertex Know-How, Vertex Patent Rights and Vertex’s rights under Joint Patent Rights to Develop and Manufacture VX-950 and Products containing VX-950 in North America.
7.5
Paid-up Licenses. The licenses of Article 7 of the Parent Agreement and Article 7 of the 2013 Amendment shall be fully paid-up and perpetual subject to (i) the payment of royalties for Net Sales during the quarters ended September 29, 2013 and December29, 2013, (ii) [***] and (iii) amounts payable to Vertex [***] pursuant to Section 9.5 of the Agreement.
7.6
Right to Sublicense. The second paragraph of Section 7.7 of the Parent Agreement shall be deleted in its entirety. Each Party promptly shall provide written notice to the other Party of any sublicense granted pursuant to Section 7.7 of the Agreement, except in case of sublicenses to Affiliates.
7.7
Other License Amendments. The licenses of Sections 7.1, 7.2, 7.3 and 7.4 of the Parent Agreement are amended in the last sentence after the phrase “Additional Development Activities” to add the phrase “or Post Collaboration Development Activities.”

5
Portions of this exhibit, indicated by the mark “[***],” have been redacted pursuant to a confidential treatment request. An unredacted version of this exhibit has been filed separately with the Commission.



Article 8 - Intentionally Left Blank
Article 9 - Financial Provisions
Except as provided for in this 2013 Amendment, all obligations of Janssen and Vertex to pay royalties, license fees, milestones and/or development cost reimbursement under the Agreement (including Section 9.1 of the Parent Agreement) will terminate.
9.1
One-time License Fee. In consideration for royalties that would have otherwise been payable to Vertex related to Net Sales in the Territory on or after December 29, 2013 pursuant to Section 9.4.1(a) of the Parent Agreement and the covenants and the licenses under this 2013 Amendment, Janssen shall pay Vertex a one-time non-refundable, non-creditable payment of One Hundred Fifty Two Million Dollars (US $152,000,000) within [***] of the Amendment Effective Date.
9.2
Royalties Milestones and Other Payments.
(a)
Section 9.2 of the Parent Agreement shall terminate in its entirety as of the Amendment Effective Date.
(b)
Sections 9.4.1(a) and 9.4.2 of the Parent Agreement shall terminate effective upon the fulfillment of Janssen’s obligations to pay royalties on Net Sales in the Territory for the Calendar Quarter ended December 29, 2013.
(c)
Section 9.4.1(b) of the Parent Agreement shall be terminated in its entirety immediately following the Calendar Quarter ending December 29, 2013 and the following substituted therefor:
“9.4.1 (b) [***]"
(d)
If Net Sales of VX-950 in the Territory for the period beginning on [***] and ending on [***] exceed [***], Janssen shall make a one-time additional payment to Vertex of [***] within [***] of the completion of the Calendar Quarter in which such milestone is first achieved.
9.3
Cost Reimbursement. Section 9.3 of the Parent Agreement is hereby amended to provide that (a) [***] and (b) the right of each Party to inspect the books and records of the other Party pursuant to Section 9.3 shall only apply to Global Development Costs incurred on or after January 1, 2013 by the Party maintaining the books and records.
9.4
Third Party Licenses. The first sentence of Section 9.5 of the Parent Agreement shall be deleted in its entirety and replaced with the following:
“Janssen shall be responsible (except as provided in Section 9.4.1(b)) for one hundred percent (100%) of any royalties, or other amounts relating to intellectual property rights, payable to any Third Party on account of Products sold in the Territory by Janssen, its Affiliates or sublicensee (except for Vertex), and shall pay to Vertex, in accordance with the procedures that have been established by the Parties prior to this Amendment Effective Date for such payments: (a) [***] and (b) [***]. Vertex represents and warrants that: (i) the ELC Patents are [***] or [***] (both as defined in [***]) and (ii) the compounds claimed as a composition of matter by a Valid Claim of the ELC Patents are [***] (as defined in [***]). [***].”
9.5
Reports. Section 9.6 of the Parent Agreement shall terminate in its entirety effective immediately following the delivery of the [***] to be furnished to Vertex for the [***], and the following shall be substituted therefor:
“Janssen shall furnish to Vertex a [***], at the end of each [***], showing the Net Sales of Products in each country in the Territory during the reporting period, and any permitted deductions from gross sales taken to arrive at the Net Sales calculation. [***] Janssen shall keep complete and accurate records in sufficient detail to enable the information provided hereunder to be verified by

6
Portions of this exhibit, indicated by the mark “[***],” have been redacted pursuant to a confidential treatment request. An unredacted version of this exhibit has been filed separately with the Commission.



Vertex’s accounting firm pursuant to Section 9.7 of this Agreement in the case that under [***] or [***] a request is made by such counterparty to audit the Net Sales in the Territory or in order for Vertex to verify the written report on the Net Sales of Products in the Territory between [***] and [***].”
9.6
Audits, Payments and Income Tax Withholdings. Sections, 9.8, 9.9 and 9.10 of the Parent Agreement shall remain in full force and effect and apply to any payment obligation under the Agreement. Section 9.7 of the Parent Agreement will only apply to reporting (a) under the Parent Agreement between December 30, 2012 and December 29, 2013 or (b) under Section 9.5 of this 2013 Amendment for periods on or after December 30, 2012. For clarity, all audit rights under Section 9.7 will terminate as of March 1, 2015 except in the case of an audit request made under [***] or [***].
9.7
Parallel Importation. Section 9.11 of the Parent Agreement shall terminate in its entirety as of the Amendment Effective Date.
Article 10 - Intellectual Property
10.1
General. Article 10 of the Parent Agreement, as supplemented and modified by this 2013 Amendment, shall remain in full force and effect.
10.2
Assignment. Contemporaneously to the execution of this 2013 Amendment, Vertex shall execute the patent assignments attached as Schedule B. These patent assignments convey legal and equitable ownership to Janssen of the Vertex Patent Rights and the Vertex interest in Joint Patent Rights in the Territory that are listed as “Assigned” patents on Schedule A (the “Janssen Assigned Patents”). Janssen shall have all rights of ownership, including any right and responsibility of prosecution, maintenance and enforcement of the Janssen Assigned Patents at its sole expense, subject to the licenses granted pursuant Section 7.3 of this 2013 Amendment. The Janssen Assigned Patents will no longer be Vertex Patent Rights or Joint Patent Rights and will not be Janssen Patent Rights under the Agreement. Except as specifically provided for herein, Janssen shall have no obligations to Vertex as to and Vertex shall have no rights in the Janssen Assigned Patents. Vertex agrees to execute such documents and perform such acts as may be reasonably necessary to record or otherwise effectuate such assignments. Notwithstanding the foregoing, the Parties agree to coordinate regarding the prosecution and any other proceedings relating to the Janssen Assigned Patents.
10.3
Reimbursement. Janssen’s obligation to [***] as set forth in Section 10.1 of the Parent Agreement is terminated. Janssen’s obligation to [***] as set forth in Section 10.1 of the Parent Agreement is unchanged.
10.4
ELC Patents. Janssen shall give Vertex [***] advance notice of any decision to cease preparation, filing, prosecution or maintenance any patents or patent applications within the ELC Patents (each, a “Discontinued Patent”). Janssen acknowledges that [***] would have the right to elect to continue preparation, filing, prosecution and maintenance of such Discontinued Patents at [***] sole expense. Janssen agrees to assign ownership of such Discontinued Patents to [***] and to execute such documents and perform such acts as may be reasonably necessary for [***] to file or to continue its prosecution or maintenance of such Discontinued Patents. Notwithstanding the assignment of the ELC Patents in Section 10.2 of this 2013 Amendment, Janssen acknowledges and agrees that [***] retains a fully paid-up, non-exclusive, worldwide license without any right to sublicense, to the ELC Patents for [***] internal research purposes only.
Article 11 - Confidentiality
11.1
Confidentiality and Non-use. Section 11.1 of the Parent Agreement, as supplemented and modified by this 2013 Amendment, shall remain consistent with the licenses granted herein (including in Section 7.2 of this 2013 Amendment) in full force and effect.

7
Portions of this exhibit, indicated by the mark “[***],” have been redacted pursuant to a confidential treatment request. An unredacted version of this exhibit has been filed separately with the Commission.



11.2
Consultant and Advisor Obligations. Section 11.2 of the Parent Agreement is deleted in its entirety as of the Amendment Effect Date and the following is substituted therefor:
“Each Party agrees that it and its Affiliates shall provide or permit access to Information received from the other Party and such Party's Affiliates and representatives only to consultants, Permitted Sublicensees and subcontractors of the receiving Party, and to the consultants, Permitted Sublicensees and subcontractors of the receiving Party's Affiliates, who in such Party's reasonable judgment have a need to know such Information to assist the receiving Party with the activities contemplated by this Agreement and who are subject to obligations of confidentiality and non-use with respect to such Information no less restrictive than the obligations of confidentiality and non-use of the receiving Party pursuant to Section 11.1 of the Parent Agreement; provided that each Party shall remain responsible for any failure by its Affiliates, and its and its Affiliates' respective consultants, permitted subcontractors and sublicensees, to treat such Information as required under Section 11.1 of the Parent Agreement (as if such Affiliates, consultants, permitted subcontractors and sublicensees were Parties directly bound to the requirements of Section 11.1).”
11.3
Publication. Section 11.3 of the Parent Agreement is deleted in its entirety as of the Amendment Effective Date and the following is substituted therefor:
“Each of Janssen and Vertex reserves the right to publish or publicly present any results (the “Results”) related to the Product, subject to the following terms and conditions. The Party proposing to publish or publicly present the Results (the “Publishing Party”) will submit a draft of any proposed manuscript, abstract or speech to the other Party (the “Non-Publishing Party”) for comments [***] prior to submission for publication or oral presentation. The Non-Publishing Party shall notify the Publishing Party in writing [***] of receipt of such draft whether such draft contains (i) information of the Non-Publishing Party which it considers to be confidential under the provisions of Section 11.1 of the Agreement, or (ii) information that if published would have an adverse effect on a patent application covering the subject matter of this Agreement. In any such notification, the Non-Publishing Party shall indicate with specificity its suggestions regarding the manner and degree to which the Publishing Party may disclose such information. In the case of item (i) above, no Party may publish Information of the other Party without its consent in violation of Section 11.1 of this Agreement. In the case of item (ii) above, the Non-Publishing Party may request a delay and the Publishing Party shall delay such publication or presentation, for a period [***], to permit the timely preparation and filing of a patent application or an application for a certificate of invention covering the information at issue. The Parties agree that authorship of any publication or presentation will be determined based on the customary standards then being applied in the relevant scientific journal or conference. The forgoing provisions shall not be interpreted to prevent the publication by a Party of information required by law to be published by that Party.
This Section 11.3 shall terminate with the termination of the Agreement, but the provisions of Section 11.1 hereof shall continue to govern the disclosure by one Party, whether by publication or otherwise, of Information of the other for two years after termination or expiration of this Agreement.”
11.4
Publicity/Use of Names. Section 11.4 of the Parent Agreement shall remain in full force and effect and shall apply to this 2013 Amendment. The Parties shall agree upon the timing and content of an initial press release relating to the execution of this 2013 Amendment and its terms.
Article 12 - Representations and Warranties; Indemnification
12.1
Authority. Each Party represents and warrants that this 2013 Amendment, including the release contained in Article 16 hereof, has been duly executed and delivered by such Party and constitutes a

8
Portions of this exhibit, indicated by the mark “[***],” have been redacted pursuant to a confidential treatment request. An unredacted version of this exhibit has been filed separately with the Commission.



valid and binding obligation of such Party, enforceable against such Party in accordance with its terms, except as enforceability may be limited by bankruptcy, fraudulent conveyance, insolvency, reorganization, moratorium and other laws related to creditors’ rights generally and by general equitable principles. The execution, delivery and performance of this Agreement have been duly authorized by all necessary action on the part of such Party, its officers and directors.
12.2
General. Article 12 of the Parent Agreement shall remain in full force and effect.
Article 13 - Term
Article 13 of the Parent Agreement is deleted in its entirety and replaced by the following:
13.1
Term. The Agreement shall be effective as of the Effective Date and shall continue in effect until the later of (i) the last to expire of the Janssen Assigned Patents or the Vertex Patent Rights licensed to Janssen pursuant to Article 7 of the Agreement or (ii) the last required payment by Janssen to Vertex pursuant to this Agreement.
13.2
Survival. Any expiration or termination of this Agreement shall be without prejudice to the rights of either Party against the other accrued or accruing under this Agreement prior to expiration or termination. In addition to any other provisions which by their terms specifically survive expiration or termination of this Agreement, the following provisions shall indefinitely survive any expiration or termination of the Agreement: Article 7 of this 2013 Amendment, Article 12 of this 2013 Amendment, Article 13 of this 2013 Amendment, Article 14 of this 2013 Amendment, Sections 14.1 and 14.5 of the Agreement, Article 15 of this 2013 Amendment, Article 15 of the Agreement, Article 16 of this 2013 Amendment, and the definitions of terms from Article 1 of the Parent Agreement and this 2013 Amendment that are used in any of the surviving provisions of the Agreement.
Article 14 - Governing Law and Dispute Resolution
14.1
Governing Law and Dispute Resolution. Article 14 of the Parent Agreement, as amended and supplemented by this 2013 Amendment, shall remain in full force and effect and shall apply to the provisions of this 2013 Amendment.
14.2
Amendment of Dispute Resolution Provisions. Section 14.3 of the Parent Agreement is deleted in its entirety as of the Amendment Effect Date and the following is substituted therefor:
“If the Executive Officers fail to come to consensus on any matter properly referred to the Executive Officers within the period for resolution set forth in Section 14.2 (an “Unresolved Matter”) such dispute shall be settled in accordance with Section 14.5 of the Agreement.”
Article 15 - Miscellaneous
15.1
Miscellaneous. Article 15 of the Parent Agreement shall remain in full force and effect and shall apply to the provisions of this 2013 Amendment.
Article 16 - Mutual Releases
16.1
Release of Janssen. Vertex, on behalf of itself and its Affiliates and, as applicable, each of its and its Affiliates’ employees, successors, assigns, current and former directors and officers, shareholders and direct and indirect parents, hereby fully and forever releases and discharges each of Janssen and its Affiliates, each of their employees, agents, attorneys, insurers, accountants, heirs, executors, administrators, conservators, successors, assigns, current and former directors and officers, shareholders and direct and indirect parents, subsidiaries and Affiliates from and against any and all liability, claims, demands, contracts, debts, obligations, damages, losses, actions, causes of action, or suits of whatever

9
Portions of this exhibit, indicated by the mark “[***],” have been redacted pursuant to a confidential treatment request. An unredacted version of this exhibit has been filed separately with the Commission.



kind or nature, whether known or unknown, based on any claim (each, a “Janssen Released Claim”) arising under the Parent Agreement and existing as of the Amendment Effective Date, except for any claims based on (i) breach by Janssen or its Affiliates of any payment obligation under the Parent Agreement, including any underpayment of royalties due to Vertex, [***] or [***], (ii) fraudulent acts by Janssen or its Affiliates in connection with the activities contemplated by the Parent Agreement, (iii) breach by Janssen or its Affiliates of its confidentiality obligations to Vertex under the Parent Agreement resulting in unauthorized disclosures to Third Parties or (iv) breach by Janssen or its Affiliates of the Pharmacovigilance Agreement. Vertex covenants not to sue or otherwise institute or prosecute any legal, administrative or other proceeding against any of Janssen or its Affiliates based on any Janssen Released Claim.
16.2
Release of Vertex. Janssen, on behalf of itself and its Affiliates and, as applicable, each of its and its Affiliates’ employees, successors, assigns, current and former directors and officers, stockholders and direct and indirect parents, hereby fully and forever releases and discharges each of Vertex and its Affiliates, each of their employees, agents, attorneys, insurers, accountants, heirs, executors, administrators, conservators, successors, assigns, current and former directors and officers, shareholders and direct and indirect parents, subsidiaries and Affiliates, from and against any and all liability, claims, demands, contracts, debts, obligations, damages, losses, actions, causes of action, or suits of whatever kind or nature, whether known or unknown, based on any claim (each, a “Vertex Released Claim”) arising under the Parent Agreement and existing as of the Amendment Effective Date, except for any claims based on (i) breach by Vertex or its Affiliates of any payment obligation to Janssen under the Parent Agreement, (ii) fraudulent acts by Vertex or its Affiliates in connection with the activities contemplated by the Parent Agreement, (iii) breach by Vertex or its Affiliates of its confidentiality obligations to Janssen under the Parent Agreement resulting in unauthorized disclosures to Third Parties or (iv) breach by Vertex or its Affiliates of the Pharmacovigilance Agreement. Janssen covenants not to sue or otherwise institute or prosecute any legal, administrative or other proceeding against Vertex or its Affiliates, based on any Vertex Released Claim.
16.3
Non-Assignment of Claims. Each Party hereto represents and warrants to the other Party that no portion of any claim, right, interest, demand, debt, liability, account, obligation or cause of action released herein has been assigned, conveyed or transferred, by operation of law or otherwise, to any other person or entity. In the event that any claim, demand or suit should be made or instituted against any Party hereto because of any such purported assignment, conveyance or transfer, the Party from whom such assignment, conveyance or transfer was alleged to have occurred agrees to indemnify and hold harmless the other Party against such claim, suit or demand and to pay and satisfy any such claim, suit or demand, including all expenses of investigation, attorneys’ fees and costs.
16.4
Later Discovered Facts. The Parties are aware that they may hereafter discover claims or facts in addition to or different from those they now know or believe to be true with respect to matters or things under or related to the Agreement, or any aspect of the relevant business relationship by or between the Parties. Nevertheless, it is the Parties’ intention to fully, finally, and forever settle and release all such matters and all claims within the scope of the above releases that may exist or may heretofore have existed.
16.5
Voluntary Execution. The Parties respectively represent and warrant that:
16.5.1    No Party has made any statement or representation to the other Party regarding any fact relied upon in entering into Article 16 of the 2013 Amendment. Article 16 of this 2013 Amendment is made without reliance upon any inducement, statement, promise, or representation other than those contained within this 2013 Amendment.
16.5.2    This 2013 amendment is executed voluntarily and without any duress or undue influence on the part of or on behalf of the Parties hereto, with the full intent of releasing all claims, except as expressly reserved herein.

10
Portions of this exhibit, indicated by the mark “[***],” have been redacted pursuant to a confidential treatment request. An unredacted version of this exhibit has been filed separately with the Commission.



IN WITNESS WHEREOF, the Parties have executed this 2013 Amendment as of the date set forth below.
JANSSEN PHARMACEUTICA, N.V.
VERTEX PHARMACEUTICALS INCORPORATED
By: /s/ Ludo F. Lauwers                    
By: /s/ Ian Smith                                  
Name: Dr. Ludo F. Lauwers, M.D.
Name: Ian Smith
Title: Senior Vice President
 Vice- Chairman Management Board
 Janssen Pharmaceutica NV
 
Title: EVP & Chief Financial Officer
Date: November 19, 2013
Date: November 19, 2013
 
 
By: /s/ Peter Putteman                       
 
Name: Peter Putteman
 
Title: General Manager
Janssen Supply Chain Beerse
 
Date: November 19, 2013
 

11
Portions of this exhibit, indicated by the mark “[***],” have been redacted pursuant to a confidential treatment request. An unredacted version of this exhibit has been filed separately with the Commission.



Schedule A

Assigned Patents



1
Portions of this exhibit, indicated by the mark “[***],” have been redacted pursuant to a confidential treatment request. An unredacted version of this exhibit has been filed separately with the Commission.



Schedule A - Assigned Patents

[***]

 [***]
Country Name
Application Number
 [***]
Publication Number
Patent Number
Status
Issue Date
PTE/SPC Status
PTE/SPC Application Number
Filing or Grant / expiration date
[***]
ALBANIA
AL/P/2009/3085
[***]
1320540
1320540
Granted
13-May-2009
[***]
[***]
[***]
[***]
ARMENIA
200300318
[***]
 
11547
Granted
14-Jan-2009
[***]
[***]
[***]
[***]
ARMENIA
200701869
[***]
 
17556
Granted
30-Jan-2013
[***]
[***]
[***]
[***]
ARGENTINA
10104168
[***]
 
AR03035B1
Granted
24-Jan-2013
[***]
[***]
[***]
[***]
ARGENTINA
90102351
[***]
AR 072313
 
Published
 
[***]
[***]
[***]
[***]
ARGENTINA
90102352
[***]
AR 072314
 
Published
 
[***]
[***]
[***]
[***]
ARGENTINA
20120104265
[***]
 
 
Pending
 
[***]
[***]
[***]
[***]
AUSTRIA
E 431358
[***]
1320540
1320540
Granted
13-May-2009
Pending
SZ 9/2012
Filed 3/16/2012
[***]
AUSTRALIA
2001288318
[***]
 
2001288318
Granted
10-Jan-2008
Granted
[***]
Granted 2/13/13; Expires 8/31/26
[***]
AUSTRALIA
2007240156
[***]
 
2007240156
Granted
15-Mar-2012
Granted
[***]
Granted 3/21/13; Expires 8/31/26
[***]
AUSTRALIA
2012201015
[***]
 
 
Pending
 
[***]
[***]
[***]
[***]
AZERBAIJAN
200300318
[***]
 
11547
Granted
14-Jan-2009
[***]
[***]
[***]
[***]
AZERBAIJAN
200701869
[***]
 
17556
Granted
30-Jan-2013
[***]
[***]
[***]
[***]
BELGIUM
1968040.4
[***]
1320540
1320540
Granted
13-May-2009
Pending
2012C/010
Filed 3/16/12
[***]
BRAZIL
0113666-6
[***]
1812
 
Published
 
[***]
[***]
[***]
[***]
BELARUS
200300318
[***]
 
11547
Granted
14-Jan-2009
[***]
[***]
[***]
[***]
BELARUS
200701869
[***]
 
17556
Granted
30-Jan-2013
[***]
[***]
[***]
[***]
SWITZERLAND
1968040.4
[***]
1320540
1320540
Granted
13-May-2009
Pending
C01320540/01
Filed 3/8/12
[***]
SWITZERLAND
7012485.4
[***]
1878720
1878720
Granted
6-Oct-2010
[***]
[***]
[***]
[***]
CHILE
20822001
[***]
 
45990
Granted
6-Oct-2009
[***]
[***]
[***]
[***]
CHILE
3382007
[***]
 
 
Pending
 
[***]
[***]
[***]
[***]
CHILE
330-2010
[***]
 
 
Pending
 
[***]
[***]
[***]
[***]
COLOMBIA
3016961
[***]
545
59726
Granted
29-Oct-2010
[***]
[***]
[***]
[***]
COLOMBIA
3016961A
[***]
 
39902
Granted
30-Jul-2010
[***]
[***]
[***]
[***]
COLOMBIA
3016961C
[***]
 
 
Pending
 
[***]
[***]
[***]
[***]
CYPRUS
CY2009 1100765
[***]
1320540
1320540
Granted
13-May-2009
Granted
CY2012007
Granted 6/6/12; Expires 8/31/26
[***]
CZECH REPUBLIC
20030595
[***]
 
 
Pending
 
[***]
[***]
[***]
[***]
CZECH REPUBLIC
PV2013-353
[***]
 
 
Pending
 
[***]
[***]
[***]
[***]
GERMANY
1968040.4
[***]
1320540
1320540
Granted
13-May-2009
Pending
122012000015.2
Filed 3/19/12
[***]
GERMANY
7012485.4
[***]
1878720
1878720
Granted
6-Oct-2010
[***]
[***]
[***]
[***]
DENMARK
1968040.4
[***]
1320540
1320540
Granted
13-May-2009
Pending
CA 2012 00007
Filed 3/19/12
[***]
DENMARK
7012485.4
[***]
1878720
1878720
Granted
6-Oct-2010
[***]
[***]
[***]
[***]
ALGERIA
30064
[***]
 
3438
Granted
6-Sep-2005
[***]
[***]
[***]

2
Portions of this exhibit, indicated by the mark “[***],” have been redacted pursuant to a confidential treatment request. An unredacted version of this exhibit has been filed separately with the Commission.



[***]
EURASIAN PATENT
200300318
[***]
 
11547
Granted
14-Jan-2009
[***]
[***]
[***]
[***]
EURASIAN PATENT
200701869
[***]
 
17556
Granted
30-Jan-2013
[***]
[***]
[***]
[***]
ECUADOR
34493
[***]
 
 
Pending
 
[***]
[***]
[***]
[***]
ECUADOR
77217
[***]
 
 
Pending
 
[***]
[***]
[***]
[***]
EGYPT
935/2001
[***]
 
 
Pending
 
[***]
[***]
[***]
[***]
EUROPEAN
1968040.4
[***]
1320540
1320540
Granted
13-May-2009
[***]
[***]
[***]
[***]
EUROPEAN
7111000.1
[***]
1849797
 
Published
 
[***]
[***]
[***]
[***]
EUROPEAN
7012483.9
[***]
1958956
 
Published
 
[***]
[***]
[***]
[***]
EUROPEAN
7012484.7
[***]
1876173
 
Published
 
[***]
[***]
[***]
[***]
EUROPEAN
7012485.4
[***]
1878720
1878720
Granted
6-Oct-2010
[***]
[***]
[***]
[***]
EUROPEAN
10185132.7
[***]
2368877
 
Published
 
[***]
[***]
[***]
[***]
EUROPEAN
10185148.3
[***]
2368878
 
Published
 
[***]
[***]
[***]
[***]
EUROPEAN
10185155.8
[***]
2368901
 
Published
 
[***]
[***]
[***]
[***]
EUROPEAN
10185722.5
[***]
2371839
 
Published
 
[***]
[***]
[***]
[***]
SPAIN
1968040.4
[***]
1320540
1320540
Granted
13-May-2009
Granted
201200008
Granted 12/17/12; Expires 8/31/26
[***]
SPAIN
7012485.4
[***]
1878720
1878720
Granted
6-Oct-2010
[***]
[***]
[***]
[***]
FINLAND
1968040.4
[***]
1320540
1320540
Granted
13-May-2009
Pending
C20120011
Filed 3/16/12
[***]
FRANCE
1968040.4
[***]
1320540
1320540
Granted
13-May-2009
Granted
12C0018
Granted 12/28/12; Expires 8/30/26
[***]
FRANCE
7012485.4
[***]
1878720
1878720
Granted
6-Oct-2010
[***]
[***]
[***]
[***]
UNITED KINGDOM
1968040.4
[***]
1320540
1320540
Granted
13-May-2009
Pending
SPC/GB12/010
Filed 3/16/12
[***]
UNITED KINGDOM
7012485.4
[***]
1878720
1878720
Granted
6-Oct-2010
[***]
[***]
[***]
[***]
GREECE
1968040.4
[***]
1320540
1320540
Granted
13-May-2009
Granted
20120800008
Granted 2/11/13; Expires 9/1/26
[***]
CROATIA
20030139
[***]
02/2005
 
Published
 
[***]
[***]
[***]
[***]
HUNGARY
300855
[***]
 
 
Pending
 
[***]
[***]
[***]
[***]
HUNGARY
P13 00255
[***]
 
 
Pending
 
[***]
[***]
[***]
[***]
IRELAND
1968040.4
[***]
1320540
1320540
Granted
13-May-2009
Pending
2012/009
Filed 3/16/12
[***]
IRELAND
7012485.4
[***]
1878720
1878720
Granted
6-Oct-2010
[***]
[***]
[***]
[***]
ISRAEL
154671
[***]
 
154671
Granted
1-Mar-2012
Pending
[***]
Filed 6/10/12
[***]
ISRAEL
185644
[***]
 
 
Pending
 
[***]
[***]
[***]
[***]
ISRAEL
215892
[***]
 
 
Pending
 
[***]
[***]
[***]
[***]
ISRAEL
215890
[***]
 
 
Pending
 
[***]
[***]
[***]
[***]
ISRAEL
215891
[***]
 
 
Pending
 
[***]
[***]
[***]
[***]
INDIA
0242KOLNP2003
[***]
 
212710
Granted
12-Dec-2007
[***]
[***]
[***]
[***]
INDIA
865KOLNP07
[***]
 
 
Pending
 
[***]
[***]
[***]
[***]
ITALY
26598/BE/2009
[***]
1320540
1320540
Granted
13-May-2009
Granted
68544
Granted 4/23/12; Expires 8/31/26
[***]
ITALY
7012485.4
[***]
1878720
1878720
Granted
6-Oct-2010
[***]
[***]
[***]
[***]
KYRGYZSTAN
200300318
[***]
 
11547
Granted
14-Jan-2009
[***]
[***]
[***]
[***]
KYRGYZSTAN
200701869
[***]
 
17556
Granted
30-Jan-2013
[***]
[***]
[***]
[***]
KAZAKHSTAN
200300318
[***]
 
11547
Granted
14-Jan-2009
[***]
[***]
[***]

3
Portions of this exhibit, indicated by the mark “[***],” have been redacted pursuant to a confidential treatment request. An unredacted version of this exhibit has been filed separately with the Commission.



[***]
KAZAKHSTAN
200701869
[***]
 
17556
Granted
30-Jan-2013
[***]
[***]
[***]
[***]
LITHUANIA
1968040.4
[***]
1320540
1320540
Granted
13-May-2009
Granted
PA 2012 003
Granted 9/25/12; Expires 9/1/26
[***]
LUXEMBOURG
1968040.4
[***]
1320540
1320540
Granted
13-May-2009
Granted
91 960
Granted 5/21/12; Expires 8/31/26
[***]
LUXEMBOURG
7012485.4
[***]
1878720
1878720
Granted
6-Oct-2010
[***]
[***]
[***]
[***]
LATVIA
1968040.4
[***]
1320540
1320540
Granted
13-May-2009
Granted
C/LV2012/0005
Granted 12/20/12; Expires 8/31/26
[***]
MONACO
1968040.4
[***]
1320540
1320540
Granted
13-May-2009
[***]
[***]
[***]
[***]
MONACO
7012485.4
[***]
1878720
1878720
Granted
6-Oct-2010
[***]
[***]
[***]
[***]
MOLDOVA
200300318
[***]
 
11547
Granted
14-Jan-2009
[***]
[***]
[***]
[***]
MOLDOVA
200701869
[***]
 
17556
Granted
30-Jan-2013
[***]
[***]
[***]
[***]
MACEDONIA
1968040.4
[***]
1320540
1320540
Granted
13-May-2009
[***]
[***]
[***]
[***]
NIGERIA
372/2001
[***]
 
NG/C/2011/04
Granted
14-Mar-2011
[***]
[***]
[***]
[***]
NETHERLANDS
1968040.4
[***]
1320540
1320540
Granted
13-May-2009
Granted
300518
Granted 8/31/12; Expires 8/31/26
[***]
NETHERLANDS
7012485.4
[***]
1878720
1878720
Granted
6-Oct-2010
[***]
[***]
[***]
[***]
NORWAY
20030928
[***]
 
329929
Granted
24-Jan-2011
Pending
2012006
Filed 4/3/12
[***]
NORWAY
20100999
[***]
 
330807
Granted
18-Jul-2011
[***]
[***]
[***]
[***]
NEW ZEALAND
541302
[***]
1534
541302
Granted
9-Aug-2007
[***]
[***]
[***]
[***]
NEW ZEALAND
569670
[***]
1569
569670
Granted
8-Jul-2010
[***]
[***]
[***]
[***]
PERU
876-2001
[***]
 
4184
Granted
9-Jan-2006
[***]
[***]
[***]
[***]
PAKISTAN
841/2001
[***]
 
140105
Pending
 
[***]
[***]
[***]
[***]
PAKISTAN
1191/2007
[***]
 
140115
Pending
 
[***]
[***]
[***]
[***]
PAKISTAN
1196/2007
[***]
 
140117
Pending
 
[***]
[***]
[***]
[***]
PAKISTAN
1192/2007
[***]
 
140116
Pending
 
[***]
[***]
[***]
[***]
POLAND
365836
[***]
 
 
Granted
 
Pending
0192/0211019
Filed 3/19/12
[***]
POLAND
389234
[***]
 
 
Pending
 
[***]
[***]
[***]
[***]
PORTUGAL
1968040.4
[***]
1320540
1320540
Granted
13-May-2009
Pending
472
Filed 3/16/12
[***]
ROMANIA
1968040.4
[***]
1320540
1320540
Granted
13-May-2009
Pending
C 2012 005
Filed 3/16/12
[***]
RUSSIA
200300318
[***]
 
11547
Granted
14-Jan-2009
Granted
[***]
Granted 7/15/13; Expires 8/31/26
[***]
RUSSIA
200701869
[***]
 
17556
Granted
30-Jan-2013
Granted
[***]
Granted 7/15/13; Expires 8/31/26
[***]
SWEDEN
1968040.4
[***]
1320540
1320540
Granted
13-May-2009
Granted
1290007-2
Granted 10/2/12; Expires 8/31/26
[***]
SWEDEN
7012485.4
[***]
1878720
1878720
Granted
6-Oct-2010
[***]
[***]
[***]
[***]
SLOVENIA
1968040.4
[***]
1320540
1320540
Granted
13-May-2009
Granted
C 2012 4 0004
Granted 10/3/12; Expires 8/31/26
[***]
SLOVAK REPUBLIC
20030249
[***]
 
 
Pending
 
[***]
[***]
[***]
[***]
TAJIKISTAN
200300318
[***]
 
11547
Granted
14-Jan-2009
[***]
[***]
[***]
[***]
TAJIKISTAN
200701869
[***]
 
17556
Granted
30-Jan-2013
[***]
[***]
[***]

4
Portions of this exhibit, indicated by the mark “[***],” have been redacted pursuant to a confidential treatment request. An unredacted version of this exhibit has been filed separately with the Commission.



[***]
TURKMENISTAN
200300318
[***]
 
11547
Granted
14-Jan-2009
[***]
[***]
[***]
[***]
TURKMENISTAN
200701869
[***]
 
17556
Granted
30-Jan-2013
[***]
[***]
[***]
[***]
TURKEY
1968040.4
[***]
1320540
1320540
Granted
13-May-2009
[***]
[***]
[***]
[***]
UKRAINE
2003021834
[***]
 
81600
Granted
25-Jan-2008
[***]
[***]
[***]
[***]
UKRAINE
200710133
[***]
 
99895
Granted
25-Oct-2012
[***]
[***]
[***]
[***]
UKRAINE
201108596
[***]
 
 
Pending
 
[***]
[***]
[***]
[***]
VENEZUELA
2001-001867
[***]
 
 
Pending
 
[***]
[***]
[***]
[***]
SOUTH AFRICA
20031641
[***]
 
2003/1641
Granted
25-Aug-2004
[***]
[***]
[***]



5
Portions of this exhibit, indicated by the mark “[***],” have been redacted pursuant to a confidential treatment request. An unredacted version of this exhibit has been filed separately with the Commission.



[***]

 [***]
Country Name
Application Number
[***]
Publication Number
Patent Number
Status
Issue Date
PTE/SPC Status
PTE/SPC Application Number
Filing or Grant / expiration date
[***]
AUSTRALIA
2009238599.0
[***]
 
 
Pending
 
[***]
[***]
[***]
[***]
BRAZIL
PCT/US2009/002526
[***]
 
 
Pending
 
[***]
[***]
[***]
[***]
EURASIAN PATENT
201071230.0
[***]
 
 
Pending
 
[***]
[***]
[***]
[***]
EUROPEAN
9735729.7
[***]
 
2280709
Published
 
[***]
[***]
[***]
[***]
ISRAEL
208726.0
[***]
 
 
Pending
 
[***]
[***]
[***]
[***]
INDIA
8137/DELNP/2010
[***]
 
 
Pending
 
[***]
[***]
[***]
[***]
NEW ZEALAND
588655.0
[***]
588655
 
Granted
22-Mar-2013
[***]
[***]
[***]
[***]
SOUTH AFRICA
2010/07435
[***]
2010/07435
 
Granted
 
[***]
[***]
[***]



6
Portions of this exhibit, indicated by the mark “[***],” have been redacted pursuant to a confidential treatment request. An unredacted version of this exhibit has been filed separately with the Commission.



[***]

 [***]
Country Name
Application Number
[***]
Status
Publication Number
Patent Number
Issue Date
PTE/SPC Status
PTE/SPC Application Number
Filing or Grant / expiration date
[***]
CHILE
7012007
[***]
Published
 
 
 
[***]
[***]
[***]
[***]
EURASIAN PATENT
200802008
[***]
Pending
 
 
 
[***]
[***]
[***]
[***]
ISRAEL
194176
[***]
Pending
 
 
 
[***]
[***]
[***]
[***]
NEW ZEALAND
571934
[***]
Issued
 
571934
3-Sep-2012
[***]
[***]
[***]
[***]
PERU
308
[***]
Granted
 
000094-2011
31-Jan-2011
[***]
[***]
[***]



7
Portions of this exhibit, indicated by the mark “[***],” have been redacted pursuant to a confidential treatment request. An unredacted version of this exhibit has been filed separately with the Commission.



[***]

 [***]
Country Name
Application Number
[***]
Publication Number
Patent Number
Status
Issue Date
PTE/SPC Status
PTE/SPC Application Number
Filing or Grant / expiration date
[***]
ARGENTINA
P070101077
[***]
 
 
Pending
 
[***]
[***]
[***]
[***]
AUSTRALIA
2012202730
[***]
 
 
Pending
 
[***]
[***]
[***]
[***]
BRAZIL
PI 0709568-6
[***]
Pending
 
Published
 
[***]
[***]
[***]
[***]
CHILE
6892007
[***]
 
 
Pending
 
[***]
[***]
[***]
[***]
EUROPEAN
7752981.6
[***]
EP 1993993
 
Publshed
 
[***]
[***]
[***]
[***]
EUROPEAN
EP 11172239.3
[***]
EP 2 407 448
 
Published
 
[***]
[***]
[***]
[***]
ISRAEL
194115
[***]
 
 
Published
 
[***]
[***]
[***]
[***]
INDIA
3776KOLNP2008
[***]
 
 
Pending
 
[***]
[***]
[***]
[***]
NEW ZEALAND
571281
[***]
 
571281
Issued
5-Mar-2012
[***]
[***]
[***]
[***]
RUSSIA
2008140942
[***]
 
2481326
Issued
10-May-2013
[***]
[***]
[***]
[***]
RUSSIA
2013105768
[***]
 
 
Pending
 
[***]
[***]
[***]
[***]
SOUTH AFRICA
2008/08646
[***]
 
2008/08646
Issued
29-Jul-2009
[***]
[***]
[***]



8
Portions of this exhibit, indicated by the mark “[***],” have been redacted pursuant to a confidential treatment request. An unredacted version of this exhibit has been filed separately with the Commission.



[***]

[***]
Country Name
Application Number
[***]
Publication Number
Patent Number
Status
Issue Date
PTE/SPC Status
PTE/SPC Application Number
Filing or Grant / expiration date
[***]
ARGENTINA
60103610
[***]
AR058025A1
 
Pending
 
[***]
[***]
[***]
[***]
AUSTRIA
6813568.0
[***]
 
1934179
Issued
7-Apr-2010
[***]
[***]
[***]
[***]
AUSTRALIA
2006279357
[***]
 
2006279357
Issued
13-Sep-2012
[***]
[***]
[***]
[***]
AUSTRALIA
2012216599
[***]
 
 
Pending
 
[***]
[***]
[***]
[***]
AUSTRALIA
2013204565
[***]
 
 
Pending
 
[***]
[***]
[***]
[***]
AUSTRALIA
2013204689
[***]
 
 
Pending
 
[***]
[***]
[***]
[***]
BELGIUM
6813568.0
[***]
 
1934179
Issued
7-Apr-2010
[***]
[***]
[***]
[***]
BRAZIL
0615029-2
[***]
Journal 2006
 
Published
 
[***]
[***]
[***]
[***]
SWITZERLAND
6813568.0
[***]
 
1934179
Issued
7-Apr-2010
[***]
[***]
[***]
[***]
CHILE
2187-2006
[***]
 
 
Pending
 
[***]
[***]
[***]
[***]
CHILE
1813-2013
[***]
 
 
Pending
 
[***]
[***]
[***]
[***]
CYPRUS
6813568.0
[***]
 
1934179
Issued
7-Apr-2010
[***]
[***]
[***]
[***]
CZECH REPUBLIC
6813568.0
[***]
 
1934179
Issued
7-Apr-2010
[***]
[***]
[***]
[***]
GERMANY
6813568.0
[***]
 
1934179
Issued
7-Apr-2010
[***]
[***]
[***]
[***]
DENMARK
6813568.0
[***]
 
1934179
Issued
7-Apr-2010
[***]
[***]
[***]
[***]
EUROPEAN
6813568.0
[***]
1934179
1934179
Issued
11-Mar-2010
[***]
[***]
[***]
[***]
EUROPEAN
EP 10155058.0
[***]
EP ###-###-####
 
Published
 
[***]
[***]
[***]
[***]
EUROPEAN
EP 11150039.3
[***]
2357170
 
Published
 
[***]
[***]
[***]
[***]
EUROPEAN
EP 11150041.9
[***]
2364970
 
Published
 
[***]
[***]
[***]
[***]
SPAIN
6813568.0
[***]
 
1934179
Issued
7-Apr-2010
[***]
[***]
[***]
[***]
FINLAND
6813568.0
[***]
 
1934179
Issued
7-Apr-2010
[***]
[***]
[***]
[***]
FRANCE
6813568.0
[***]
 
1934179
Issued
7-Apr-2010
[***]
[***]
[***]
[***]
UNITED KINGDOM
6813568.0
[***]
 
1934179
Issued
7-Apr-2010
[***]
[***]
[***]
[***]
GREECE
6813568.0
[***]
 
1934179
Issued
7-Apr-2010
[***]
[***]
[***]
[***]
HUNGARY
6813568.0
[***]
 
1934179
Issued
7-Apr-2010
[***]
[***]
[***]
[***]
IRELAND
6813568.0
[***]
 
1934179
Issued
7-Apr-2010
[***]
[***]
[***]
[***]
ISRAEL
189585
[***]
 
 
Pending
 
[***]
[***]
[***]
[***]
INDIA
738/KOLNP/2008
[***]
 
 
Pending
 
[***]
[***]
[***]
[***]
ITALY
6813568.0
[***]
 
1934179
Issued
7-Apr-2010
[***]
[***]
[***]
[***]
LIECHTENSTEIN
6813568.0
[***]
 
1934179
Issued
7-Apr-2010
[***]
[***]
[***]
[***]
LUXEMBOURG
6813568.0
[***]
 
1934179
Issued
7-Apr-2010
[***]
[***]
[***]
[***]
MONACO
6813568.0
[***]
 
1934179
Issued
7-Apr-2010
[***]
[***]
[***]
[***]
MALTA
N/A
[***]
 
3717
Issued
18-Aug-2006
[***]
[***]
[***]
[***]
NETHERLANDS
6813568.0
[***]
 
1934179
Issued
7-Apr-2010
[***]
[***]
[***]
[***]
NEW ZEALAND
566049
[***]
 
566049
Issued
7-Nov-2011
[***]
[***]
[***]

9
Portions of this exhibit, indicated by the mark “[***],” have been redacted pursuant to a confidential treatment request. An unredacted version of this exhibit has been filed separately with the Commission.



[***]
NEW ZEALAND
593214
[***]
 
593214
Issued
23-May-2013
[***]
[***]
[***]
[***]
NEW ZEALAND
604087
[***]
 
 
Pending
 
[***]
[***]
[***]
[***]
PORTUGAL
6813568.0
[***]
 
1934179
Issued
7-Apr-2010
[***]
[***]
[***]
[***]
RUSSIA
2008110479
[***]
 
2446171
Issued
27-Mar-2012
[***]
[***]
[***]
[***]
RUSSIA
2011148615
[***]
2011148615
 
Published
 
[***]
[***]
[***]
[***]
SWEDEN
6813568.0
[***]
 
1934179
Issued
7-Apr-2010
[***]
[***]
[***]
[***]
SLOVENIA
6813568.0
[***]
 
1934179
Issued
7-Apr-2010
[***]
[***]
[***]
[***]
SLOVAK REPUBLIC
6813568.0
[***]
 
1934179
Issued
7-Apr-2010
[***]
[***]
[***]
[***]
TURKEY
6813568.0
[***]
 
1934179
Issued
7-Apr-2010
[***]
[***]
[***]
[***]
SOUTH AFRICA
200801791
[***]
 
2008/01791
Issued
31-Dec-2008
[***]
[***]
[***]
[***]
AUSTRALIA
2010241800
[***]
 
 
Pending
 
[***]
[***]
[***]
[***]
BRAZIL
PI 1013338-0
[***]
 
 
Pending
 
[***]
[***]
[***]
[***]
CHILE
2657-2011
[***]
Pending
 
Published
 
[***]
[***]
[***]
[***]
EUROPEAN
EP 10716236.4
[***]
2477966
 
Published
 
[***]
[***]
[***]
[***]
ISRAEL
215893
[***]
Pending
 
Published
 
[***]
[***]
[***]
[***]
INDIA
4306/KOLNP/2011
[***]
 
 
Pending
 
[***]
[***]
[***]
[***]
NEW ZEALAND
595817
[***]
 
 
Pending
 
[***]
[***]
[***]
[***]
RUSSIA
2011148100
[***]
 
 
Published
 
[***]
[***]
[***]
[***]
SOUTH AFRICA
2011/08502
[***]
 
2011/08502
Issued
29-Aug-2012
[***]
[***]
[***]



10
Portions of this exhibit, indicated by the mark “[***],” have been redacted pursuant to a confidential treatment request. An unredacted version of this exhibit has been filed separately with the Commission.



[***]

 [***]
Country Name
Application Number
[***]
Publication Number
Patent Number
Status
Issue Date
PTE/SPC Status
PTE/SPC Application Number
Filing or Grant / expiration date
[***]
AUSTRALIA
2005302361
[***]
 
2005302361
Granted
1-Mar-2012
[***]
[***]
[***]
[***]
AUSTRALIA
2012200942
[***]
 
 
Pending
 
[***]
[***]
[***]
[***]
EUROPEAN
5815054.1
[***]
1819336
 
Published
 
[***]
[***]
[***]
[***]
EUROPEAN
11184992.3
[***]
 
 
Pending
 
[***]
[***]
[***]
[***]
ISRAEL
182847
[***]
 
 
Pending
 
[***]
[***]
[***]
[***]
NORWAY
20072733
[***]
 
 
Pending
 
[***]
[***]
[***]
[***]
RUSSIA
2007119725
[***]
 
2393863
Granted
10-Jul-2010
[***]
[***]
[***]



11
Portions of this exhibit, indicated by the mark “[***],” have been redacted pursuant to a confidential treatment request. An unredacted version of this exhibit has been filed separately with the Commission.



[***]

 [***]
Country Name
Application Number
[***]
Publication Number
Patent Number
Status
Issue Date
PTE/SPC Status
PTE/SPC Application Number
Filing or Grant / expiration date
[***]
ARGENTINA
50102345
[***]
 
 
Pending
 
[***]
[***]
[***]
[***]
AUSTRALIA
2005253957
[***]
 
2005253957
Granted
8-Dec-2011
[***]
[***]
[***]
[***]
BRAZIL
PI0511900.6
[***]
 
 
Published
 
[***]
[***]
[***]
[***]
EUROPEAN
5757623.3
[***]
1765283
 
Published
 
[***]
[***]
[***]
[***]
ISRAEL
179809
[***]
 
 
Granted
10-Jun-2013
[***]
[***]
[***]
[***]
ISRAEL
 
[***]
 
 
Pending
 
[***]
[***]
[***]
[***]
INDIA
7312/DELNP/2006
[***]
 
 
Published
 
[***]
[***]
[***]
[***]
NORWAY
20070130
[***]
 
 
Pending
 
[***]
[***]
[***]
[***]
NEW ZEALAND
588471
[***]
 
588471
Granted
5-Jun-2012
[***]
[***]
[***]
[***]
RUSSIA
2006147247
[***]
 
2373923
Granted
27-Nov-2009
[***]
[***]
[***]
[***]
SOUTH AFRICA
200700030
[***]
 
2007/00030
Granted
24-Jun-2009
[***]
[***]
[***]
[***]
SOUTH AFRICA
200802676
[***]
 
2008/02676
Granted
30-Dec-2009
[***]
[***]
[***]



12
Portions of this exhibit, indicated by the mark “[***],” have been redacted pursuant to a confidential treatment request. An unredacted version of this exhibit has been filed separately with the Commission.



Schedule B

Patent Assignment

PATENT ASSIGNMENT
This patent assignment (“Assignment of Patents”) is made and entered into as of November 19, 2013, between, VERTEX PHARMACEUTICALS INCORPORATED, a Massachusetts corporation with corporate offices at 130 Waverly Street, Cambridge, MA 02139-4242, United States of America, (“Assignor”) and JANSSEN PHARMACEUTICA NV, a company organized under the laws of Belgium with offices at Turnhoutseweg 30, 2340 Beerse, Belgium (“Assignee”) (each a “Party” and collectively, the “Parties”).
Whereas, Assignor and Assignee are parties to an amendment to a License, Development, Manufacturing and Commercialization Agreement between the Parties (“2013 Amendment”), which amendment is dated as of the date mentioned hereinabove, pursuant to which Assignor has agreed to convey legal and equitable ownership of certain assets to Assignee;
Whereas, subject to the terms and conditions in the 2013 Amendment, Assignor owns all right, title and interest in and to the patents and patent applications listed on Schedule A; Assignor desires to convey, deliver, transfer and assign to Assignee all of its right, title and interest in and to the Patents, and Assignee desires to take delivery of, accept and assume from Assignor the same.
Now, therefore, for the foregoing recited consideration and other good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, the Parties, intending to be legally bound, agree as follows :
(a)Assignor does hereby convey, deliver, transfer and assign to Assignee all of its right, title and interest in and to (i) the patents and patent applications listed on Schedule A, (ii) all patent applications filed either from such patents, patent applications or from an application claiming priority from either of these, including divisionals, continuations, continuations-in-part, substitutions, provisionals, converted provisionals, and continued prosecution applications, (iii) any and all patents that have issued or in the future issue from the foregoing patent applications described in clauses (i) and (ii), including utility models, petty patents, design patents and certificates of invention, and (iv) any and all extensions or restorations by existing or future extension- or restoration mechanisms, including revalidations, reissues, reexaminations, supplemental examinations, inter partes reviews, post-grant reviews, pre-grant and post-grant oppositions, limitations, and other existing or future post-issuance proceedings, and extensions (including any supplementary protection certificates and any other patent term restoration mechanisms) of the foregoing patents and patent applications described in clauses (i), (ii) and (iii), (collectively, clauses (i), (ii), (iii) and (iv) called “Patents”), in each case, the same to be held and enjoyed by Assignee for its own use and benefit of the Patents that may be granted or extended, as fully and entirely as the same would have been held and enjoyed by Assignor had this assignment not been made, including all benefits, privileges, causes of action and remedies relating to, or otherwise derived from, such Patents, including the right to any damages accrued for infringement of the Patents, and all goodwill associated with such Patents; and
(b)Assignee accepts such assignment.


(Remainder of Page Intentionally Left Blank)




A- 1
Portions of this exhibit, indicated by the mark “[***],” have been redacted pursuant to a confidential treatment request. An unredacted version of this exhibit has been filed separately with the Commission.




In witness whereof Assignor and Assignee have executed this Assignment of Patents as of the date written hereinabove.
Assignor                        Witness
VERTEX PHARMACEUTICALS INCORPORATED
By :_/s/ Ian Smith___________________        By :_/s/ Philippe Tinmouth __________
Name : _Ian Smith __________________        Name : _Phil Tinmouth_______________
Title : _EVP & CFO __________________
Notary Public




Acknowledged and accepted by:
Assignee                        Witness
JANSSEN PHARMACEUTICA NV
By :_/s/ Ludo F. Lauwers_____________        By : _/s/ Liesbeth Vanhee___________
Name : _Dr. Ludo F. Lauwers, M.D._____        Name : _Liesbeth Vanhee___________
Title :     Senior Vice President _________
Vice-Chairman Management Board
Janssen Pharmaceutica NV

By :_/s/ Peter Putteman_______________        
Name : _Peter Putteman______________        
Title :     General Manager______________
Janssen Supply Chain Beerse                        
Notary Public




A- 2
Portions of this exhibit, indicated by the mark “[***],” have been redacted pursuant to a confidential treatment request. An unredacted version of this exhibit has been filed separately with the Commission.