Exhibit 10.2
Execution
Draft
ASSET PURCHASE
AGREEMENT
BY AND BETWEEN
STRATAGENE
CORPORATION
AND
CATALYST ASSETS
LLC
Dated as of April 5,
2007
SCHEDULES AND
EXHIBITS
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Schedule 2.1(a)
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Assigned Patents
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Schedule 2.1(b)
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Real Property
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Schedule 2.1(c)
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Tangible Assets
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Schedule 2.1(d)
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Assigned Contracts
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Schedule 2.1(e)
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Assigned Claims
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Schedule 2.7
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Excluded Liabilities
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Schedule 6.6
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Third Party Consents
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Schedule 6.7
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Listed Employees
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Exhibit A
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Form of Assignment and Assumption
Agreement
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Exhibit B
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Form of Bill of Sale
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Exhibit C
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Form of Assignment and License
Agreement
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Exhibit D
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Purchase Price Allocation
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ASSET PURCHASE
AGREEMENT
THIS ASSET PURCHASE AGREEMENT (the
“ Agreement ”), is made and entered into as of
April 5, 2007 by and between Catalyst Assets LLC, a Delaware
limited liability company (“ Buyer ”) and
Stratagene Corporation, a Delaware corporation (the “
Seller ”).
RECITALS
A.
Buyer desires to purchase from
Seller, and Seller desires to sell to Buyer, certain assets of
Seller, in exchange for the assumption of certain liabilities and
the other consideration set forth below (such transaction, the
“ Asset Purchase ”).
B.
Seller, on the one hand, and Buyer,
on the other hand, desires to make certain representations,
warranties, covenants and other agreements in connection with the
transactions contemplated hereunder.
C.
Simultaneously with the execution
and delivery of this Agreement, Seller is entering in an Agreement
and Plan of Merger (the “ Merger Agreement ”)
with Agilent Technologies, Inc., a Delaware corporation (“
Parent ”), and Jackson Acquisition Corp., a Delaware
corporation and a wholly owned subsidiary of Parent, which provides
for the merger of Seller with and into Merger Sub, with Seller
surviving the merger as a wholly-owned subsidiary of Parent (the
“ Merger ”). Joseph A. Sorge (the “
Principal ”) is the majority stockholder, an officer,
a director and a key employee of both Seller and Buyer and will
receive substantial consideration in connection with the Merger,
including but not limited to the value attributable to the
Principal’s equity in Seller. The consummation of the
transactions contemplated by this Agreement are conditional upon
and shall be effected only following the consummation of the
Merger.
D.
Simultaneously with the execution
and delivery of this Agreement, Parent has entered into a
Non-Competition Agreement with the Principal, in which he has
agreed to a restrictive covenant similar to the covenants provided
by Buyer herein with respect to the conduct of any business
competitive with the business of Seller as currently conducted and
as currently proposed to be conducted other than the Permitted
Business Purpose. The agreement of the Principal and of Buyer to
provide such covenants is a material inducement to the willingness
of Parent to enter into the Merger Agreement, to consummate the
Merger and to agree to the consummation by Seller, as the surviving
corporation of the Merger and wholly-owned subsidiary of Parent, of
the Asset Purchase and the other transactions contemplated by this
Agreement.
E.
Simultaneously with the execution
and delivery of this Agreement, Seller and Buyer have entered into
that certain license agreement (including all schedules and
exhibits attached thereto, the “ License Agreement
”) pursuant to which Seller and Buyer will each license to
the other the right to use certain intellectual
property.
NOW, THEREFORE, in consideration of
the mutual agreements, covenants and other premises set forth
herein, the mutual benefits to be gained by the performance
thereof, and for other good and valuable consideration, the receipt
and sufficiency of which are hereby acknowledged and accepted, the
parties hereby agree as follows:
ARTICLE I
DEFINITIONS
1.1
Capitalized Terms
. For all purposes of this
Agreement, the following terms shall have
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the following respective
meanings:
(a)
“ Affiliate ”
means with respect to any Person, another Person that directly, or
indirectly through one or more intermediaries, controls, is
controlled by, or is under common control with, such first Person,
where “control” means the possession, directly or
indirectly, of the power to direct or cause the direction of the
management policies of a Person, whether through the ownership of
voting securities, by contract, as trustee or executor, or
otherwise.
(b)
“ Business Day ”
shall mean a day (i) other than Saturday or Sunday, and (ii) on
which commercial banks are open for business in San Francisco,
California.
(c)
“ Code ” means
the Internal Revenue Code of 1986, as amended.
(d)
“ COBRA ” means
the Consolidated Omnibus Budget Reconciliation Act of 1985, as
amended, and the rules and regulations promulgated
thereunder.
(e)
“ Contract ”
means any written legally binding contract, agreement, instrument,
commitment, obligation or undertaking.
(f)
“ Delaware Law ”
means the Delaware General Corporation Law.
(g)
“ Effective Time
” means the Effective Time of the Merger as such term is
defined in the Merger Agreement.
(h)
“ ERISA ” means
the Employment Retirement Income Security Act of 1974, as amended,
and the rules and regulations promulgated thereunder.
(i)
“ Governmental Entity
” shall mean any supranational, national, state, municipal,
local or foreign government, any court, tribunal, arbitrator,
administrative agency, commission or other governmental official,
authority or instrumentality, in each case whether domestic or
foreign, any stock exchange or similar self-regulatory organization
or any quasi-governmental or private body exercising any
regulatory, Taxing or other governmental or quasi-governmental
authority.
(j)
“ Law ” means
with respect to any Person, any domestic or foreign, federal, state
or local statute, law, ordinance, rule, regulation, order, writ,
injunction, judgment, decree or other requirement of any
Governmental Entity.
(k)
“ Liabilities ”
mean debts, liabilities and obligations, whether accrued or fixed,
absolute or contingent, matured or unmatured, determined or
determinable, known or unknown, including those arising under any
Law, action or governmental order and those arising under any
Contract.
(l)
“ Person ” means
any natural person, corporation, company, limited liability
company, general partnership, limited liability partnership, trust,
estate, proprietorship, joint venture, association, organization,
entity or Governmental Entity.
(m)
“ Purchase Price
” means an aggregate of $6,600,000.00 in cash.
(n)
“ Securities Act
” shall mean the Securities Act of 1933, as
amended.
(o)
“ Tax ” (and,
with correlative meaning, “ Taxes ” and “
Taxable ”) shall mean (a) any income, alternative
or add-on minimum tax, gross income, estimated, gross receipts,
sales, use, ad valorem, value added, transfer, franchise, capital
stock, profits, license, registration, withholding, payroll, social
security (or equivalent), employment, unemployment, disability,
excise, severance, stamp,
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occupation, premium, property (real,
tangible or intangible), environmental or windfall profit tax,
custom duty or other tax, governmental fee or other like assessment
or charge of any kind whatsoever, together with any interest or any
penalty, addition to tax or additional amount (whether disputed or
not) imposed by any Governmental Entity responsible for the
imposition of any such tax (domestic or foreign), (b) any liability
for the payment of any amounts of the type described in clause (a)
of this sentence as a result of being a member of an affiliated,
consolidated, combined, unitary or aggregate group for any Taxable
period, and (c) any liability for the payment of any amounts of the
type described in clause (a) or (b) of this sentence as a result of
being a transferee of or successor to any Person or as a result of
any express or implied obligation to assume such Taxes or to
indemnify any other Person.
(p)
“ Tax Returns ”
means federal, state, local and foreign returns, estimates,
information statements and reports required to be filed which
relate to any and all Taxes.
(q)
“ WARN Act ”
means the Worker Adjustment Retraining Notification Act of 1988, as
amended, and the rules and regulations promulgated
thereunder.
Other capitalized terms defined
elsewhere in this Agreement and not defined in this Article
I shall have the meanings assigned to such terms in this
Agreement.
1.2
Construction
.
(a)
For purposes of this Agreement,
whenever the context requires: the singular number will include the
plural, and vice versa; the masculine gender will include the
feminine and neuter genders; the feminine gender will include the
masculine and neuter genders; and the neuter gender will include
the masculine and feminine genders.
(b)
Any rule of construction to the
effect that ambiguities are to be resolved against the drafting
party will not be applied in the construction or interpretation of
this Agreement.
(c)
As used in this Agreement, the words
“include” and “including” and variations
thereof will not be deemed to be terms of limitation, but rather
will be deemed to be followed by the words “without
limitation.”
(d)
Except as otherwise indicated, all
references in this Agreement to “Articles,”
“Schedules,” “Sections” and
“Exhibits” are intended to refer to Articles,
Schedules, Sections and Exhibits to this Agreement.
(e)
The headings in this Agreement are
for convenience of reference only, will not be deemed to be a part
of this Agreement, and will not be referred to in connection with
the construction or interpretation of this Agreement.
(f)
Capitalized terms not otherwise
defined herein shall have the meanings ascribed to them in the
Merger Agreement.
ARTICLE II
PURCHASE AND SALE
2.1
Purchase and Sale of
Assets . Subject to
the terms and conditions set forth in this Agreement, Seller agrees
to sell, convey, transfer and assign to Buyer, and Buyer agrees to
purchase from Seller all of Seller’s right, title and
interest in and to the following (collectively, the “
Acquired Assets ”):
(a)
the patents and patent applications
listed in Schedule 2.1(a) and all reissues,
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reexaminations, substitutions,
divisionals and continuations thereof, excluding continuations
in-part (the “ Assigned Patents ”);
(b)
the real property located at 3545
South Park Drive, Jackson, Wyoming 83001, as further defined and
described on Schedule 2.1(b) (the “ Real
Property” );
(c)
those tangible assets set forth on
Schedule 2.1(c) (the “ Tangible Assets
”);
(d)
all of Seller’s rights under
the Contracts set forth on Schedule 2.1(d) (the “
Assigned Contracts ”); and
(e)
all of Seller’s rights to
those claims set forth on Schedule 2.1(e) , to the extent
permissible by Law.
2.2
Excluded Assets
. Notwithstanding anything
contained herein, or in any Collateral Agreement or other
instrument, conveyance or document delivered pursuant to this
Agreement, to the contrary, Seller shall retain and the Acquired
Assets shall not include any of Seller’s rights, titles or
interests in and to any asset or property, whether tangible or
intangible, real or personal, wherever situated, that is not
expressly listed as an Acquired Asset pursuant to
Section 2.1 above (collectively, the “
Excluded Assets ”).
2.3
Delivery of Acquired
Assets . Upon the
Closing, all of the right, title and interest of Seller in and to
all of the Acquired Assets shall pass to Buyer and Seller shall
deliver to Buyer the Acquired Assets at the location at which such
Acquired Assets are situated at Closing.
2.4
Instruments of
Conveyance . At the
Closing, Seller and Buyer shall enter into: (i) an Assignment and
Assumption Agreement substantially in the form of
Exhibit A hereto (the “ General Assignment
”); (ii) with respect to the Real Property, such deeds
(without warranty) individually, a “ Deed ” and
collectively, the “ Deeds ” and other good and
sufficient instruments of conveyance as shall be effective to vest
in Buyer all right, title and interest of Seller in and to the Real
Property; (iii) a Bill of Sale substantially in the form of
Exhibit B hereto (the “ Bill of Sale
”); and (iv) an Assignment and License Agreement
substantially in the form of Exhibit C hereto (the “
Patent Assignment ”) with respect to the sale,
transfer and assignment to Buyer of the Assigned Patents; (the
General Assignment, Bill of Sale, Patent Assignment, Deeds and
other required real property agreements and instruments of
conveyance being collectively referred to herein as the “
Collateral Agreements ”).
2.5
Further Assurances
. At any time, or from time to
time, after the Closing, upon Buyer’s reasonable request and
without any further consideration, Seller shall, without expense to
Seller: (i) execute and deliver to Buyer such other instruments of
sale, transfer, conveyance, assignment and confirmation; and (ii)
take such other commercially reasonable actions, as may be
reasonably necessary in order more effectively to transfer, convey
and assign to Buyer, and to confirm Buyer’s title to, all of
the Acquired Assets.
2.6
Assumed Liabilities
. Effective upon the Closing,
Buyer shall assume and thereafter shall fully pay, perform
and discharge, or cause to be fully paid, performed or discharged,
when due, the following Liabilities (collectively, the
“ Assumed Liabilities ”):
(a)
those Liabilities arising after the
Closing under the Assigned Contracts;
(b)
all Liabilities related to
Transaction Taxes (as defined in Section 6.10 );
(c)
those Liabilities relating to the
Transferred Employees (as defined in Section
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6.7(b) ) set forth in Section 6.7(c) of this
Agreement; and
(d)
all Liabilities with respect to the
use, operation or ownership of the Acquired Assets by Buyer
following the Closing.
Buyer shall discharge the Assumed
Liabilities on a timely basis in accordance with their terms and
Buyer agrees that Seller shall have no liability for any failure of
Buyer to discharge the Assumed Liabilities in accordance with their
terms. Buyer shall indemnify and hold harmless Seller, its
directors, officers, agents, employees and Affiliates from and
against any and all losses, Liabilities, damages, costs and
expenses (including costs of investigation and defense and
reasonable fees and expenses of attorneys, experts and other
professionals) directly or indirectly, whether or not due to a
third party claim, arising out of, resulting from or in connection
with the Assumed Liabilities.
2.7
Excluded Liabilities
. Other than as set forth
above in Section 2.6 , or elsewhere expressly in this
Agreement or in the Collateral Agreements, Buyer is not assuming,
and nothing contained in this Agreement shall be construed as an
assumption by Buyer, of any Liabilities of Seller (the “
Excluded Liabilities ”) and such Excluded Liabilities
shall remain the liabilities and obligations of Seller following
the Closing. For the avoidance of doubt, Buyer is not assuming any
liability with respect to the Prior Payment Claims as defined in
Schedule 2.7 attached hereto. By way of example, Buyer is not
assuming any liability of Seller with regard to any Tax Liability
other than those Tax Liabilities expressly provided
herein.
2.8
Assignment of Contracts or
Rights .
Notwithstanding anything contained in this Agreement or any
Collateral Agreement to the contrary, neither this Agreement nor
any Collateral Agreement shall constitute an agreement to assign
any Acquired Asset or any claim or right or any benefit arising
thereunder or resulting therefrom if an attempted assignment
thereof, without the consent of any party thereto or any third
party (including any Governmental Entity), would constitute a
breach or other contravention thereof or of any applicable
Law.
2.9
Withholding
. Buyer shall be entitled to
deduct and withhold from the Purchase Price otherwise payable
pursuant to this Agreement such amounts as it is required to deduct
and withhold with respect to the making of such payment under the
Code, or any provision of state, local or foreign Tax Law.
Any amount so withheld shall be remitted to the appropriate
Governmental Entity. To the extent that amounts are so
withheld by Buyer, such withheld amounts shall be treated for all
purposes of this Agreement as having been paid to the
Seller.
ARTICLE III
CLOSING AND CONSIDERATION
3.1
Closing . The closing of the transactions
contemplated by this Agreement and the Collateral Agreements (the
“ Closing ”) will take place at the principal
offices of Seller, or at such other place as Buyer and Seller
mutually agree, commencing at 12:01 a.m., Pacific Standard Time on
the first Business Day following the Effective Time.
3.2
Consideration
. At the Closing, as
consideration for the sale, transfer and assignment of the Acquired
Assets to Buyer, Buyer shall pay to Seller the Purchase Price, in
cash by wire transfer to Seller in accordance with the wire
transfer instructions as delivered to Buyer by Seller not less than
two (2) Business Days prior to the Closing.
3.3
Allocation of Purchase
Price . The
Purchase Price shall be allocated to the Acquired Assets in the
manner to be set forth on Exhibit D attached hereto
which shall be mutually agreed by Seller
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and Buyer consistent with the
provisions of Section 1060 of the Code and the Treasury
Regulations thereunder as soon hereafter as is reasonably
practicable (the “ Purchase Price Allocation
”). When agreed by the parties, the Purchase Price
Allocation will be attached hereto as Exhibit D and
form a part hereof. The parties shall file Forms 8594
consistent with the Purchase Price Allocation and each party agrees
to provide the other with a copy of its Form 8594 promptly
after the filing thereof. Neither Buyer nor Seller shall take
a position that is inconsistent with the Purchase Price Allocation
in any filings, declarations, reports or refund claims with any
Governmental Entity, in any litigation or in any matter relating to
taxes.
ARTICLE IV
REPRESENTATIONS AND WARRANTIES OF SELLER
Seller hereby represents and
warrants to Buyer, as follows:
4.1
Organization of Seller
. Seller is a corporation duly
organized, validly existing and in good standing under the Laws of
the state of Delaware. Seller has the corporate power to own
its properties and to carry on its business as currently
conducted.
4.2
Authority . Seller has all requisite corporate power
and authority to enter into this Agreement and the Collateral
Agreements and to consummate the transactions contemplated hereby
and thereby. The execution and delivery of this Agreement and
the Collateral Agreements and the consummation of the transactions
contemplated thereby have been duly authorized by all necessary
corporate action on the part of Seller, and no further action is
required on the part of Seller to authorize this Agreement, the
Collateral Agreements and the transactions contemplated hereunder
and thereunder. This Agreement has been duly executed and
delivered by Seller and, assuming the due authorization, execution
and delivery by Buyer , constitutes the valid and binding
obligation of Seller, enforceable against Seller in accordance with
its terms, except to the extent that such enforcement is limited by
(x) bankruptcy, insolvency, reorganization, moratorium or other
similar Laws now or hereafter in effect relating to
creditors’ rights generally and (y) general principles of
equity (regardless of whether enforceability is considered in a
proceeding in equity or at Law).
4.3
No Conflict
. The execution and delivery
by Seller of this Agreement, the Collateral Agreements and the
consummation of the transactions contemplated hereby and thereby,
will not conflict with or result in any violation of or default
under (with or without notice or lapse of time, or both) (a) any
provision of the certificate of incorporation, as amended or
bylaws, as amended, of Seller, or (b) any judgment, order, decree,
statute, Law, ordinance, rule or regulation applicable to Seller or
any of its properties (whether tangible or intangible) or assets
except, in each case, where such conflict, violation or default
would not be material to Seller’s ability to consummate the
Asset Purchase or to perform its obligations under this Agreement
and the Collateral Agreements or would not affect the legality,
validity or enforceability of this Agreement or the Collateral
Agreements.
4.4
Consents . No consent, waiver, approval, order or
authorization of, or registration, declaration or filing with any
Governmental Entity is required by or with respect to Seller in
connection with the execution and delivery of this Agreement, the
Collateral Agreements or the consummation of the transactions
contemplated hereby and thereby except for such consents, waivers,
approvals, orders, authorizations, registrations, declarations and
filings which, if not obtained or made, would not be material to
Seller’s ability to consummate the Asset Purchase or to
perform its obligations under this Agreement and the Collateral
Agreements or would not affect the legality, validity or
enforceability of this Agreement or the Collateral Agreements, and
except for any Collateral Agreements related to the Real
Property.
4.5
NO WARRANTIES
. EXCEPT FOR THE EXPRESS
REPRESENTATIONS AND
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WARRANTIES MADE BY SELLER IN THIS
ARTICLE IV , SELLER MAKES NO REPRESENTATION OR WARRANTY,
EXPRESS OR IMPLIED, CONCERNING THE ACQUIRED ASSETS AND ASSUMED
LIABILITIES, IT BEING SPECIFICALLY UNDERSTOOD AND AGREED BY BUYER
THAT, EXCEPT FOR THE EXPRESS REPRESENTATIONS AND WARRANTIES SET
FORTH IN THIS ARTICLE IV , THE ACQUIRED ASSETS AND ASSUMED
LIABILITIES ARE BEING SOLD AND TRANSFERRED “AS IS” IN
ALL RESPECTS. SELLER SPECIFICALLY DISCLAIMS ANY WARRANTY OF
MERCHANTABILITY OR SUITABILITY OR FITNESS FOR ANY PARTICULAR
PURPOSE OF BUYER WITH RESPECT TO THE ACQUIRED ASSETS, WHETHER OR
NOT SELLER HAS BEEN MADE AWARE OF SUCH PURPOSE.
4.6
Encumbrances
. Between the Effective Time
and the Closing (the “ Relevant Period ”), none
of the Acquired Assets have become subject to any material
mortgage, lien, pledge, charge, security interest or other similar
encumbrance solely as a result of any actions taken by Seller or
Parent during the Relevant Period or solely by reason of Seller
becoming a subsidiary of Parent.
ARTICLE V
REPRESENTATIONS AND WARRANTIES OF BUYER
Buyer hereby represents and warrants
to Seller as follows:
5.1
Organization, Good Standing and
Qualification .
Buyer is a limited liability company duly organized, validly
existing, and in good standing under the laws of Delaware.
Buyer has the limited liability company power to own its properties
and to carry on its business as currently conducted.
5.2
Authority . Buyer has all requisite corporate power
and authority to enter into this Agreement and the Collateral
Agreements and to consummate the transactions contemplated hereby
and thereby. The execution and delivery of this Agreement and
the Collateral Agreements and the consummation of the transactions
contemplated thereby have been duly authorized by all necessary
corporate action on the part of Buyer, and no further action is
required on the part of Buyer to authorize this Agreement, the
Collateral Agreements and the transactions contemplated hereunder
and thereunder. This Agreement has been duly executed and
delivered by Buyer and, assuming the due authorization, execution
and delivery by Seller, constitutes the valid and binding
obligation of Buyer, enforceable against Buyer in accordance with
its terms, except to the extent that such enforcement is limited by
(x) bankruptcy, insolvency, reorganization, moratorium or other
similar Laws now or hereafter in effect relating to
creditors’ rights generally and (y) general principles of
equity (regardless of whether enforceability is considered in a
proceeding in equity or at Law).
5.3
No Conflict
. Neither the execution and
delivery of this Agreement, the Collateral Agreements, nor the
consummation of the transactions contemplated hereby and thereby,
will conflict with, or result in any violation of, or default under
(with or without notice or lapse of time, or both) (i) any
provision of the certificate of incorporation, as amended, and the
bylaws, as amended, of Buyer, (ii) any Contract to which Buyer or
any of its material properties or assets are subject, or (iii) any
judgment, order, decree, statute, law, ordinance, rule or
regulation applicable to Buyer or its properties or assets, except
in each case where such conflict, violation or default would not be
material to Buyer’s ability to consummate the Asset Purchase
or to perform its obligations under this Agreement and the
Collateral Agreements or would not affect the legality, validity or
enforceability of this Agreement or the Collateral
Agreements.
5.4
Consents . No consent, waiver, approval, order or
authorization of, or registration, declaration or filing with, any
Governmental Entity is required by or with respect to Buyer in
connection with the execution and delivery of this Agreement and
the Collateral Agreements or the consummation of
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the transactions contemplated hereby
and thereby, except for such consents, waivers, approvals, orders,
authorizations, registrations, declarations and filings which, if
not obtained or made, would not be material to Buyer’s
ability to consummate the Asset Purchase or to perform its
obligations under this Agreement and the Collateral Agreements or
would not affect the legality, validity or enforceability of this
Agreement or the Collateral Agreements.
5.5
Financing . Buyer will have available to it upon the
Closing, sufficient funds to consummate the transactions
contemplated by this Agreement and the Collateral Agreements,
including payment in full of the amounts payable to Seller under
Article III .
5.6
Real Property
. There are no representations
or warranties of any kind whatsoever, express or implied, made by
Seller in connection with the Real Property, the physical condition
of the Real Property (including, without limitation, whether or not
the Real Property contains any hazardous or toxic substances),
whether the Real Property complies with applicable Laws, or whether
the Real Property is appropriate for Buyer’s intended
use. Buyer is not relying on any statement or representation
of Seller, its agents or its representatives. Buyer, in
entering into this Agreement and in completing its purchase of the
Real Property is relying entirely on its own knowledge and
investigation of the Real Property. Buyer shall purchase the
Real Property in its “AS IS” condition WITH ALL
FAULTS as of the date of the Closing and waives and releases all
known and unknown damages, losses, costs, claims, demands, causes
of actions, liabilities and expenses, including, without
limitation, interest, penalties, attorneys’ fees’ and
expenses of investigation, lost profits, diminution in value,
response action, removal action or remedial action (collectively
“ Claims ”) against Seller as a result of the
condition or status of the Real Property. Upon Closing, Buyer
shall assume the risk that adverse matters, including but not
limited to, defects and adverse physical and environmental
conditions, and Buyer, upon Closing shall be deemed to have waived,
relinquished and released Seller, its Affiliates, and each of their
respective officer, directors, employees, stockholders, partners
and agents (collectively, the “ Released Parties
”) from and against any and all Claims that Buyer might have
asserted or alleged against the Released Parties at any time by
reason of or arising out of any latent or patent defects or
physical conditions, violations of any applicable Laws regarding
the Real Property. Buyer hereby waives the provisions of any
applicable Law which provides that a general release does not
extend to claims which the releasing party does not know or suspect
to exist in its favor at the time of executing the release, which
if known by such party would have materially affected its decision
to release such claims.
ARTICLE VI
COVENANTS AND AGREEMENTS
6.1
Expenses . Except as provided in Section
6.10(c) , whether or not the transactions contemplated by this
Agreement are consummated, all fees and expenses incurred in
connection herewith including all legal, accounting, financial
advisory, consulting and all other fees and expenses of third
parties incurred by a party in connection with the negotiation and
effectuation of the terms and conditions of this Agreement and the
transactions contemplated hereby, shall be the obligation of the
respective party incurring such fees and expenses.
6.2
Public Disclosure
. No party shall issue any
statement or communication to any third party (other than their
respective agents) regarding the subject matter of this Agreement
or the transactions contemplated hereby, including, if applicable,
the termination of this Agreement and the reasons therefor, without
the consent of the other party, which consent shall not be
unreasonably withheld, except that this restriction shall be
subject to Seller’s obligation to comply with applicable
securities Laws and the rules of the NASDAQ National
Market.
6.3
Reasonable Efforts
. Subject to the terms and
conditions provided in this Agreement,
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each of the parties hereto shall use
commercially reasonable efforts to take promptly, or cause to be
taken, all actions, and to do promptly, or cause to be done, all
things necessary, proper or advisable under applicable Laws to
consummate and make effective the transactions contemplated hereby,
to obtain all necessary waivers, consents and approvals and to
effect all necessary registrations and filings and to remove any
injunctions or other impediments or delays, legal or otherwise, in
order to consummate and make effective the transactions
contemplated by this Agreement for the purpose of securing to the
parties hereto the benefits contemplated by this
Agreement.
6.4
Patent Claims
. If (i) Buyer brings a claim
arising out of or related to the Assigned Patents against Seller or
its Affiliates, customers or other third party that exploits or
otherwise disposes of a Seller product or service, and (ii) Seller
has a legal obligation or right to defend such claim, then Seller
may provide a defense including but not limited to the initiation
of proceedings against Buyer or its Affiliates related to such
Assigned Patents and/or otherwise challenging the enforceability or
validity of the Assigned Patents on behalf of the Seller, it
Affiliates, customers or other third parties. Buyer hereby
expressly waives any right to, and agrees not to assert, a defense
of assignor estoppel against Seller in any proceeding against Buyer
or its Affiliates related to the Assigned Patents by Seller or
otherwise in a proceeding in which Seller challenges the
enforceability or validity of the Assigned Patents on behalf of the
Seller, it Affiliates, customers or other third parties.
6.5
Notification of Certain
Matters . Each of
Buyer and Seller shall give prompt notice to the other of: (i) the
occurrence or non-occurrence of any event, the occurrence or
non-occurrence of which is likely to cause any representation or
warranty of Buyer or of Seller, as the case may be, contained in
this Agreement to be untrue or inaccurate in any material respect
at or prior to the Closing Date, and (ii) any failure of Buyer or
Seller, as the case may be, to comply with or satisfy in any
material respect any covenant, condition or agreement to be
complied with or satisfied by it hereunder; provided,
however, that the delivery of any notice pursuant to this
Section 6.5 shall not (a) limit or otherwise affect any
remedies available to the party receiving such notice or (b)
constitute an acknowledgment or admission of a breach of this
Agreement. No disclosure by Seller or Buyer pursuant to this
Section 6.5 shall prevent or cure any misrepresentations,
breach of warranty or breach of covenant.
6.6
Assignment of Assigned
Contracts .
(a)
Third Party Consents
. Seller shall use commercially
reasonable efforts to obtain those consents, waivers and approvals
of third parties with respect to the transactions contemplated by
this Agreement that are identified on Schedule 6.6
hereto. Buyer shall fully co-operate with and assist Seller
in such efforts. The failure by Seller to assign at Closing any
Acquired Asset shall not relieve any of the parties hereto from its
respective obligations to consummate the transactions contemplated
by this Agreement upon the terms provided herein.
(b)
Non-Assigned Contracts
. If any consent, waiver or approval
referenced in Section 6.6(a) above is not obtained, or if an
attempted assignment of an Assigned Contract would be ineffective
or would adversely affect the rights thereunder so that Buyer would
not in fact receive all such rights, (i) Seller shall use
commercially reasonably efforts to (A) provide Buyer with the
economic benefits of such Assigned Contract, (B) cooperate in any
lawful arrangement for the purpose of providing such benefits to
Buyer, and (C) enforce at the request and expense of and for the
benefit of Buyer any rights of Seller arising from such Assigned
Contract, including the right to elect to terminate such Assigned
Contract in accordance with the terms thereof upon the written
request of Buyer, and (ii) Buyer shall perform all obligations of
Seller under such Assigned Contract. Buyer agrees to pay,
perform and discharge, and indemnify Seller against and hold Seller
harmless from, all Liabilities relating to such performance or any
failure by Buyer to so perform the