RE: New P-company ?
posted on
Jul 19, 2005 05:04PM
More corroborating excerpts from the master agreement.
3.5 Effect of Certain Events on Membership.
(a) Bankruptcy, Foreclosure, or Other Similar Event. In the event
of a Member`s bankruptcy, or the foreclosure upon or other similar proceeding
with respect to that Member`s interest in the MSD Patents or that Member`s
Percentage Interest:
(i) any and all rights that Member may have under Section 4.2
of this Operating Agreement shall automatically terminate; and
(ii) any and all rights that Member may have under Sections
2.2.1 and 2.2.2 of the P-Newco License or T-Newco License, as the case may be,
shall automatically and without further action by any of the parties thereto be
irrevocably transferred to the Company.
(b) Change of Control. In the event of a Change of Control of
Patriot or TPL:
(i) any and all rights Patriot or TPL may have under Section
4.2 of this Operating Agreement, as the case may be, shall automatically
terminate; and
(ii) Patriot or TPL`s rights under Sections 2.2.1 and 2.2.2 of
the P-Newco License or T-Newco License, as the case may be, shall automatically
and without further action by any of the parties thereto be irrevocably
transferred to the Company.
3.6 Restrictions on Transfers of Interests. Except as provided in
Section 5.4, no Member shall sell, assign, pledge, mortgage or otherwise dispose
of or transfer (a ``Transfer``) its Percentage Interest in the Company, whether in
whole or in part, without the consent of the Management Committee, which consent
may be withheld for any or for no reason.
3.7 No Authority as Agent. Except as may be authorized by the
Management Committee, or as set forth in the Commercialization Agreement, no
Member shall have the authority in its or his capacity as a Member to enter into
any transaction on behalf of the Company or to otherwise bind the Company.