Annual report pursuant to Section 13 and 15(d)

Commitments and Contingencies

v3.21.2
Commitments and Contingencies
12 Months Ended
Jul. 31, 2021
Commitments and Contingencies Disclosure [Abstract]  
Commitments and Contingencies

Note 9 – Commitments and Contingencies

 

Contingencies

 

In June 2019, Dana Farber Cancer Institute (“DFCI”) and OncoSec (each a “Party” and collectively the “Parties”) entered into a Sponsored Research Agreement (the “SRA”). On May 11, 2020, the SRA was terminated by DFCI, after a dispute arose between the parties. The Parties resolved the dispute through mediation and reached an agreement in principle. OncoSec agreed to pay DFCI a total of $900,000 in full and complete satisfaction of any and all claims that DFCI may have for reimbursement of expenses under the SRA in two equal installments of $450,000, the first of which was due on December 7, 2020 and the second of which was due on March 31, 2021. As of July 31, 2021, the Company paid both installments.

 

The Company is not a party to any other legal proceeding or aware of any other threatened action as of the date of this report.

 

Employment Agreements

 

The Company has entered into employment agreements with certain executive officers and certain other key employees. Generally, the terms of these agreements provide that, if the Company terminates the officer or employee other than for cause, death or disability, or if the officer terminates his or her employment with the Company for good cause, the officer shall be entitled to receive certain severance compensation and benefits as described in each such agreement.

 

On June 24, 2021, the Company and the Company’s former Chief Executive Officer (“CEO”) entered into a separation and release agreement in connection with the former CEO’s termination of employment with the Company, providing for severance payments and benefits to the former CEO consistent with the terms of his existing employment agreement with the Company, including a severance payment of $1,795,500, less tax withholdings, the severance payment was paid in full as of July 31, 2021; the immediate vesting of all stock options and restricted stock units held by him and the expiration date of all stock options was extended to June 24, 2023.