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Commitments and Contingencies
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12 Months Ended | |||
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Jun. 30, 2013
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| Commitments and Contingencies Disclosure [Abstract] | ||||
| Commitments and Contingencies Disclosure [Text Block] |
The Company’s commitments and contractual obligations to Fraunhofer described below, which existed as of and for the year ended June 30, 2013, have been significantly altered as a result of the events described in Note 17 – Subsequent Events. See Note 17 for discussion of $3 million of commitments through December 31, 2015. The TTA requires Fraunhofer to provide the Company with research and development services related to the commercialization of the Technology and allows Fraunhofer to apply the Technology to the development and production of certain vaccines for use in developing countries as defined in the agreement. The TTA requires: 1) the Company, in consideration of Fraunhofer’s performance obligations, to make non-refundable payments to Fraunhofer totaling $10 million in semi-annual installments of $1 million commencing in November 2009; and 2) Fraunhofer to expend at least equal amounts during the same timeframe for research and development services related to the commercialization of the Technology. Additionally, under the terms of the TTA and for a period of 15 years: 1) the Company shall pay Fraunhofer a defined percentage (per the agreement) of all receipts derived by the Company from sales of products produced utilizing the Technology and a defined percentage (per the agreement) of all receipts derived by the Company from licensing the Technology to third parties, with an overall minimum annual payment of $200,000 commencing on December 31, 2010; and 2) Fraunhofer shall pay the Company a defined percentage (per the agreement) of all receipts from sales, licensing, or commercialization of the Technology in developing countries as defined in the agreement. All new intellectual property invented by Fraunhofer during the period of the TTA is owned by and is required to be transferred to iBio. |