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License and Equity Agreement
9 Months Ended
Sep. 30, 2022
License And Equity Agreement [Abstract]  
License and Equity Agreement

4. License and Equity Agreement

License and Equity Agreement with Related Party

In May 2015 and June 2018, the Company entered into license agreements (as amended, the “Stanford Agreement”), with The Board of Trustees of the Leland Stanford Junior University (“Stanford”). The Stanford Agreement provides the Company exclusive licenses to certain inventions. As consideration, the Company issued Stanford shares of its common stock and a limited right to purchase equity in future financing. Dr. Edgar G. Engleman, a founder and member of the board of directors of the Company, who is a professor at Stanford, was issued shares of common stock as part of the Company’s Series A financing in September 2016. During the three and nine months ended September 30, 2022, the Company paid Stanford nil and $55,000, respectively, in license and milestone fees under the Stanford Agreements, and paid nil and $40,000 in the same periods in 2021, respectively. In addition, the Company paid Stanford $28,700 and $77,900 during the three and nine months ended September 30, 2022, respectively, for reimbursement of patent maintenance costs which are included as part of general and administrative expense, and paid $26,400 and $54,700 in the same periods in 2021, respectively. Additionally, the Company is required by the Stanford Agreement to make milestone payments up to an aggregate of $0.4 million for the first licensed product that meets certain patent issuance, clinical and regulatory milestones, and an additional milestone payment of $0.2 million for each additional regulatory approval. The Company also agreed in the Stanford Agreement to pay Stanford tiered royalties on the Company’s and its sublicensees’ net sales of licensed products, if any, at low single-digit percentage rates, subject to certain reductions. Dr. Engleman is entitled to receive a share of any royalties that the Company pays to Stanford under the Stanford Agreement with respect to the covered intellectual property. No royalty payments have been made to date.