DNAprint Genomics (DNAG)

[chig]

gunnabeoneday...

Basically, (very basically at that) Orchid paid DNAP a sum to have first option at any developments by the company. The process calls for DNAP, upon discovery or product development, to offer Orchid the chance to purchase from (or partner with) DNAP this "product".
Orchid must meet DNAP's price, (this is where many think that the companies did not see eye to eye).

From that point, if the two do not agree, the product can be offered to others, but any agreement with a htird party can be matched by Orchid, via a certain time period.

The problem this creates is this:
Of a third party wants to make an offer for a DNAP product, the price can assumably be run up by subsequent bids by Orchid, and this whole process can keep third parties from even dealing with DNAP.

Orchid's financial resources are limited, and so is the Option Agreement. Dnap has ways of working around this agreement, and not all discoveries and products are specific to the agreement.

This over-generalized, but may help you as you read the Option Agreement itself. Good luck.