4



         Upon mot-on duly made, seconded and carried, the contract was au-
thorized approved and executed.



         E. Contract with Merck & Company, Inc., Authorized Approved.

         Mr. Peterson stated to the Board that the Executive Committee on Febru-
ary 17, 1961, accepted a gift check in the amount of $Z2500. 00 from Merck, Sharpe
and Dohme Research Laboratory which was treated as a gift but, in reality, is a
purchase of research work to be done. He stated that Merck and Company want
to reserve certain rights and privileges in exchange for setting up this phase of
a study with KM-360. The contract provides that the University (1) will conduct
an investigation and study of anthelmintic MK-360 against internal parasites of
domestic animals in accordance with an outline to be agreed upon by the Experi-
ment Station and Merck and Company; (2) give four months notice to Merck prior
to publishing the results of the research; and (3-) give to Merck a non-exclusive,
unrestricted license to practise the inventions covered by the claims of any
letters patent which may issue on which Merck has borne the expense. A reason-
able royalty is to be paid to the University on net sales.

        Mr. Peterson recommended that, since this is a grant for research
work and not a gift to the University, this correction appear in the Minutes of
February 17, 1961, and that this Agreement be approved and authorized executed.

        Upon motion duly made, seconded and carried, the Agreement was
approved and authorized executed on behalf of the University.



        F. Agreement with Garda Farms, Dublin, Ohio, Approved.

        Mr. Peterson submitted to the Board a Memorandum of Understanding
by the Garda Farms and the University of Kentucky setting forth conditions of
sale of an Aberdeen-Angus bull, U.K. Whitneymere, 118th registration No.
3037930, calved September 12, 1959. He explained that the niversity-had
raised the subject bull and was willing to sell two-thirds interest in it, and the
Garda Farms, Dublin, Ohio, was willing to buy two-thirds interest for
$2, 300. 00. He explained that the Agreement provides that the University retain
a one-third interest in the bull and the right to collect semen. The Garda Farms
will maintain the bull on their farm at no expense to the University. A purchase
option if either party desires to sell is included.

        Mr. Peterson recommended that the sale agreement be approved, and
upon motion duly seconded and carried, the sale agreement was approved and
authorized executed.



        G. Agreement between Salmon Corporation and University of Kentucky
Approved.

        Mr. Peterson submitted a contract agreement between Salmon Corpora-
tion, through the Mereworth Farm, Fayette County, and the University of Kentucky
whereby the University would acquire one-half interest in a registered Hereford
bull, Silver Prince 194th, No. 11077186, with one-half interest being retained
by Salmon Corporation.