['.', 'Be', 'and', 'Phase', 'Ill', 'in', 'the', 'proposal.', 'The', 'scope,', 'tasks,', 'timing', 'and', 'cost', 'of', 'such', 'further', 'development', 'work', 'shall', 'be', 'mutually', 'agreed', 'upon', 'by', 'the', 'parties.', 'NOW,', 'THEREFORE,', 'the', 'parties', 'agree', 'as', 'follows:', '1.', 'Design', 'Continuum', 'shall', 'perform', 'on', 'a', 'best', 'efforts', 'basis,', 'at', 'its', 'facilities,', 'Phase', '0', 'to', 'completion', 'within', '8', 'to', '12', 'weeks', 'of', 'the', 'date', 'of', 'this', 'Agreement.', 'However,', 'this', 'completion', 'date', 'may', 'be', 'shortened', 'or', 'extended', 'by', 'mutual', 'consent', 'of', 'the', 'parties.', 'In', 'consideration', 'thereof', 'and', 'in', 'consideration', 'of', 'Design', 'Continuum’s', 'agreement', 'to', 'the', 'terms', 'and', 'conditions', 'of', 'this', 'agreement,', 'Philip', 'Morris', 'shall', 'pay', 'for', 'billable', 'time', 'plus', 'additional', 'project', 'costs', '(materials,', 'modeling', 'services,', 'tooling', 'or', 'other', 'services,', 'out-of-pocket', 'expenses', 'and', 'travel).', 'Estimates', 'for', 'these', 'expenses', 'will', 'be', 'provided', 'as', 'appropriate', 'during', 'the', 'process', 'when', 'enough', 'information', 'is', 'available', 'to', 'make', 'accurate', 'projections.', 'Total', 'billable', 'time', 'costs', 'shall', 'not', 'exceed', '$100,000', 'without', 'prior', 'written', 'approval', 'of', 'Philip', 'Morris.', 'All', 'additional', 'project', 'costs', 'actually', 'incurred', 'shall', 'be', 'paid', 'upon', 'receipt', 'of', 'a', 'detailed', 'invoice', '(including', 'receipts)', 'at', 'cost', 'plus', '10%', 'to', 'cover', 'administrative', 'expenses.', 'Additional', 'project', 'costs', 'that', 'exceed', '$1,000', 'must', 'be', 'approved', 'in', 'advance', 'by', 'an', 'authorized', 'representative', 'of', 'PM', 'USA.', 'Total', 'additional', 'project', 'costs', 'are', 'not', 'to', 'exceed', '20%', '[$20,000]', 'of', 'the', 'billable', 'time', 'cost', 'throughout', 'the', 'term', 'of', 'Phase', '0', 'without', 'the', 'prior', 'written', 'approval', 'of', 'PM', 'USA.', '2.', 'Adjustments', 'to', 'cost', 'and/or', 'schedule', 'may', 'be', 'necessary', 'as', 'a', 'result', 'of', 'changes', 'in', 'project', 'description', 'and/or', 'delays', 'initiated', 'by', 'Philip', 'Morris.', 'TREOS696S02']