Exhibit 10.5
COMMERCIAL SECURITY AGREEMENT
THIS COMMERCIAL SECURITY AGREEMENT dated October 23 2008, is made and executed
between Advanced Life Sciences Holding, Inc., a Delaware corporation (“Grantor”) and THE LEADERS
BANK (“Lender”). This Agreement is entered into pursuant to that certain Amended and Restated Business
Loan Agreement, dated as of even date herewith, by and between the Advanced Life Sciences, Inc.
(“Borrower”) and the Lender (“Loan Agreement”), whereby the Lender has agreed to lend Ten Million and
00/100 Dollars ($10,000,000.00) to the Borrower subject to the terms and conditions of the Loan Agreement.
GRANT OF SECURITY INTEREST. For valuable consideration, Grantor collaterally assigns and grants to
Lender a security interest in the Collateral to secure the Indebtedness and agrees that Lender shall have the rights
stated in this Agreement with respect to the Collateral, in addition to all other rights which Lender may have by
law.
COLLATERAL DESCRIPTION. The word “Collateral” as used in this Agreement means the following
described property, whether now owned or hereafter acquired, whether now existing or hereafter arising, and
wherever located, in which Grantor is giving to Lender a security interest for the payment of the Indebtedness and
performance of all other obligations of Borrower under the Note and any Related Document:
All inventory, equipment, accounts (including but not limited to all health-care-insurance receivables),
chattel paper, instruments (including but not limited to all promissory notes), letter-of-credit rights, letters
of credit, documents, deposit accounts, investment property, money, other rights to payment and
performance, and general intangibles (including, but not limited to, all software and all payment
intangibles); all attachments, accessions, accessories, fittings, increases, tools, parts, repairs, supplies,
and commingled goods relating to the foregoing property, and all additions, replacements of and
substit