Patent Royalty Agreement

Licences may be granted for any number of purposes and over a wide variety of subject matter. In its simplest form, the relationship under many licences will be a party which owns something allowing another party to use that something in return for payment.

Payment under licences often takes the form of royalties – regular payments which are generally a percentage of income generated by the licensee’s activities.

This Patent Royalty Agreement provides for such situations. The terms of this template are sufficiently broad to cover many different patented inventions and can be used with both product patents and process patents.

The licence granted by this agreement may be either exclusive or non-exclusive. Payment is by an initial fee (usually paid on the date of the agreement) followed by royalties. The royalties under this agreement are paid on quarterly basis and are subject to an minimum yearly aggregate. If the total royalties due over that year do not meet the minimum level the licensee will be required to make up the difference.

The terms and conditions of this document are substantially the same as those contained in the Patent and Know-How Licence which is also available from Simply-docs. Users of either of these documents will not need to download the other.

Optional phrases / clauses are enclosed in square brackets. These should be read carefully and selected so as to be compatible with one another. Unused options should be removed from the document.

This Patent Royalty Agreement contains the following clauses:

1. Definitions and Interpretation
2. Technical Information
3. Improvements
4. Confidentiality
5. Grant of Rights
6. Payment
7. Records and Reports
8. Performance
9. Patents
10. Term and Termination
11. Force Majeure
12. General
13. No Waiver
14. Severance
15. Notices
16. Law and Jurisdiction

and the following schedules:

1. Patent Rights
2. Secrecy Undertaking
3. Formal Patent Licence for Registration

This document is in open format. Either enter the requisite details in the highlighted fields or adjust the wording to suit your purposes.

Once you have purchased access to the appropriate document folder click on the “Download Document” button below. You will be asked what you want to do with the file. It is recommended that you save the document to a location of your choice prior to viewing.

Patent Royalty Agreement is part of Business Documents. Just £35.00 + VAT provides unlimited downloads from Business Documents for 1 year.