PATENT LICENCE PATENT LICENCE AGREEMENTAGREEMENT

Economic scope: economy Economic scope: economy of scaleof scale

• Legal sources: Lanham act, customs, Legal sources: Lanham act, customs, Civil lawCivil law

• At the core: invention – protection of At the core: invention – protection of legal-legalized monopoly of INVENTORlegal-legalized monopoly of INVENTOR

• PL contract transfers /conveys the PL contract transfers /conveys the results of invention from the results of invention from the LICENSOR to LICENSEELICENSOR to LICENSEE

• RIGHT TO EXPLOIT the OBJECT of the RIGHT TO EXPLOIT the OBJECT of the contract which can be:contract which can be:

Intelectual property Intelectual property rights:rights:

• 1 PATENTS legaly protected – registred invention 1 PATENTS legaly protected – registred invention which is tecnically feesible and applicable and which is tecnically feesible and applicable and NEWNEW

• 2. TRADE MARK – protected sign ( Logo- Brand)2. TRADE MARK – protected sign ( Logo- Brand)• 3.INDUSTRIAL DESIGN 3.INDUSTRIAL DESIGN • 4.KNOW HOW ( Not: matematical formula,games, 4.KNOW HOW ( Not: matematical formula,games,

computer programme, infomations, commercial computer programme, infomations, commercial knowledge)knowledge)

• Alternative: consultancy agreementsAlternative: consultancy agreements• Marks of geographical origin of product or serviceMarks of geographical origin of product or service• Layout – design of integrated circuitsLayout – design of integrated circuits

Functions of the Functions of the TrademarkTrademark

• - identification /diferentiation- identification /diferentiation• -warranty of quality-warranty of quality• Market force:means of competitionMarket force:means of competition• Celebtity trademarkCelebtity trademark

Exclusivity scope and Exclusivity scope and kindskinds

• 1. Exclusive licence –non exclusive1. Exclusive licence –non exclusive• Nonexclusive can be exploited also by Nonexclusive can be exploited also by

licensor and licensor can give licence to licensor and licensor can give licence to other subject in the same areaother subject in the same area

• 2. Territorial scope of exploitation: cam 2. Territorial scope of exploitation: cam be on the whole area of state, region, be on the whole area of state, region, more statesmore states

• Limitations of Liocensor to give to Limitations of Liocensor to give to somebody else on the same area.somebody else on the same area.

• Paralel licenseeParalel licensee• Limitation of paralele import not Limitation of paralele import not

prohibited if there is a paralel PATENT!prohibited if there is a paralel PATENT!

1. Obligations of 1. Obligations of LICENSORLICENSOR

• - 1: Sole and exclusive owner who - 1: Sole and exclusive owner who grants to the licensee (exclusive) right grants to the licensee (exclusive) right and license to MANUFACTURE, SELL and license to MANUFACTURE, SELL and USE…. Inventions patentedand USE…. Inventions patented

• Area: through out the Croatia – Area: through out the Croatia – country and its territoriescountry and its territories

• 2.Warranties that he is the sole and 2.Warranties that he is the sole and exclusive owner and has right to grant exclusive owner and has right to grant entire right / titleentire right / title

• 3. Warranties thet patent can be 3. Warranties thet patent can be executed and exploited –fitness for executed and exploited –fitness for purpose warrantiespurpose warranties

• 3. ROYALITIES percentage from sale3. ROYALITIES percentage from sale• 1-2 % for consumer /luxury products 5 1-2 % for consumer /luxury products 5

an more % industtrial productsan more % industtrial products• 4. FEE lump sum bas price of licensee4. FEE lump sum bas price of licensee• Statments of saleStatments of sale

LICENSEE:LICENSEE:

• -Exploit patent in accordance with -Exploit patent in accordance with the contract, description of Patent, the contract, description of Patent, instructionsinstructions

• .exploitation of subsequent .exploitation of subsequent inovations of contractedinovations of contracted

• - Keeping business secreets- Keeping business secreets

Licensee of trademark.Licensee of trademark.

• - indpendently or together with petent- indpendently or together with petent• -provided that the technology is also -provided that the technology is also

conveyed which warranties the same conveyed which warranties the same qualityquality

Terms of durationTerms of duration-definite time ( 2 years ) after which -definite time ( 2 years ) after which

expirationexpirationBecomes concluded on INDEFINITE timeBecomes concluded on INDEFINITE timeNOTICE in writingNOTICE in writing