Except in the event of a breach of this Agreement, neither party shall be liable for any injury, loss, damage or cost that any third party may incur under this License Agreement arising out of the actions of the other parties. In the interest of this royalty agreement, net profits are considered the total profit that the beneficiary makes during the term of this agreement by using the grantor`s assets after paying the following fees: When entering into a license agreement, it is always useful to see a model royalty agreement from a company so that you know what to expect. Or, if you`re designing a license agreement for a customer or your own organization, it`s helpful to use a sample license agreement as a getting started guide. In addition, we completed the sixth amendment to the license agreement on the counterparty`s closing date. In accordance with and subject to the terms of the Sixth Amendment to the Royalty Agreement, ROS has agreed to waive all royalty rights otherwise payable to Counterparty under the Royalty and proceeds of the Notes and royalty payments for revenues we received from Counterparty until after the end of the first fiscal quarter, in which we sell a commercial amount of developed equipment, to move. for the consideration. Since the license agreement is a legally valid agreement, it must contain the standard clauses of each legal agreement, including the parties, consideration, actions and performance. It is also useful to include other clauses, e.B exclusivity, licensing grounds, duration, assignment, relicence and pricing structures. On the 13th. In October 2015, the Borrower entered into the second amendment to the Royalty Agreement (the “Amended Royalty Agreement”) with ROS. In accordance with and subject to the terms of the second amendment to the Royalty Agreement, the Borrower agreed to pay ROS 4.52% on the first $50.0 million in net sales for each fiscal year, plus 1.75% of net sales of more than $50.0 million and up to $100.0 million for each fiscal year, plus 0.438% of net sales of more than $100.0 million for each fiscal year. compared to 3.875%, 1.50% and 0.375% respectively.
The Borrower continues to have the right to purchase the amended License Agreement at any time no later than March 12, 2018 for a reduced amount; However, under the amended license agreement, redemption amounts have increased. March 13, 2017 and March 13, 2017. As of March 2018, the redemption amount under the second amendment to the licence agreement increases to a maximum of approximately $37.2 million, compared to approximately $26.3 million under the first amendment to the credit agreement. The redemption amount varies depending on when the buyback option is exercised and would in any event be reduced by the amounts previously paid by the borrower to ROS under the amended royalty agreement. In the event of default under the amended credit agreement, OrbiMed has a put option that makes the royalties payable immediately. The amended License Agreement has a term beginning on March 12, 2014 and ending on (i) March 12, 2024 and (ii) the date of payment of the Purchase Price pursuant to the exercise of a put option by the Lender or the exercise of a redemption option by the Borrower. Given that the Company has elected to value the amended royalty agreement at fair value, the put option function does not meet test ASC815-15-25-1b and is therefore not separated from the host contract and accounted for as a derivative. A license agreement is a type of contract used by a person who owns certain copyrighted works to allow someone else to benefit from their copyrighted works. Royalties are useful in certain situations. B for example when copyrighted works are created with the help of another person. Authors, songwriters, authors, composers, inventors and others who produce intellectual property and creative works generally own the rights to their work through copyrights or trademarks.
Often, these intellectual property owners turn to companies to market their property. In addition, companies often require the use of creators` intellectual property to incorporate it into their own products, which they then use to make a profit. When a company is granted the right to market these creations, the creator usually receives compensation in the form of a royalty. .