IP Licensing - Presentation by Dr. Kalyan C. Kankanala Contact Us for Intellectual Property Services BananaIP Counsels Regd Office No.40,3rd Main Road,JC Industrial Estate, Kanakapura Road,Bangalore – 560 062. Email: contact@bananaip.com Telephone: +91-80-26860414 /24/34

1. COPYRIGHT, BANANAIP, 2014
Dr. Kalyan Kankanala,
kalyan@bananaip.com
www.bananaip.com
Blog: www.bananaip.com/sinapse-blog
IP LICENSING

2. INTELLECTUAL PROPERTY
COPYRIGHT, BANANAIP, 2014
• Subject Matter
• Species of IP
• Patents
• Copyrights
• Trade Secrets

3. TRANSFER OF IP
COPYRIGHT, BANANAIP, 2014
• Assignment
• License
• Exclusive
• Non exclusive
• Sole

4. • Proprietary
• Open Source
• Free
• Standard
• Shrink wrap
• Click wrap
• Browse wrap
CLASSIFICATION
COPYRIGHT, BANANAIP, 2014

5. IMPORTANT CLAUSES
COPYRIGHT, BANANAIP, 2014
• Recitals
• Definitions
• Grant
• Royalties
• Term and Termination

6. RECITALS
COPYRIGHT, BANANAIP, 2014
• Parties – Licensor/Licensee
• Addresses
• Dates
• Background of the transaction

7. DEFINITIONS
COPYRIGHT, BANANAIP, 2014
• Interpretation clause
• Consistently used words: Specific/certain/lucid
• Attribute specific meaning
• Apply to entire agreement

8. EXAMPLES
COPYRIGHT, BANANAIP, 2014
• "Licensed Software" shall mean the proprietary software of the
Licensor, entitled 'TalkSoft', for voice enabled screen reading.
• "Licensed Intellectual Property" shall mean
• a. Patents and patent applications covering the Licensed
Software in USA and India, bearing numbers In123, and
US879; and
• b. Copyrights over the object code, source code, and
interfaces of the Licensed Software.

9. GRANT CLAUSE
COPYRIGHT, BANANAIP, 2014
• Most important
• Defines scope of agreement
• States
• Parties
• Type
• Subject
• Rights
• Territory
• Term

10. EXAMPLE
COPYRIGHT, BANANAIP, 2014
• Licensor grants to Licensee a nonexclusive license to use
the Licensed Software within the territory of India from 1st
January, 2005 to 1st January, 2006.
• This clause specifies
• Who grants to whom -Licensor to Licensee.
• Type of license - Nonexclusive License
• Rights – Use Licensed Software
• Territory - India
• Dates - January, 2005 to 1st January, 2006

11. TERM AND TERMINATION
COPYRIGHT, BANANAIP, 2014
• Term
• Events
• Material Breach - Nonpayment of royalty, etc.
• Bankruptcy
• Insolvency
• Act of god
• Rights after termination
• Confidentiality

12. ROYALTY CLAUSE
COPYRIGHT, BANANAIP, 2014
• Type of Royalty
• Lump sum royalty
• Fixed Royalty
• Running royalty
• Combination
• Mode and Date of payment
• Accounting and Record keeping
• Non payment consequences

13. EXAMPLE
COPYRIGHT, BANANAIP, 2014
• XYZ agrees to pay ABC, a royalty of Twenty-Thousand-
Dollars ($ 20,000) per every Calendar Year after the first
year from the Effective Date. For the first Calendar Year,
XYZ shall pay ABC a fixed royalty of Ten-Thousand
Dollars ($ 10,000). Such sum shall be paid on or before
December 11th of every Calendar Year.

14. OTHER CLAUSES
COPYRIGHT, BANANAIP, 2014
• Indemnity
• Warranty
• Liability

15. OPEN SOURCE LICENSES
COPYRIGHT, BANANAIP, 2014
• Principles
• Free Distribution
• Source Code
• Attribution
• No Warranty/Liability
• License

16. EXAMPLES
COPYRIGHT, BANANAIP, 2014
• Viral - GPL
• Flexible - BSD
• Restrictive - MPL

17. COPYRIGHT, BANANAIP, 2014
www.bananaip.com/ipprofessor
kalyan@bananaip.com
QUESTIONS, COMMENTS OR
OBSERVATIONS?