The issue of compensation is particularly important. Based on the ownership referred to in the license agreement, different payment models can be useful. The use of songs is usually offset by royalties, for example. In other words, the copyright owner of a song is paid whenever the song is played on the radio, in a bar, or even by another band at a live event. Other models can be a flat fee or even a rate per year/month/week. Harvard offers certain materials (usually biological research materials) for non-exclusive commercial use. Some materials, such as mice, are usually offered on a flat-rate basis or with fixed annual payments. Others, such as Hybridom cell lines, also include royalty-based payments. The standard agreements for both types of hardware licenses are available below.
Licensing agreements are often used for the commercialization of technologies. A reference to global access — the development of technologies from Harvard patents can lead to licensed products that could have significant public health benefits in developing countries. By participating in universities Allied for Essential Medicines, Harvard is committed to promoting affordable access to these products in developing countries. To fulfill this obligation, we may require provisions similar to those contained in the link below in exclusive licenses for such potentially effective technologies. Those entering into a licensing agreement should consult a lawyer, as there are complexities that are difficult to understand for those who do not have a deep understanding of intellectual property rights. Harvard also offers option agreements for companies considering licensing a Harvard technology. An option agreement allows a company to “retain” a technology for a short period of time, during which time the company can continue to assess its potential or raise funds for product development without binding on the obligations of a licensing agreement or Harvard. Options typically have a term of six months to one year and typically require both a pre-fee and a refund of the patent application for the duration of the option. The bargaining power of both parties to a licensing agreement often depends on the nature of the product. For example, a film studio that conceded the image of a popular superhero to an action character manufacturer could have considerable bargaining power in this negotiation, as the manufacturer will likely benefit from such a deal.
The film studio thus has the leverage to relocate its business elsewhere if the manufacturer is cold on the feet . . .