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Technology Transfer Licensing Agreement

As in any agreement, the parties to a technology transfer agreement have different views on what an agreement makes beneficial to them. The university/inventor would prefer to retain ownership of the discovery, the license fees for the use of discovery and the provision of information and technical assistance (paying) to the user. Conversely, the developer/user would prefer to assign ownership of the invention (not conceded), with technical assistance at least (or at least a minimum fee). The rest of this article deals with the issues that a lawyer should address when confronted with a client — whether it is a researcher, a university or a commercial organization involved in a technology transfer agreement. The licensing agreement is necessary if intellectual property, such as the business concept, software, application is taken by another organization/company by the conclusion of a licensing agreement. It is necessary when one company gives access to another to allow its activity, but for a limited period of time. The main reason for the current wave of “discovery civilization” was the 1980 Patent and Trademark Act, or Bayh-Dole Act, which allowed the transfer of technology between researchers and commercial institutions. The premise of this legislation is that inventions created with federal funds should be licensed in such a way as to promote their commercial development for the general good. The law achieves this goal in the first place by allowing parties that develop federally funded technologies to retain patents in this research, while within the government they retain the right to use the invention. Each agreement has a clause indicating the measures to be taken in the event of a violation of a particular agreement.

Technology transfer agreement, as any other agreement contains the same clause. Clauses such as the governance of the law, dispute resolution, severability and integration come into force in the event of a violation of a particular clause of the treaty. Technology transfer can only take place if the taker is able to adapt, understand, implement the technology and its foundations. Because the licensing agreement is broad and sufficiently assembled, the fundamental elements mentioned in the agreement are its particular element. However, one of the most important elements of a licensing agreement is the monetary agreement and its planning. The fees received by the licensee are either in the form of royalties or in the form of a guaranteed minimum payment. With respect to royalties, the percentage of royalties from one taker to another varies according to the financial capacity of the licensee and the contractual terms. A guaranteed minimum payment is not mandatory, but experts suggest that licensees receive as much compensation as possible.