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Royalty Fees per Unit Sold Contract Provision - Download as PDF

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Royalty Fees per Unit Sold Contract Provision - Download as PDF Powered By Docstoc
					                                                                 Federal Acquisition Regulation                                                                      52.227–7
                                                                 facilities (1) that are or have been sold or of-                          (End of clause)
                                                                 fered for sale by the Contractor to the pub-
                                                                 lic, (2) that can be provided over commer-                [49 FR 12987, Mar. 30, 1984, as amended at 72
                                                                 cially available equipment, or (3) that in-               FR 63066, Nov. 7, 2007]
                                                                 volve relatively minor modifications.
                                                                 [49 FR 12987, Mar. 30, 1984, as amended at 56             52.227–6     Royalty Information.
                                                                 FR 15156, Apr. 15, 1991; 60 FR 34761, July 3,               As prescribed in 27.202–5(a)(1), insert
                                                                 1995; 72 FR 63065, Nov. 7, 2007]                          the following provision:
                                                                 52.227–4 Patent Indemnity—Construc-                             ROYALTY INFORMATION (APR 1984)
                                                                     tion Contracts.
                                                                                                                             (a) Cost or charges for royalties. When the re-
                                                                   As prescribed in 27.201–2(d)(1), insert                 sponse to this solicitation contains costs or
                                                                 the following clause:                                     charges for royalties totaling more than
                                                                                                                           $250, the following information shall be in-
                                                                       PATENT INDEMNITY—CONSTRUCTION                       cluded in the response relating to each sepa-
                                                                            CONTRACTS (DEC 2007)                           rate item of royalty or license fee:
                                                                                                                             (1) Name and address of licensor.
                                                                   Except as otherwise provided, the Con-                    (2) Date of license agreement.
                                                                 tractor shall indemnify the Government and                  (3) Patent numbers, patent application se-
                                                                 its officers, agents, and employees against li-           rial numbers, or other basis on which the
                                                                 ability, including costs and expenses, for in-            royalty is payable.
                                                                 fringement of any United States patent (ex-                 (4) Brief description, including any part or
                                                                 cept a patent issued upon an application that             model numbers of each contract item or
                                                                 is now or may hereafter be withheld from                  component on which the royalty is payable.
                                                                 issue pursuant to a Secrecy Order under 35                  (5) Percentage or dollar rate of royalty per
                                                                 U.S.C. 181) arising out of performing this                unit.
                                                                 contract or out of the use or disposal by or                (6) Unit price of contract item.
                                                                 for the account of the Government of sup-                   (7) Number of units.
                                                                 plies furnished or work performed under this                (8) Total dollar amount of royalties.
                                                                 contract.                                                   (b) Copies of current licenses. In addition, if
                                                                                                                           specifically requested by the Contracting Of-
                                                                                  (End of clause)                          ficer before execution of the contract, the of-
                                                                                                                           feror shall furnish a copy of the current li-
                                                                   Alternate I (DEC 2007). As prescribed                   cense agreement and an identification of ap-
                                                                 in 27.201–2(d)(2), designate the first                    plicable claims of specific patents.
                                                                 paragraph of the basic clause as para-
                                                                 graph (a) and add the following para-                                   (End of provision)
                                                                 graph (b) to the basic clause:
                                                                                                                             Alternate I (APR 1984). As prescribed
                                                                   (b) This patent indemnification shall not               in 27.202–5(a)(2), substitute the fol-
                                                                 apply to the following items:                             lowing for the introductory portion of
                                                                   lllllllllllllll                                         paragraph (a) of the basic provision:
                                                                   [Contracting Officer list the items to be ex-
                                                                 cluded.]                                                    When the response to this solicitation cov-
                                                                                                                           ers charges for special construction or spe-
                                                                 [72 FR 63065, Nov. 7, 2007]                               cial assembly that contain costs or charges
                                                                                                                           for royalties totaling more than $250, the fol-
                                                                 52.227–5      Waiver of Indemnity.                        lowing information shall be included in the
                                                                                                                           response relating to each separate item of
                                                                   As prescribed in 27.201–2(e), insert the                royalty or license fee:
                                                                 following clause:
                                                                                                                           [49 FR 12987, Mar. 30, 1984, as amended at 72
                                                                        WAIVER OF INDEMNITY (APR 1984)                     FR 63066, Nov. 7, 2007]
                                                                   Any provision or clause of this contract to             52.227–7 Patents—Notice            of     Govern-
                                                                 the contrary notwithstanding, the Govern-                     ment Licensee.
                                                                 ment hereby authorizes and consents to the
                                                                 use and manufacture, solely in performing                   As prescribed at 27.202–5(b), insert the
                                                                 this contract, of any invention covered by                following provision:
                                                                 the United States patents identified below
                                                                 and waives indemnification by the Con-                     PATENTS—NOTICE OF GOVERNMENT LICENSEE
                                                                 tractor with respect to such patents:                                   (APR 1984)
                                                                 llllllllllllllllllllllll                                    The Government is obligated to pay a roy-
                                                                 Contracting Officer identify the patents by               alty applicable to the proposed acquisition
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                                                                   number or by other means if more appropriate            because of a license agreement between the

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                                                                 52.227–8                                                              48 CFR Ch. 1 (10–1–08 Edition)
                                                                 Government and the patent owner. The pat-                   (f) The substance of this clause, including
                                                                 ent number is ll [Contracting Officer fill in],           this paragraph (f), shall be included in any
                                                                 and the royalty rate is ll [Contracting Offi-             subcontract in which the amount of royal-
                                                                 cer fill in]. If the offeror is the owner of, or a        ties reported during negotiation of the sub-
                                                                 licensee under, the patent, indicate below:               contract exceeds $250.
                                                                   ( ) Owner ( ) Licensee
                                                                   If an offeror does not indicate that it is the                          (End of clause)
                                                                 owner or a licensee of the patent, its offer
                                                                 will be evaluated by adding thereto an
                                                                                                                           [49 FR 12988, Mar. 30, 1984, as amended at 72
                                                                 amount equal to the royalty.
                                                                                                                           FR 63066, Nov. 7, 2007]
                                                                                (End of provision)
                                                                                                                           52.227–10 Filing of Patent Applica-
                                                                                                                               tions—Classified Subject Matter.
                                                                 [49 FR 12988, Mar. 30, 1984, as amended at 72
                                                                 FR 63066, Nov. 7, 2007]                                     As prescribed at 27.203–2, insert the
                                                                                                                           following clause:
                                                                 52.227–8      [Reserved]
                                                                                                                           FILING OF PATENT APPLICATIONS—CLASSIFIED
                                                                 52.227–9 Refund of Royalties.                                     SUBJECT MATTER (DEC 2007)
                                                                   As prescribed in 27.202–5(c), insert the                   (a) Before filing or causing to be filed a
                                                                 following clause:                                         patent application in the United States dis-
                                                                                                                           closing any subject matter of this contract
                                                                        REFUND OF ROYALTIES (APR 1984)                     classified Secret or higher, the Contractor
                                                                                                                           shall, citing the 30-day provision below,
                                                                   (a) The contract price includes certain
                                                                                                                           transmit the proposed application to the
                                                                 amounts for royalties payable by the Con-
                                                                                                                           Contracting Officer. The Government shall
                                                                 tractor or subcontractors or both, which
                                                                                                                           determine whether, for reasons of national
                                                                 amounts have been reported to the Con-
                                                                 tracting Officer.                                         security, the application should be placed
                                                                   (b) The term royalties as used in this clause           under an order of secrecy, sealed in accord-
                                                                 refers to any costs or charges in the nature              ance with the provision of 35 U.S.C. 181–188,
                                                                 of royalties, license fees, patent or license             or the issuance of a patent otherwise delayed
                                                                 amortization costs, or the like, for the use of           under pertinent United States statutes or
                                                                 or for rights in patents and patent applica-              regulations. The Contractor shall observe
                                                                 tions in connection with performing this                  any instructions of the Contracting Officer
                                                                 contract or any subcontract hereunder.                    regarding the manner of delivery of the pat-
                                                                   (c) The Contractor shall furnish to the                 ent application to the United States Patent
                                                                 Contracting Officer, before final payment                 Office, but the Contractor shall not be denied
                                                                 under this contract, a statement of royalties             the right to file the application. If the Con-
                                                                 paid or required to be paid in connection                 tracting Officer shall not have given any
                                                                 with performing this contract and sub-                    such instructions within 30 days from the
                                                                 contracts hereunder together with the rea-                date of mailing or other transmittal of the
                                                                 sons.                                                     proposed application, the Contractor may
                                                                   (d) The Contractor will be compensated for              file the application.
                                                                 royalties reported under paragraph (c) above,                (b) Before filing a patent application in the
                                                                 only to the extent that such royalties were               United States disclosing any subject matter
                                                                 included in the contract price and are deter-             of this contract classified Confidential, the
                                                                 mined by the Contracting Officer to be prop-              Contractor shall furnish to the Contracting
                                                                 erly chargeable to the Government and allo-               Officer a copy of the application for Govern-
                                                                 cable to the contract. To the extent that any             ment determination whether, for reasons of
                                                                 royalties that are included in the contract               national security, the application should be
                                                                 price are not in fact paid by the Contractor              placed under an order of secrecy or the
                                                                 or are determined by the Contracting Officer              issuance of a patent should be otherwise de-
                                                                 not to be properly chargeable to the Govern-              layed under pertinent United States statutes
                                                                 ment and allocable to the contract, the con-              or regulations.
                                                                 tract price shall be reduced. Repayment or                   (c) Where the subject matter of this con-
                                                                 credit to the Government shall be made as                 tract is classified for reasons of security, the
                                                                 the Contracting Officer directs.                          Contractor shall not file, or cause to be filed,
                                                                   (e) If, at any time within 3 years after final          in any country other than in the United
                                                                 payment under this contract, the Contractor               States as provided in paragraphs (a) and (b)
                                                                 for any reason is relieved in whole or in part            of this clause, an application or registration
                                                                 from the payment of the royalties included                for a patent containing any of the subject
                                                                 in the final contract price as adjusted pursu-            matter of this contract without first obtain-
                                                                 ant to paragraph (d) above, the Contractor                ing written approval of the Contracting Offi-
                                                                 shall promptly notify the Contracting Offi-               cer.
                                                                 cer of that fact and shall reimburse the Gov-                (d) When filing any patent application
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                                                                 ernment in a corresponding amount.                        coming within the scope of this clause, the

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