The information on this page provides a brief description of the options available in licensing an innovation. Additional resources regarding more comprehensive educational materials on the licensing process are available in other areas of the faculty and staff section (see Marketing).
Sponsored Research Agreement
- An external entity sponsors research to assist in the development of technology, in return for certain rights to the resulting technology upon completion of the research effort.
Option to License
- An external entity assumes financial responsibility of an innovation in exchange for limited exclusive evaluation of said innovation.
- An external entity assumes exclusive or nonexclusive use of an innovation in exchange for specific terms and conditions with the innovation owners and inventors.
- Term Sheet -- A working document between entities to negotiate license agreement terms and conditions. Components of a term sheet include:
- a definition of the subject matter to be licensed,
- defining the type of license (i.e. exclusive vs. non-exclusive),
- sublicense rights,
- field of use,
- milestone payments and periods,
- patent expenditures,
- royalty rates,
- equity payments,
- audit requirements and report submissions,
- liability and indemnification, and
- termination clauses.