If, in the context of an appeal relating to one of the patent letters, under and after which the exclusive right and licence have been issued, which accuse a violation of that right and such a license, any letter of patent should be invalidated by the Court of Justice or interpreted by the Court so as not to cover the device of a defendant, which includes [SPECIFY], then the right of licence agreed under that agreement is cancelled and the licensee is immediately released from all obligations arising from that agreement. The licensee undertakes, within  days from the first day of [JANUARY, APRIL, JULY, AND OCTOBER, OR FIRST MONTHS OF QUARTERS] each year, during the duration of the agreement, to submit written statements to the licensee indicating the total number of devices that embody and contain the aforementioned inventions sold by the licensee during the previous quarter. The first statement is at the latest  [MOIS, YEAR] and covers the period from the date of this agreement to [DATE]. Invention royalties (sometimes called patent licenses) are at the heart of any patent licensing agreement. Although % spleens for invention fees are considered BOTH on my patent license page and in my kostenLOsen eReport (please use the right application form to get it). This article examines what ELSE should include in a good patent licensing agreement. Your consent may require a “Reservation of Rights” section. This section is particularly important when the licensee is a non-profit organization and must ensure that certain intellectual property rights are reserved for academic, non-profit or humanitarian research in developing countries or in accordance with the provisions of the Bayh-Dole Act (in the United States). Forgetting to include the required reservation of rights in a licence could invalidate the licence and/or give rise to costly legal dispute to determine what rights are actually held by the licensee. Another rule that is used is the 5 percent net rule. This means that you can make up to 5 percent of the selling price depending on the cost. Costs include production, advertising, delivery and management costs. This can result in a reduction in licensing fees only if you had only estimated the cost of removing the materials.