Field Of Use In Licensing Agreements

In the case of field licensing, as in the case of non-exclusive licensing, the absence of an all-inclusive license held by a company reduces the licensee`s motivation to protect the patent in a situation of default or injury. The exclusive licensor is more motivated than a simple non-exclusive licensee, because he has a certain exclusivity and in the absence of a valid patent, he could be much more competitive. However, other parties (the other licensees) would also benefit from maintaining the patent, so it is unlikely that a company would agree to bear the full cost of interventions or litigation. Example c has the advantage of being tailor-made, while examples a and b have the advantage of being model documents that are easier to revise for a new technology. . . .

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