Minimum Royalty Credit Sample Clauses
A Minimum Royalty Credit clause establishes that any minimum royalty payments made by a licensee can be credited against future royalty obligations. In practice, if the licensee pays more in minimum royalties than the actual royalties owed for a given period, the excess amount can be applied to offset future royalty payments. This clause ensures that the licensee is not penalized for overpaying and provides a mechanism to balance payments over time, ultimately protecting the licensee from paying more than the agreed-upon total royalties.
Minimum Royalty Credit. Notwithstanding anything to the contrary in this Section 6, the parties acknowledge and agree that the Revenue Royalty payments are intended to be in place of - and not in addition to - the Minimum Royalty payments, to the extent that the Revenue Royalty payments exceed the Minimum Royalty payments. Accordingly,
(i) InMedica Minimum Royalty payments made in any given calendar year shall be a credit against InMedica Revenue Royalty payments in such calendar year, and InMedica Revenue Royalty payments shall only be paid to the extent that they exceed the InMedica Minimum Royalty payments for such calendar year; and
(ii) Chi L▇▇ ▇▇▇imum Royalty payments made in any given calendar year shall be a credit against Chi L▇▇ ▇▇▇▇nue Royalty payments in such calendar year, and Chi ▇▇▇ ▇▇▇▇nue Royalty payments shall only be paid to the extent that they exceed the Chi L▇▇ ▇▇▇▇mum Royalty payments for such calendar year.
Minimum Royalty Credit. Irrespective of the number of Licensed Products sold by Licensee, during the term of this Agreement, Licensee shall pay Licensor the minimum parts royalty as provided in Section 8(a). In calculating the parts royalty obligation set forth in Section 8(b), Licensee shall be given a quantity credit for all current and prior payments of minimum base royalty paid to Licensor until such quantities have been fully applied against current sales of the Licensed Products. For instance, in year three of the Agreement, if Licensee has paid minimum base royalties on parts totaling 500, plus 1,000, plus 4,000 or 5,500 parts and Licensee's cumulative sales through the end of year three of the Agreement total 7,000 parts, then Licensee's parts royalty obligation for year three of the Agreement shall apply only to 1,500 parts.