Royalties Upon Certain Terminations Clause Samples
The 'Royalties Upon Certain Terminations' clause defines how royalty payments are handled if the agreement ends under specific circumstances. Typically, it outlines whether royalties continue to be owed, are reduced, or cease altogether if the contract is terminated early due to reasons such as breach, insolvency, or mutual agreement. For example, if a licensee terminates the agreement for convenience, the clause may specify that royalties are still due on products already sold or in the distribution pipeline. This clause ensures both parties understand their financial obligations upon termination, preventing disputes and providing clarity regarding ongoing payments after the contract ends.
Royalties Upon Certain Terminations. In the event of a termination of ----------------------------------- this Agreement by CCSI under Section 13.1, or 13.2 subparagraph b)including, in each case, any termination by individual Market Segment under Section 13.6, and subject to any surviving terms of this Agreement, if GE elects thereafter to continue to sell and offer to sell Products to new customers, with respect to any such Market Segment, then CCSI shall grant to GE a non-exclusive, royalty-bearing, irrevocable, worldwide license under CCSI's Commercialization Program Technology, CCSI's Background Technology and XONON Control Algorithms to sell and offer to sell Products and sublicense XONON Control Algorithms, and GE shall pay to CCSI fees and royalties with respect to such Market Segment, payable in the form of (a) a one-time fee in the amount set forth below, payable CONFIDENTIAL TREATMENT REQUESTED [*] IS USED TO INDICATE THAT A PORTION OF THE EXHIBIT HAS BEEN OMITTED AND FILED SEPARATELY WITH THE COMMISSION. CONFIDENTIAL TREATMENT HAS BEEN REQUESTED WITH RESPECT TO THE OMITTED PORTIONS. upon the first sale of a gas turbine incorporating such Product in such Market Segment; and (b) a royalty in the amount set forth below for each subsequent sale of a gas turbine incorporating such Product [*]. Market Segment [*] One-Time Fee Royalty Per Sale -------------- --- ------------ ---------------- 7F [*] [*] [*] 7E [*] [*] [*] Syntroleum [*] [*] [*]