Establishing An Effective International Withholding Tax Program For Patent Licensing
Victoria TaiVia Licensing Corporation, Controller, San Francisco, CA, USA International withholding tax poses a unique challenge for innovators who desire broad global distribution of patented technologies. Different types of licensing arrangements, from cross licensing to direct licensing to patent pools, call for different approaches to international tax withholding requirements and these must be taken into […]
How Sun Tzu Would Outflank Patent Trolls
David WanetickIncreMental Advantage, Managing Director, Princeton, NJ, USA Much has been written about strategies employed by patent trolls. Many have opined about the tax they represent to operating companies. Others have lauded trolls for providing markets where inventors can sell their patents for reasonable returns. This article will focus on strategies— many from Sun Tzu, […]
The 25% Rule Still Rules: New Evidence From Pro Forma Analysis In Royalty Rates
Jiaqing “Jack” LuApplied Economics Consulting Group, Inc., Sr. Economist and Director of Economic Analysis, Austin, TX, USA Recent Studies in the 25% Rule and the Relevant Data Issues The 25% rule is based on observations that royalty negotiations tend to a royalty rate that equals approximately one-quarter of the licensee’s expected operating profits derived from […]
Royalty Rates And Licensing Strategies For Essential Patents On LTE (4G) Telecommunication Standards
Eric StasikDirector, Avvika AB, Stockholm, Sweden Long Term Evolution, or LTE, is the latest sequel to the successful GSM series of standards. A so-called fourth generation (4G) mobile communications technology, LTE is an upgrade to UMTS/WCDMA (3G) providing an enhanced radio interface and all-IP networking technology. Like a sequel to a successful movie, LTE includes […]
IRS Ordered To Help Trademark Licensor Reduce Tax Liability
Rod S. BermanJeffer, Mangels, Butler & Marmaro, LLP, Chairman, Intellectual Property Department, Los Angeles, CA, USA Kristi L. KirkseyJeffer, Mangels, Butler & Marmaro, LLP, Associate, Los Angeles, CA, USA Companies regularly enter into trademark licenses to obtain the right to use a trademark in connection with the production, sale, marketing or distribution of goods. In […]
Winning Negotiations Before They Begin
David WanetickIncremental Advantage, Managing Director, Princeton, NJ, USA Seasoned negotiators are well aware that negotiations are often won or lost before the players reach the negotiating table. At a minimum, negotiators should perform the following preparation before commencing formal negotiations: Achieving Internal Alignment. High-stakes negotiations demand a great deal of time; require enormous energy, focus, […]
Involve Inventors Throughout The IP Commercialization Process: The Benefits Can Be Substantial And The Risks Can Be Managed
Michael A. Cohen At many universities, intellectual property (IP) managers aren’t encouraged to work closely with university inventors throughout the IP commercialization process—from developing strategies to executing agreements. Some universities even discourage this type of comprehensive collaboration for fear of fomenting conflicts of interest, or because they think that the opinions of scientists shouldn’t bias […]
A Proposed “U.S. Public Patent Pool”
Robert M. Kunstadt, Esq.R. Kunstadt, P.C., Managing Attorney, New York, NY, USA Ilaria Mazzioni, Esq.R. Kunstadt, P.C., Attorney, New York, NY, USA I. The Recognized Need for Patent Law Reform Congress is now considering substantial modifications of the patent law. Most everyone recognizes that the patent system needs to be rationalized to make it function […]
Graduate Student Business Plan Competition, 2010
Winners of LES Foundation’s 2010 Business Plan Competition ring closing bell at Nasdaq Winners of LES Foundation’s 2010 Business Plan Competition ring closing bell at Nasdaq The Graduate Student Business Plan Competition was created in 2004 by LES Foundation, an initiative of LES USA/Canada. In 2008, through partnership with LESI, the competition grew quickly and […]
Applied Royalties In The High-Tech Industry
Alan LealHewlett-Packard Company, Enterprise Business, Technology Licensing Roseville, CA USA Prior discussions of the treatment of royalty compensation among technology license arrangements typically address valuation methods or fixed methodologies to determine how much is paid for a given technology type or category. This article addresses the more critical aspect of how such royalties are structured […]