Common use of Failure to File Clause in Contracts

Failure to File. The First Rights Party shall file within six months from the date it discloses the Subject Invention to the other party if same is earlier. If the First Rights Party fails to file within six months from the date it discloses the Subject Invention to the other Party, or at least one month before a statutory bar date, fails to provide assurance of filing before the statutory bar date, the other Party may elect to file patent applications on such Subject Invention in those countries where a patent application has not been timely made or assured. For purposes of this paragraph, the filing of a U.S. Patent application qualifying as a priority document for filing of an International Patent Application under the Patent Cooperation Treaty (PCT) shall be deemed a timely application filing in PCT signatory countries.