Common use of Patent Enforcement Clause in Contracts

Patent Enforcement. (a) If either Party learns of an infringement or other use, rights or ownership claim or threatened infringement or other such claim by a third party with respect to any Licensed Technology within the Territory, such Party shall promptly notify the other Party and shall provide such other Party with available evidence of such infringement, whereupon the parties shall consult to determine if they will jointly bring action to terminate such infringement or misappropriation. The costs and expenses of any such action (including fees of attorneys and other professionals) shall be borne by the Parties in such proportions as they may agree in writing. Any recovery obtained by the Parties in such action shall be used to reimburse the cost of such action to the Parties in proportion to their respective contributions to the costs and expenses incurred in such action, and the remainder shall be divided equally between the Parties. (b) In the event that the Parties fail to initiate an action to terminate such infringement or misappropriation within ninety (90) days after the last party receives notice of such infringement or misappropriation, MAYO shall have the first right, but not the duty, to institute at its sole cost and expense, actions against third parties based on any Licensed Technology under this Agreement. Any recovery obtained by MAYO in such action shall be used to reimburse the cost of such action and the remainder shall be retained by MAYO. (c) In the event that the Parties fail to initiate an action to terminate such infringement or misappropriation within ninety (90) days after the last party receives notice of such infringement or misappropriation, and in the event MAYO does not institute an infringement proceeding against an offending third party within 180 days after the last party receives such notice, ACORDA shall have the right, but not the duty, to institute at its sole cost and expense, such an action with respect to any infringement or misappropriation by a third party. Any recovery obtained by ACORDA shall be used to reimburse the cost of such action and the remainder shall be retained by ACORDA, provided however, that such amount shall be deemed to constitute Net Sales for purposes of this Agreement. (d) Unless the Parties otherwise agree in writing, each Party shall execute all necessary and proper documents and provide reasonable, but not financial, cooperation as shall be appropriate, to allow the other Party to institute and prosecute such infringement actions.

Appears in 5 contracts

Sources: License Agreement (Acorda Therapeutics Inc), License Agreement (Acorda Therapeutics Inc), License Agreement (Acorda Therapeutics Inc)

Patent Enforcement. (a) If either Party learns of an infringement or other use, rights or ownership claim or threatened infringement or other such claim by a third party with respect to any Licensed Technology within the Territory, such Each Party shall promptly notify the other promptly after such Party and shall provide such other Party with available evidence of such infringement, whereupon the parties shall consult to determine if they will jointly bring action to terminate such infringement or misappropriation. The costs and expenses becomes aware of any such action (including fees alleged infringement of attorneys and other professionals) shall be borne by any Patent licensed to GPC under this Agreement in any country in the Parties Territory. Except as provided in such proportions as they may agree in writing. Any recovery obtained by the Parties in such action shall be used to reimburse the cost of such action to the Parties in proportion to their respective contributions to the costs and expenses incurred in such actionSection 13.3, and the remainder shall be divided equally between the Parties. (b) In the event that the Parties fail to initiate an action to terminate such infringement or misappropriation within ninety (90) days after the last party receives notice of such infringement or misappropriation, MAYO GPC shall have the first right, but not the duty, to institute at its sole cost and expense, patent infringement actions against third parties based on Third Parties with respect to any Licensed Technology such alleged infringement. GPC shall take all such actions under this AgreementSection 13.1(a) (other than with respect to a Patent included solely in the GPC Development Technology) in reasonable consultation with NEOTHERAPEUTICS and shall keep NEOTHERAPEUTICS apprised as to the status of any such infringement action GPC institutes. Any recovery obtained by MAYO in NEOTHERAPEUTICS shall execute all reasonable, necessary and proper documents and take such action actions as shall be used appropriate to reimburse the cost allow GPC to institute and prosecute infringement actions under this Section 13.1(a). (b) The costs and expenses of such bringing and maintaining any infringement action and the remainder under Section 13.1(a) shall be retained borne solely by MAYOGPC. (c) In Any award or compensation (including the fair market value of non-monetary compensation) paid by Third Parties as a result of any infringement action brought by GPC under Section 13.1(a) (whether by way of settlement or otherwise) shall be allocated first to reimbursement of GPC for all expenses incurred by it in connection with such action. Any remaining award or compensation shall be used to pay NEOTHERAPEUTICS the royalty it would have been entitled to receive had the balance of such recovery or damages, to the extent attributable to sales of such infringing products, been attributable to sales of Covered Products by GPC hereunder. (d) Except as provided in Section 13.3, in the event that GPC elects not to, or fails to, exercise its rights under Section 13.1(a) with respect to any alleged infringement of a Patent licensed to GPC under this Agreement (excluding any Patent included solely in the Parties fail to initiate an action to terminate such infringement or misappropriation GPC Development Technology) within ninety one hundred twenty (90120) days after the last party receives receiving notice of such infringement or misappropriationthereof, and in the event MAYO does not institute an infringement proceeding against an offending third party within 180 days after the last party receives such notice, ACORDA NEOTHERAPEUTICS shall have the right, but not the duty, to institute at its sole cost and expense, such an action patent infringement actions against Third Parties with respect to any such alleged infringement. NEOTHERAPEUTICS shall take all such actions under this Section 13.1(d) in reasonable consultation with GPC and shall keep GPC apprised as to the status of any such infringement or misappropriation by a third partyaction NEOTHERAPEUTICS institutes. Any recovery obtained by ACORDA shall be used to reimburse the cost of such action and the remainder shall be retained by ACORDA, provided however, that such amount shall be deemed to constitute Net Sales for purposes of this Agreement. (d) Unless the Parties otherwise agree in writing, each Party GPC shall execute all reasonable, necessary and proper documents and provide reasonable, but not financial, cooperation take such actions as shall be appropriate, appropriate to allow the other Party NEOTHERAPEUTICS to institute and prosecute infringement actions under this Section 13.1(d). Any award or compensation (including the fair market value of non-monetary compensation) paid by Third Parties as a result of any infringement action brought by NEOTHERAPEUTICS under this Section 13.1(d) (whether by way of settlement or otherwise) shall be allocated first to reimbursement of NEOTHERAPEUTICS for all expenses incurred by it in connection with such infringement actionsaction. Any remaining award or compensation shall be allocated equally between the Parties.

Appears in 2 contracts

Sources: Co Development and License Agreement (Neotherapeutics Inc), Co Development and License Agreement (Spectrum Pharmaceuticals Inc)