Common use of ROYALTIES AND OTHER CONSIDERATION Clause in Contracts

ROYALTIES AND OTHER CONSIDERATION. 4.1. For the rights, privileges and license granted, Licensee shall pay royalties and other compensation and provide Progress Reports and Payment Reports to University in the manner provided in this Article 4, Article 5 and Section 1 of the Agreement to the end of the Term of the Agreement or until the Agreement shall be earlier terminated. University ownership of Licensee equity, and/or any requirement that Licensee shall pay University a percentage of the proceeds from a liquidation event shall survive the termination of the Agreement. 4.2. All amounts payable hereunder by Licensee shall be paid in full, in U.S. dollars, without deduction of taxes or other fees which may be imposed by any government and which shall be paid by Licensee. Any amounts due hereunder that remain unpaid sixty (60) days after the end of the calendar quarter shall bear simple interest accrued at the rate of five percent (5%) per annum above the Federal Reserve Discount Rate, calculated as of the Effective Date (or the maximum allowed by law, if less) from the date such payment first became due. In addition, after said sixty (60) days, University shall thereafter have the right to take action to terminate this Agreement in accordance with Article 13 below. 4.3. No multiple or cumulative royalties shall be payable because any Licensed Product or Licensed Process, its manufacture, use, lease or sale are or shall be covered by more than one patent application or issued patent licensed under this Agreement. 4.4. All sales or use of Licensed Products and/or Licensed Processes by Licensee shall be subject to royalty payments as provided. 4.5. Licensee shall pay all Royalties due to University and University shall not be required to look to any sublicensee or any other entity for payment. 4.6. All royalties paid to University in the first year that minimum annual royalties are due, and all years after that time, while license is in force, are credited against the minimum annual royalty. For example, if in a year that minimum annual royalties are due, the licensee has paid the University $5,000.00 in royalties, and if the minimum annual royalty for that year was $10,000.00, Licensee would be required to pay the University an additional $5,000.00. If in a year when minimum annual royalties are due, Licensee had paid University $12,000.00 in royalties, then Licensee would not need to make any further payment to the University to satisfy the minimum annual royalty.