Common use of Watermarking Requirements Clause in Contracts

Watermarking Requirements. The Content Protection System or playback device must not remove or interfere with any embedded watermarks in protected content; provided, however, that if such embedded watermarks are altered, modified or degraded resulting from STE’s distribution of protected content in the ordinary course of its operations, such alteration, modification, or degradation shall not be a breach of this provision. Licensor shall use commercially reasonable efforts to ensure that any embedded information will not negatively affect picture or sound quality and will not disrupt or damage equipment or systems used in the ordinary preparation and distribution of content by STE. STE’s delivery systems shall “pass through” any embedded copy control information without alteration, modification or degradation in any manner; provided, however, that nominal alteration, modification or degradation of such copy control information during the ordinary course of STE’s distribution of protected content shall not be a breach of this Section 5.5.