/Docs/G/NIH-License-Patent-Exclusive-CmA/Sec/0.md
  Source views: Source JSON(ish) on GitHub (VSCode)   Doc views: Document (&k=Life.r00t): Visual Print Technical: OpenParameters Xray
Term, Termination, and Modification of Rights
  1. This Agreement is effective when signed by all parties, unless the provisions of Paragraph 14.16 are not fulfilled, and shall extend to the expiration of the last to expire of the Licensed Patent Rights unless sooner terminated as provided in this Article 13.
  2. In the event that Licensee is in default in the performance of any material obligations under this Agreement, including but not limited to the obligations listed in Paragraph 13.5, and if the default has not been remedied within ninety (90) days after the date of notice in writing of the default, IC may terminate this Agreement by written notice and pursue outstanding royalties owed through procedures provided by the Federal Debt Collection Act.
  3. In the event that Licensee becomes insolvent, files a petition in bankruptcy, has such a petition filed against it, determines to file a petition in bankruptcy, or receives notice of a third party's intention to file an involuntary petition in bankruptcy, Licensee shall immediately notify IC in writing.
  4. Licensee shall have a unilateral right to terminate this Agreement or any licenses in any country or territory by giving IC sixty (60) days written notice to that effect.
  5. IC shall specifically have the right to terminate or modify, at its option, this Agreement, if IC determines that Licensee:
    1. is not executing the Commercial Development Plan submitted with its request for a license and Licensee cannot otherwise demonstrate to IC’s satisfaction that Licensee has taken, or can be expected to take within a reasonable time, effective steps to achieve the Practical Application of the Licensed Products or the Licensed Processes;
    2. has not achieved the Benchmarks as may be modified under Paragraph 9.2;
    3. has willfully made a false statement of, or willfully omitted a material fact in the license application or in any report required by this Agreement;
    4. has committed a material breach of a covenant or agreement contained in this Agreement;
    5. is not keeping the Licensed Products or the Licensed Processes reasonably available to the public after commercial use commences;
    6. cannot reasonably satisfy unmet health and safety needs; or
    7. cannot reasonably justify a failure to comply with the domestic production requirement of Paragraph 5.2 unless waived.
  6. In making the determination referenced in Paragraph 13.5, IC shall take into account the normal course of such commercial development programs conducted with sound and reasonable business practices and judgment and the annual reports submitted by Licensee under Paragraph 9.2. Prior to invoking termination or modification of this Agreement under Paragraph 13.5, IC shall give written notice to Licensee providing Licensee specific notice of, and a ninety (90) day opportunity to respond to, IC’s concerns as to the items referenced in 13.5(a)-13.5(g). If Licensee fails to alleviate IC’s concerns as to the items referenced in 13.5(a)-13.5(g) or fails to initiate corrective action to IC’s satisfaction, IC may terminate this Agreement.
  7. When the public health and safety so require, and after written notice to Licensee providing Licensee a sixty (60) day opportunity to respond, IC shall have the right to require Licensee to grant sublicenses to responsible applicants, on reasonable terms, in any Licensed Fields of Use under the Licensed Patent Rights, unless Licensee can reasonably demonstrate that the granting of the sublicense would not materially increase the availability to the public of the subject matter of the Licensed Patent Rights. IC shall not require the granting of a sublicense unless the responsible applicant has first negotiated in good faith with Licensee.
  8. IC reserves the right according to 35 U.S.C. §209(d)(3) to terminate or modify this Agreement if it is determined that this action is necessary to meet the requirements for public use specified by federal regulations issued after the date of the license and these requirements are not reasonably satisfied by Licensee.
  9. Within thirty (30) days of receipt of written notice of IC’s unilateral decision to modify or terminate this Agreement, Licensee may, consistent with the provisions of 37 C.F.R. §404.11, appeal the decision by written submission to the designated IC official or designee. The decision of the designated IC official or designee shall be the final agency decision. Licensee may thereafter exercise any and all administrative or judicial remedies that may be accessible.
  10. Within ninety (90) days of expiration or termination of this Agreement under this Article 13, a final report shall be submitted by Licensee. Any royalty payments, including those incurred but not yet paid (such as the full minimum annual royalty), and those related to patent expenses, due to IC shall become immediately due and payable upon termination or expiration. If terminated under this Article 13, sublicensees may elect to convert their sublicenses to direct licenses with IC pursuant to Paragraph 4.3. Unless otherwise specifically provided for under this Agreement, upon termination or expiration of this Agreement, Licensee shall return all Licensed Products or other materials included within the Licensed Patent Rights to IC or provide IC with certification of the destruction thereof. Licensee may not be granted additional IC licenses if the final reporting requirement is not fulfilled.