Issue link: https://htpgraphics.uberflip.com/i/246988
Other Licence Provisions Section 7 Here are the main provisions you may need to consider in relation to improvements: Improvement Provisions Obligations on either or both parties to disclose to each other any improvements they may develop. TOP TIP Your licensee may try to include a provision which states that any improvements you make to the IP will automatically form part of the IP your licensee is licensed to use (pipeline). You should try to avoid this. A research institution exists to create improvements and so, whilst this may be a common provision in licences from companies, it is not in licences from research institutions. Should you then make any improvements, you can try to license these separately and extend your income stream. If your research institution is a charitable institution, it may have an obligation to obtain further payment for such improvements. You should avoid creating a pipeline. Whether or not your licensee will own its own improvements to the IP. If your licensee develops any improvement which changes your IP to such a degree that your licensee could actually use its improvement without infringing your IP – this is known as a "severable improvement". Generally, obliging your licensee to either assign to you or exclusively license to you any severable improvement that it develops, is something that is prohibited under competition law. Always check with your IP commercialisation organisation representative if you are looking to include a provision of this nature. To avoid encountering any problems under competition law – you should only request a non-exclusive licence from your licensee to use any of its severable improvements. 49