ࡱ>  "!` bjbj\\ E,>>:   BBB8z, 'b3N"&$o(h*& &  &v     bB T&0 's+ps+s+  |d&&;j '$ BB     EMBED Unknown  UAMS ADMINISTRATIVE GUIDE NUMBER: 12.1.05 DATE: 07/15/96 REVISION: PAGE: 1 of 2 SECTION: ACADEMIC AFFAIRS AREA: SPONSORED RESEARCH ADMINISTRATION SUBJECT: DISTRIBUTION OF ROYALTIES FROM PATENTS, COPYRIGHTS AND LICENSES PURPOSE The purpose of this policy is to notify colleges and researchers within the University of Arkansas for Medical Sciences (UAMS) of the procedures that are followed when allocating the costs and the distribution of income resulting from a successful patent, copyright or license. POLICY It is the policy of the University of Arkansas to acquire and retain legal title to all inventions created by any person or persons to whom this policy is applicable. This policy is established in furtherance of the commitment of the University to the widest possible distribution of the benefits of University Research, the protection of Inventions resulting from such research, and the development of Inventions for the public good. This policy shall apply to all persons employed, compensated, or appointed by the University and to anyone using facilities owned, operated, or controlled by the University. It shall also apply to all Inventions financed, in whole or in part, from funds under the control of UAMS. PROCEDURE (1) All persons to whom this policy is applicable shall petition the UAMS Patent and Copyright Committee of their intent to seek a patent or copyright. The Patent and Copyright Committee will decide whether to seek the patent, copyright or license; release the petitioner; or take no action. (2) The UAMS Patent and Copyright Committee will notify the General Counsel of the University of Arkansas System if they wish to seek a patent or copyright. The General Counsels Office will obtain Counsel on behalf on the University and the petitioner. The legal costs related to the application of the patent, copyright, or license are charged back to UAMS. (3) Once a patent, copyright, or license is obtained, sale of the patent, copyright, or license is negotiated by the UAMS Office of Research Administration and the General Counsel of the University of Arkansas System together with the appropriate college or the researcher. (4) When a contract is approved and payment is received by the Controllers Office it will be deposited into the Patent, Copyright and License Control Account. The Controllers office will make distribution within 30 days of deposit of the royalty payment in the UAMS Treasurers Office. The Controllers Office will reduce the payment amount by the actual costs for patenting, licensing, and the protection of patent rights and copyrights. If the cost of obtaining the patent, copyright, or license exceed 20% of the initial payment, only 20% will be charged against the initial payment. The balance of the costs will be charged against succeeding payments, with a maximum of 20% of any single payment being charged, until all costs are covered. The net distribution will be as follows: For net royalty proceeds for income up to $200,000: For Income over $200,000 50% to the Inventor(s) 35% to Inventor(s) 5% to the U of A System 5% to U of A System 31.5% to the Appropriate College 42% to Appropriate College 13.5% to the Chancellor & Processing Reserve 18% to Chancellor & Processing Reserve For example, if a patent is sold for $100,000, and legal costs were $10,000, the net proceeds of $90,000 will be distributed as follow: Gross Receipt $100,000 Less: Direct Costs 10,000 Available for Distribution 90,000 Distribute to Inventor (50%) 45,000 Distribute to UA System (5%) 4,500 Distribute to Appropriate College (31.5%) 28,350 Distribute to Chancellor (3.5%) 12,150 If a patent sold for $300,000, and legal costs were $10,000 the net proceeds of $290,000 will be distributed as follows: Gross Receipt $300,000 Less: Direct Costs 10,000 Available for Distribution 290,000 First $200,000 Additional $90,000 Distribute to Inventor (50%) 100,000 (35%) 31,500 Distribute to UA System (5%) 10,000 (5%) 4,500 Distribute to Appropriate College (31.5%) 63,000 (42%) 37,800 Distribute to Chancellor (13.5%) 27,000 (18%) 16,200 (5) Contact the Office of Research Administration for assistance and additional information.     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