FEDERAL FUNDS
GRANTS
- Typically most terms are non-negotiable; one applies for a specific grant understanding the terms that will be required.
CONTRACTS
- Many terms are negotiable; including IP ownership and rights.
REQUIRED TERMS
Government Use Rights
- The government gets a non-exclusive, royalty-free right to use technologies developed with federal funds for all government purposes.
- This includes the ability of the government to grant licenses to government contractors to use the technology when doing work for the government.
Government March-In Rights
- As the government wants to see technologies brought to the marketplace it can require the owner of a technology funded with federal dollars to license out that technology if the owner is not actively bringing the technology to the marketplace.
US Competitiveness Requirements
- The government wants to see technologies utilized to the benefit of the US economy over that of foreign economies.
- Typically a technology owner will need to seek out US owned (preferably) or US based licensees and show that the licensee will use the technology to benefit US competitiveness.
Substantial Manufacture in the US
- As with US competitiveness, the government wants to see technologies primarily manufactured in the US, thus resulting in US job creation and net economic benefit to the US.
Export Control Requirements
- Any use of federally funded technologies or licenses granting rights to those technologies must comply with all relevant US export requirements and licenses.