Intellectual Property Valuations for License and Other Transfer Purposes Part 1

Abstract

Intellectual property is often licensed in arm’s-length transactions between independent third parties. Intellectual property is often licensed as part of a joint venture, development, commercialization, manufacturing, distribution, or other agreement. And, intellectual property is often licensed as part of a litigation settlement agreement or as the result of a judicial order. These types of licenses can result from either tort litigation matters or breach of contract litigation matters.

Intellectual property can be licensed as part of a corporate financing arrangement. This structure often occurs in a sale and licenseback financing facility. In addition, commercial intellectual property can serve as the collateral security interest in a secured corporate financing raise.

Keywords: Intellectual property, valuations, license, judicial order, litigation, commercial