- 19 -
development period. If any income were generated during the R&D
period, it would "be divided eighty-five percent (85%) to the
Partnership * * * [Utah I] and fifteen percent (15%) to the
Contractor * * * [U.S. Agri]."
As part of the R&D agreement, Utah I also had the option of
requiring U.S. Agri to enter into a license agreement that would
include the commercial exploitation of the jojoba plantation
assigned to it. The option, which referred to U.S. Agri as the
contractor and Utah I as the partnership, was described as
follows:
At such time as the Jojoba plantation on which the
research and development is being conducted has reached
a stage of commercial development, the Contractor * * *
shall give the Partnership a written report to that
effect and the Partnership will have the option to
require the Contractor to enter into a License
Agreement for the purpose of commercially exploiting
the technology developed pursuant to this Agreement. *
* * This option shall be solely at the discretion of
the Partnership.
Execution of the license agreement by Utah I, pursuant to this
option, would result in the automatic termination of the R&D
agreement between Utah I and U.S. Agri according to the terms of
the R&D agreement.
The R&D agreement gave Utah I the ownership of "any
inventions, discoveries, improvements, devices, designs,
apparatus, practices, processes, methods or products, * * *
whether patentable or not, made, developed, perfected, devised,
conceived" in the course of U.S. Agri's work for Utah I. U.S.
Page: Previous 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 NextLast modified: May 25, 2011