Repository: UIHistories Project: Board of Trustees Minutes - 1926 [PAGE 442]

EXTRACTED TEXT FROM PAGE:

1925]

U N I V E R S I T Y O F ILLINOIS

439

I. T h e Licensor hereby grants unto the Licensee the sole and exclusive right to manufacture, use and sell devices for use exclusively in transforming the photographic record of sound waves into current variations corresponding thereto, during the remainder of the life of said letters patent. 2. The rights of the Licensee are specifically limited to the particular devices when used for the particular use specified, and shall not, by inference or otherwise, be interpreted to embrace other devices or other uses of the same device than the one use above set forth, all other devices and all other uses of the same or other devices being reserved unto the Licensor, including the right to make and sell the same device when used for other purposes. 3. T h e Licensor reserves unto itself the right to make, or have made for it and to use for research work or to sell to others for research work only, any and all devices coming within the claims of said letters patent whether same be embraced within the terms of this license or not. 4. The Licensee agrees to pay unto the Licensor, as royalty, the sum of T w o Dollars ($2.00) for each and every device manufactured and used or manufactured and sold by it under the terms of this agreement. 5. T h e Licensee shall have the right, if it so desires, to have the devices manufactured by others for it. 6. The Licensee agrees to keep a careful and accurate account of the number of devices embraced within the terms of this agreement which are manufactured by or for it, of the number used by it and of the number sold by it, said account to be kept in permanent record form and to be open to inspection by the Licensor or its designee at any and all reasonable times. 7. For the purpose of accounting, the year shall be divided into quarterly periods beginning on the first days of January, April, July, and October of each year. The Licensee shall prepare and deliver to the Licensor, within fifteen (15) days after the close of each quarterly period, a complete report, sworn to if requested by the Licensor, setting forth the total number of devices manufactured by or for it under this license during the immediately preceding quarter and also the number of such devices used or sold by it during said period. Payment in full for all royalties due for such period shall accompany each such report. 8. In case the field of the Licensee hereunder is invaded by an infringer of said letters patent during the life of this agreement, the Licensor agrees that it will, upon the written request of the Licensee and at the Licensee's sole expense, bring such suit or suits against such infringer or infringers as the said Licensor m a y deem advisable. In case such suit or suits are started, the Licensee shall, if the Licensor requests, enter into good and sufficient bond approved by the Licensor to protect the Licensor against all costs and damages arising from said suit. 9. Every device made and sold hereunder shall bear such patent markings as are required by section 4900 of the Revised Statutes of the United States and shall also bear such restrictions as to use as shall fully comply with the terms of this agreement and as such shall be approved, from time to time, by the Licensor. 10. The Licensee agrees to use all reasonable efforts to promote the manufacture, use and sale of the devices licensed hereunder and agrees that, for failure to do so or for failure to supply any and all reasonable demands for said devices, the Licensor shall have the right to terminate this license. II. The Licensor shall have the right to terminate this agreement if the Licensee shall fail or refuse to comply fully with the terms hereof. In case the Licensor desires to terminate this agreement because of any default of the Licensee, the Licensor shall serve notice in writing upon the Licensee stating the character of such default and its intention to terminate this agreement. The Licensee shall then have thirty (30) days within which to comply with the terms of this agreement and in case of its failure to do so, this agreement shall become ipso facto terminated.