Repository: UIHistories Project: Board of Trustees Minutes - 1962 [PAGE 1499]

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1496

BOARD OF TRUSTEES

[May 24

The investigation into the commercial possibilities of Dr. Scherr's compounds, which relate to the strengthening of certain antibiotics by the addition to them of certain other materials, produced a mild degree of interest but no response as to assistance in obtaining patents, further development, or marketing the compounds. Merriam, Smith, and Marshall, Patent Attorneys for the University of Illinois Foundation, who have handled this matter, recommend that in view of this lack of interest, and in view of the fact that it appears necessary that an extensive research program be undertaken before any patentable formulae might be obtained, no appeal should be taken, and the University's patent applications should be abandoned. The Patent Committee concurs in this recommendation and has further recommended a release to Dr. Scherr of all rights in his discoveries, subject to a release by him of all his claims against the University. In view of this recommendation and Dr. Scherr's claim, the Legal Counsel's Office, with the approval of the Patent Committee, has negotiated with Dr. Scherr's attorneys for a release to him of all the University's rights in his compounds, in return for which he would release the University from any possible claims of damages. In addition Dr. Scherr would agree, out of any monetary returns from his discoveries and after he has reimbursed himself for expenses incurred by him in the prosecution of the patent applications and marketing his compounds, to reimburse the University for the expenses it and the Foundation incurred in connection with the prosecution of the patent application and the investigation. Such a settlement has now been agreed to by Dr. Scherr, subject to the approval of the Board of Trustees. The Vice-President and Comptroller and the Legal Counsel recommend that this settlement be approved, that the Legal Counsel be authorized to prepare the documents necessary to effectuate this settlement, and that the Comptroller and the Secretary be authorized and empowered to sign any necessary documents for the University. I concur.

On motion of Mr, Harewood, this settlement was authorized, as recommended.

PURCHASE OF PROPERTY AT 1 1 0 3 WEST ILLINOIS STREET, URBANA. AND LEASE OF PROPERTY AT 9 0 5 - 9 0 5 % SOUTH FIFTH STREET. CHAMPAIGN (3) The Director of the Physical Plant and the Vice-President and Comptroller recommend purchase of the property at 1103 West Illinois Street, Urbana, at a price of $35,000. The property consists of a lot 65 feet wide and 150 feet deep. with a three-story and basement frame residence. This building will eventually be moved or demolished and the land will be part of an area to be developed for parking facilities replacing those lost when construction is started on the Illinois Street Residence Halls. The price is within appraisals and the Committee on Buildings and Grounds has previously authorized negotiations for the acquisition of the property. Possession will be delivered not later than September 1, 1962, and taxes will be prorated. Funds are available in the state capital appropriations to the University for 1961-63 from the Universities Building Fund and have been released. The Delta Alumni of Sigma Phi Delta, Inc., owners of the property at 1103 West Illinois Street, have been negotiating for the purchase of a new fraternity house but the earliest it will be available to them is June, 1963. It is therefore recommended that upon possession of the property at 1103 West Illinois Street, Urbana, by the University, the property at 905-9051/2 South Fifth Street. Champaign, recently purchased by the University, be leased to the Delta Alumni of Sigma Phi Delta, Inc. for ten months from September 1, 1962, at a rental of S5,500 for the period. The University has no immediate need for the building or the land which was purchased as a site for a graduate student residence hall. I concur in these recommendations.

On motion of Mr. Williamson, the purchase of the property at 1103 West Illinois Street, Urbana, and the lease of the property at 905-9051/2