Non-Sticky Defensive Patent License

Overview

The DPL is a standardized (i.e., non-negotiated), networked, portfolio-wide, royalty-free, patent cross license without the right to sublicense. Patents in the DPL ecosystem are available royalty-free to companies, institutions or individuals that agree to similarly license their patents.

The license under the “sticky” DPL as formulated by Professors Urban and Schultz at Berkeley is irrevocable, i.e., once a participant joins the original DPL the patents that the participant holds at the time become irrevocably licensed even if the participant withdraws (patents acquired post withdrawal would not be encumbered). In contrast, the “non-sticky” version of the DPL, which automatically terminates the licenses (both inbound and outbound) at the end of a withdrawal notice period, is an attempt to make the DPL have little-to-no risk while maintaining almost all its benefits.

You can see a model non-sticky DPL license and some possible modifications for a straw-man version of the agreement and a response to a proposal for Defensive Patent License (DPL) for a more full discussion of the DPL agreement.

Key Aspects of the Non-Sticky DPL

Other High-Level Terms of the Non-Sticky DPL

Advantages

The following are some advantages of the DPL (both the original version of the DPL as proposed by Urban and Schultz and the modified version as proposed here). Some of these advantages increase with an increase in DPL adoption, especially within a particular industry.

Entry and Withdrawal

Entry and withdrawal illustration.

License on Transfer Provision

License on Transfer provision illustration.