Extensive grantback agreements: The effects of partial termination clauses in patent pool contracts on innovation incentives and participation rates

Abstract

A partial termination clause extends the standard grantback requirement of patent pools to include related patents of licensees. This excerpt presents the institutional context and gives a definition of the partial termination clause. Then, it details the conditions under which the partial termination clause can be triggered and explains its effects. Moreover, it indicates the relevant economics and legal literature used to investigate the interplay of partial termination clauses and vertical structure in the context of patent pools. Finally, a preview of the theoretical results is given and how they match some empirical puzzles from the literature is discussed.