Patent License Agreement (PLA)

A Patent License Agreement (PLA) is a legal agreement that grants a license to use or practice an invention.

Frequently Asked Questions

What is a PLA?
The primary purpose for licensing patented inventions is to maximize the benefits of Federally-funded research by encouraging private development and application of patented technologies. PLAs provide a means for organizations to leverage patented technologies. Naval Postgraduate School (NPS) has over 200 pieces of intellectual property (IP) available for licensing. NPS offers PLAs for its IP through commercial licenses and evaluation licenses.
  • Commercial License – an exclusive, partially-exclusive, or non-exclusive license that allows organizations to manufacture, use, and sell products that incorporate NPS’s IP.
  • Evaluation License – a non-exclusive, short-term (one year), low-cost license that allows organizations to “test drive” a technology and assess its potential but restricts the manufacture, use or sell of products.
What are the Different Types of PLAs?
  • Exclusive Patent License Agreement – affords a single licensee (business) the rights to manufacture and sell a government invention for any commercial application worldwide
  • Partially‐exclusive Patent License Agreement – allows multiple     companies to obtain rights to manufacture and sell a government invention but only in certain, specified commercial applications or in certain, defined geographic locations
  • Non‐exclusivePatent License Agreement – can allow any number of companies to obtain the samegovernment technology, use the technology in many different products orcommercial applications, and make products or commercial applications utilizingthe technology available for sale in many different geographic locations
  • Partially‐exclusive Patent License Agreement – allows multiple     companies to obtain rights to manufacture and sell a government invention but only in certain, specified commercial applications or in certain, defined geographic locations
Whatare the Legal Authorities for Use
15 USC 3710a(b)(1) ~ 35USC 207-209 ~ 37 CFR Chapter IV Part 404
Is there Funding?
Fees and royalties to be paid by the non-Federal partner(s) to the Federal Lab(s) will be negotiated in advance of a signed commercial license. Evaluation licenses are non-negotiable.
When is a PLA appropriate?
NPS may grant a license toan invention, for which a patent application was filed before the signing ofthe agreement, for reasonable compensation when appropriate. Inventions thatmay have commercial potential should be made available to the private sectorunder a PLA.
Who may participate in PLAs?
Applicants with satisfactory plans for development or marketing of the Government owned invention may participate. PLAs are restricted to US entities or a licensee who agrees to manufacture substantially in the US unless unsuccessful efforts have been made or domestic manufacture is not commercially feasible.
- Private Industry (US)
- Nonprofit (US)
- Academic institutions (US)
Resources:

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