What effect has a change in the original top-level license on sub-licenses?

Question

If the licensor and licensee amended and restated the original main agreement without the sub-licensee's knowledge, does this mean the sub-licensee is affected in its obligation under this newly amended agreement between Licensor and Licensee? Or does this have no effect on the sub-license?

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Answers: 1 public & 0 private

Joseph zito
Patent Attorney

The effect of any change in the top-level (primary) license will depend on the terms of the sub-license as well as the terms of the primary license. The effect, if any, will also depend on the particular change to the primary license. The primary license need not be the original main licenses to effect subsequent licenses, it need only be primary to the particular sub-license. For example, a change in the license fee in the primary license is likely to have no effect on the sub-license. However a change in the duration of the primary license is likely to change the duration of the sub-license. It is important that a sub-licensor fully understand any primary licenses when entering into a sub-license.

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