Rydex then argued that Graco had violated the agreement by writing and not paying royalties. Second, Rydex argued that the language of the agreement does not prevent future infringement proceedings, but only actions that could have been taken before the agreement. In January 2005, Rydex Ltd and Michael C. Ryan (together “Rydex”) sued a competitor, Graco Inc., for allegedly violating Ryan`s patent on liquid distribution control nozzles. The parties settled the dispute and entered into a licensing agreement, with the agreement providing, among other things, that “donors and takers recognize that this agreement is also a settlement of the dispute and that, if the dispute is dismissed, the only and exclusive means of additional recourse between licensees and takers is a remedy in the event of a breach of this licensing agreement.” The agreement also provided that “licensees have the first choice and obligation to pursue a violation” and that the agreement, if not terminated, would apply for the duration of the patent. However, licensees could terminate the contract if the underwriters did not delay the royalties and if the default was not compensated after 30 days of written communication. The Paris Magistrates` Court considered French law. Section L122-6 of the Intellectual Property Act defined the infringement as a copyright infringement, but section L12-6-1 of the same code dictated the general law of contracts. Accordingly, the Court dismissed the appeal and found that unlawful liability in favour of contractual liability is not taken into account when the parties are bound by a valid agreement and that the harm suffered by one results from non-compliance with the harmful harm.
A licensing agreement generally covers many aspects, including: software companies that use aggressive software audits to increase sales often threaten their customers with copyright infringement and infringement complaints, as leverage to increase the sale of additional software products. In fact, we have seen software companies like Quest Software sue their customers for copyright infringement resulting from a review, when their only right is actually an infringement right. How do you know if your software licensee can sue you for copyright infringement for your alleged software upgrade? The main issue is whether the licence provides a remedy for over-presentation, such as paying additional fees, for example. B if an audit reveals excessive use. If so, the clause is considered by the courts as a confederation and not as a condition whose violation entails only a right to contract. In California, as in other states, conditions are not privileged and a court will interpret a clause as an alliance and not as a condition, unless the clear and clear language of the treaty requires it to do something else.