CLP Compliance & Risk Management 3

Question 1

Under U.S. antitrust law, which type of licensing restriction is evaluated under the 'rule of reason' rather than treated as per se illegal?

Accepted Answer

Territorial restrictions in vertical licensing agreements

Answer

Territorial restrictions in vertical licensing agreements (between licensor and licensee at different market levels) are evaluated under the rule of reason, balancing pro-competitive and anti-competitive effects.

Question 2

A licensor includes a clause requiring the licensee to purchase non-patented supplies exclusively from the licensor. What potential legal issue does this raise?

Accepted Answer

Patent misuse and antitrust tying concerns

Answer

Requiring purchase of unpatented supplies as a condition of a patent license raises patent misuse concerns and may constitute an illegal tying arrangement under antitrust law.

Question 3

Which element is NOT typically part of a comprehensive IP risk assessment for a licensing transaction?

Accepted Answer

Assessment of the licensee's marketing budget

Answer

The licensee's marketing budget is a commercial consideration, not an IP risk assessment element; IP risk assessments focus on ownership, validity, enforceability, and third-party conflict issues.

Question 4

What does a 'field of use' restriction in a license agreement primarily accomplish from a risk management perspective?

Accepted Answer

It limits the licensor's exposure by preventing the licensee from competing in the licensor's core markets

Answer

Field of use restrictions limit the licensee to specific applications or markets, which manages the licensor's risk by preventing competition in markets the licensor wishes to retain or license separately.

Question 5

In the context of licensing compliance, what is 'shelf auditing'?

Accepted Answer

Physical inspection of retail products to verify licensed marks and quality standards

Answer

Shelf auditing involves physically inspecting products in retail environments to verify that licensed trademarks, copyright notices, and quality standards are properly applied to authorized products.

(CLP) Certified Licensing Professional Practice Test

(CLP) Certified Licensing Professional Practice Test

CLP Compliance & Risk Management 3