ANNEX A CM1321
Royalty Income (CM 1280)
.1 Court, on the recommendation of the University Management Group (based on the advice of its Working Group on Royalty Income) RESOLVED that the undernoted be adopted as the University’s policy with respect to the disbursement of royalty income (which is here defined as including licence fees and option fees):
1. All costs attributable to a University source (such as the Research and Development Fund, the Business Ventures Group, a Department or a Faculty) which are used to translate research into a commercial proposition, together with all professional costs incurred in protecting intellectual property and licensing, shall be a first charge on 80% of any royalty income received;
2. The remaining 20% of royalty income will be treated as distributable income and to this will be added the balance remaining once the costs referred to in (1) above have been met;
3. The distributable income will be shared as set out below, in such a manner that the sums due to the inventor, the University and the Department will be calculated in a cumulative fashion (rather than, for example, on an annual basis); in each case the Department will receive 20% of the income which is not distributed to the inventor.
| Total Royalty Income | Inventor(s) | University | Department |
|---|---|---|---|
| Up to £10,000 | 80% | 16% | 4% |
| £10,001 - £50,000 | 60% | 32% | 8% |
| £50,001 - £100,000 | 40% | 48% | 12% |
| £100,001 - £500,000 | 30% | 56% | 14% |
| Over £500,000 | 25% | 60% | 15% |