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RESEARCH SERVICES POLICIES AND GUIDELINES 79

indications; c) lay-out designs (topographies) of integrated circuits; and d) protection of
undisclosed information. Proprietary information as defined in these guidelines falls under
the category of other intellectual property rights.

Section 1. The ownership of other intellectual property rights shall be determined by any of
the following:

1. By laws;

2. By contract;

3. By employment; and

4. By any other legal instrument.

Article VIII - Royalties and Benefits

Section 1. Based on the IP Code and the Magna Carta for S & T workers, inventors shall receive
a percentage share of royalties and other benefits generated from their commercialized IPs
subject to the following terms and conditions:

1.1. Royalties shall only be in the form of cash, and shall be allocated as follows:

● For ISU – owned IP : 40% (Inventor)
60% (ISU); and
● For IPs owned by holders assigned to ISU : 60% (Inventor)
40% (ISU).

1.2. The manner of payment of royalties shall be mutually agreed upon by the parties;

1.3. Percentage share from the royalties shall be collected from the proceeds of one (1)
intellectual property. If there is more than one (1) related intellectual property licensed,
the royalty shall be calculated for each and apportioned as stipulated in the contract.
When there is more than one ISU inventors involved, the share shall be divided equally,
unless there is a written agreement to the contrary;

1.4. The ISU investor’s personal share survive termination of affiliation with ISU and in the
event of death, shall accrue to his/her heirs, assignees, or successors-in-interest, in
accordance with existing laws;

1.5. Awards, prizes, honoraria and the like received by ISU inventors primarily as recognition
for achievement in the generation of the intellectual property shall not be considered
royalty.

Section 2. In case of inability to locate the ISU inventor or his/her heirs within ten (10) years
from the last publication of three notices in a newspaper of general circulation, his/her
royalty percentage share including interest shall be deemed waived in favor of ISU.

RESEARCH AND DEVELOPMENT SERVICES

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