Common use of Royalty Reductions Clause in Contracts

Royalty Reductions. On a country-by-country basis, in the event that the Exploitation of a Product is not Covered by a Valid Claim of a Licensed Patent in such country, then the royalty rate set forth in Section 3.1.4 (Royalty Rate; Royalty Term) with respect to Net Sales for such Product in such country shall be reduced by [***], effective as of the date such Product is no longer Covered by a Valid Claim of a Licensed Patent in such country.

Royalty Reductions. (a) On a country-by-country basis, in the event that the Exploitation of a Licensed Product is not Covered by a Valid Claim of a Licensed Patent [***] in such country, then the royalty rate rates set forth in Section 3.1.4 3.3.1 (Royalty Rate; Royalty Term) with respect to Net Sales for such Licensed Product in such country shall be reduced by [***], ] effective as of the date such Licensed Product is no longer Covered by a Valid Claim of a Licensed Patent [***] in such country.