Master Alliance Provisions Guide (MAPGuide)

Benefit Sharing

This issue refers to provisions that address the right of funders and partners to require allocation of revenues or other commercial benefits arising from development of a funded product. Commercial benefits to be shared between parties could include the commercial licensing of intellectual property, receipt of government-granted incentives (such as Priority Review Vouchers) and/or revenue from the commercialization of derivative products. 

Questions to consider when developing a commercial benefit sharing provision

  • Under what circumstances, and how, do the parties share benefits and revenue in connection with the project?

Example approaches found in the MAPGuide

  • In the context of a collaboration agreement, the lead consortium partner will be responsible for collecting and allocating any consideration received in respect of licenses granted to third parties.
  • The partner is required to notify the funder of any commercial benefits arising from the development and marketing of the Product, and the parties will discuss the allocation of those benefits in good faith, subject to a separate agreement.
  • Potential mechanisms for benefit sharing could include sharing of profits, allocation of a number of doses of the funded product, or in-kind contributions.