For a startup, an option agreement is often the precursor to a license agreement. An option agreement: (1) reserves the technology for the startup (because the university commits to not license the technology to another company during the option period); and (2) permits the startup to use the technology to test its commercial potential.
Our standard option fee is $1,000 for 12 mos. (pro-rated for different terms). For options involving patents, this fee will be applied toward patent expenses.
In most cases, we will not seek direct reimbursement in the first 12 months for standard U.S. patent costs or the initial PCT filing. Reimbursement is negotiable based on the circumstances for subsequent option terms.