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Can search company sell your product?
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Ryan Diez
ddiez73202
Assume your product was chosen and sold by Retailer #1 via a LPS. Could retailer #1 sell the product to, or allow another retailer to sell your product? For instance, I saw “Emery Cat” at Walmart, however I thought that it was to be sold at Petsmart? If your product is sold at multiple retailers, would you still be receiving royalties?
posted November 07, 2009 16:23 (
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william ricely
williamricely

yes

posted November 07, 2009 20:30 (
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Roger Brown
rogerbrown
Insider Points

Depending on the licensing agreement a company can sub license your product to another company, but you would still receive royalties on those sales as well. It also depends if that company has an exclusive or non-exclusive agreement. Exclusive means they are the only ones allowed to sell the product non-exclusive means it is open to anyone that wants to license and sell the product. In either case you are due royalties on any sales from any company that is marketing the product.

http://www.rogerbrown.net

posted November 08, 2009 03:53 (
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Carol S
daisykat
114,750
Insider Points

It’s my understanding that all EN contracts are exclusive with both the inventor and the sponsoring company.

posted November 08, 2009 07:19 (
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Todd Bouton
inventodd

Hi Roger,
Do you perform your own audits on the company’s licensing your products, and how often should this be done if so? Should an audit time frame be included in the contract?
I would think these audits could get difficult if to many company’s get involved.
Oh, and Roger-thank you very much for all your generosity in taking use average inventors to the next level.

posted November 08, 2009 08:52 (
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Margaret Pryor
mger80
213,250
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Ryan,

Bear on mind that Emery Cat is an Everyday Edison’s product. Their deals might not be exclusive as they are part of the show about the inventing process vs. a product chosen by a specific search sponsor.

posted November 08, 2009 17:10 (
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Marla Ball
marlasball

Hello Ryan,

Emery Cat is a Everyday Edisons product so it is under a different agreement.

If you idea is selected through a Edison Nation Live Product Search the search sponsor will have exclusivity. However, if the search sponsor fails to meet the minimum sales volumes required by its licensing agreement with Edison Nation, it will lose its exclusive rights to your invention and we will be able to market it to other companies.

posted November 09, 2009 12:42 (
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