This document is a collateral assignment of intellectual property. It details the collateral assignment, the scope of the assignment, representations and warranties, default remedies, and all other aspects generally found in an assignment agreement.
This document is a collateral assignment of intellectual property. It details the collateral assignment, the scope of the assignment, representations and warranties, default remedies, and all other aspects generally found in an assignment agreement.
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As a result, asset-based lenders have turned to IP portfolios as another form of collateral to secure their loans. But while using IP as collateral can enhance the security of a loan, it presents banks, investors, and other lenders with unique challenges.
In accounting, intellectual property is considered an intangible asset, and, when possible, should be recorded as such on the balance sheet. Copyrights, trade marks and patents should be recorded on the balance sheet and other financial statements at or below, cost price.
As a general rule, security interests in personal property, including intellectual property are governed by Article 9 of the Uniform Commercial Code (?UCC?). Under Article 9, a lender must file a UCC financing statement with the respective Secretary of State where the borrower resides.
IP assets such as trademarks, trade names, patents, and copyrights are being used to secure loans issued by banks and other lenders. In most situations, IP assets tend to act as ?credit enhancers? and are included in a portfolio of assets that serves as collateral.
Intellectual property (IP) refers to creations of the mind, such as inventions; literary and artistic works; designs; and symbols, names and images used in commerce.
Your intellectual property includes the intangible assets you create for your business, such as names, designs, and automated processes. And just like tangible possessions ? like supplies, equipment, buildings, and inventory ? your intellectual property contributes to the value and success of your business.
IP Security Agreement is that certain Intellectual Property Security Agreement executed and delivered by Borrower to Collateral Agent and dated as of the Effective Date, as may be amended, restated, or otherwise modified or supplemented from time to time.