IdeasBank Development Agreements


What does an IBDA (IdeasBank Development Agreement) involve?


IDBAs are available as an option to purchasers of yellow-memon slots, but are a required component of the purchase of a red-memon slot. Click here for an explanation of Memons.

Essentially, with implementation of an IBDA, IdeasBank agrees to help a slot purchaser with further development of a memon, in return for a royalty on the developed products or services.

The royalty rate is one-half of one percent (0.5%) of the factory-door-price sales of items using the memon, between years 3-13 inclusive.

The help offered by IdeasBank could include the suggestion of extended concepts, some of which could be patentable. The listing of a yellow memon on this website may be regarded as 'publishing' it, which would probably render the memon non-patentable. Under an IBDA, any suggestions offered by IdeasBank to a yellow-memon developer would be open to the developer to attempt to patent (at their expense), and patent rights thus obtained would be assigned to the developer by IdeasBank without further charge. However, IdeasBank would not guarantee exclusive use of any suggestion to one or another slot purchaser.

For purchasers of the single slot attached to a red memon, similar arrangements would apply, except that red memons would be subject to a non-disclosure agreement which would apply to both sides. This agreement would be in force for a minimum of 6 years, with extensions for further periods if both parties agreed this to be in their mutual interests.

The above is a simplified explanation without legal rigour. Actual implemented IBDAs would be subject to normal legal requirements and to negotiation in each case.


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