MMRGlobal signed a Settlement and Patent License Agreement last Dec. 9 worth $ 30 million with Surgery Center Management to license the Company’s Health IT and Personal Health Record patents, including various patents covering uses of MMR’s personal and professional Health IT products and services.
These include the Company’s MyMedicalRecords.com (www.mmrvideos.com) Personal Health Record and MMRPro (www.mmrprovideos.com) document imaging and scanning solutions for healthcare professionals plus additional usage royalties as outlined in the Agreement. The Agreement specifically excludes any of MMRGlobal’s biotech assets.
Under the terms of the Agreement, MMR shall issue a limited, non-exclusive, non-transferable license to the Licensed Patents which cover the Licensed Products and/or Licensed Services to develop, make, have made, use, sell, lease, license, demonstrate, market and distribute the Licensed Products and/or Licensed Services under Licensee’s brand, or private labeled for channel or distribution partners who purchase the Licensed Products and/or Licensed Services for resale to end customers.
The Licensed Patents shall mean any issued or pending U.S. and/or foreign patent applications and/or issued patents including but not necessarily limited to Singapore, Hong Kong, Israel, South Korea, Mexico, New Zealand, Canada, Germany, Japan, United Kingdom, and the United States. The Agreement includes settlement of any potential claims by MMRGlobal against SCM and its affiliates for any past patent infringement.
“Last year, MMRGlobal celebrated the New Year by announcing a $ 13 million biotech licensing agreement. This year, MMR will go into the New Year announcing a $ 30 million licensing agreement. These license agreements highlight the potential value in the Company’s patents and other Intellectual Property.” – Robert H. Lorsch Chairman & CEO MMRGlobal
The Agreement also contains customary provisions for this type of Agreement, such as the term of the Agreement, terms for payment, warranties and representations of the parties, and indemnities by the Company and SCM to each other. Although the effective date of the Agreement is December 9th, certain material rights and releases contained in the Agreement require that SCM pay the entire $ 30 million to MMR before those rights and releases become effective without which MMRGlobal would not have entered into the Agreement. The Company intends to file the Agreement as an exhibit to the Company’s Annual Report on Form 10K.
Favrille spent more than $ 100 million in development of certain intellectual property that includes biotech patents and patient samples, which MMR is working to license to biotech companies, universities and others. As previously reported, the Company has already demonstrated its ability to license portions of these biotech assets.