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FINAL REPORT
Search Criteria: Royalty Rate Reports
Date: 3/29/2018

General

No. Unique Code Type Licensor Licensor’s Activities Licensee

License, Accelerated
Eco Global
1 RR20130125T01001 Technology, Acquisitions XI,
Corporation
Patent Inc.

Know-how,
Licensor has developed a system
License, Urban
TerraSphere of modules and processes for
2 RR20141003T05001 Trademark, Agricultural
Systems, LLC growing plants in a controlled
Technology, Corp.
environment.
Patent

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The principal business of licensor,

through its subsidiary, is to provide
Know-how,
code engineered cargo shipping Red Cardinal
3 RR20150715T09001 License, SG Blocks, Inc.
containers in order to meet the Holdings, Inc.
Technology
growing demand for safe and
green construction.

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General

Licensee’s Activities Description of Object Geographical Scope

Licensee intends to design, manufacture and market

customized concrete block products, interlocking
concrete blocks, roofing structures, light concrete
aggregate panels and a 'kit system' of a pre-fabricated
houses or structures on a standard format or custom
made basis according to customer blue prints.
License under technology and patent rights to make, use and apply
certain technology known as 'Block Construction System' (concrete
Global grant
interlocking modular blocks system, which can be safely and
efficiently assembled without any mortar).

Global grant – for sales,

License under 'TerraShpere' trademark, technology, system
distribution and promotion
(including specialized equipment, nutrient delivery system, lighting
Licensee was organized to conduct urban indoor vertical of licensed plants;
equipment and software), patents and know-how related to growing
farming business. Commonwealth of
plants in a controlled environment to grow, promote, market, sell and
Massachusetts – for plant
distribute fruits, vegetables, herbs and spices.
growing and production

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Licensee is engaged in infrastructure development,

License to use the know-how and technology rights to develop,
green energy development and operations, oil camp,
manufacture, advance and promote code engineered containers for Global grant
workforce and consumer housing, and master planned
safe and sustainable construction of buildings.
real estate development.

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I. Identification of Intangibles and Legal Owner of Intangibles

Limitations

Date of Time Period - Time Period - Class of Product Exclusivity: Yes or No/
Time Period – Terms
Agreement Effective Date Cessation Date Limitation Description

11/03/2041, License shall continue for a period of

11/03/2011 11/03/2011 Yes
projected 30 years.

Yes; Licensor has an option to

License shall continue until the later
convert license to non-exclusive,
27/06/2010, 27/06/2025, of: period of 15 years or expiration of
27/06/2010 in which case no further
unspecified Unspecified the last-to-expire of the licensed
minimum royalties will be
patents.
payable.

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No; Upon full satisfaction of

21/04/2030, License shall last for a period of 15
21/04/2015 21/04/2015 debentures, license shall
projected years from the effective date.
become exclusive.

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Restrictions Specific Features

Stage of
Restrictions of the Use, Exploitation, Reproduction, Further Transfer and Useful
Extent and Duration of Legal Protection Develop
Further Development Life
ment

Licensee has a right to transfer the license; Licensee has a right to

sublicense and sublicensees shall be prohibited from either assigning
its sublicense or granting further sublicenses; Licensee has no right to The license includes the use of US patent with an expiration date of
assign the license; Licensor will not directly or indirectly compete with 16/5/2025.
licensee, nor the license, authorize or permit any third party to compete
with licensee with respect to the use of the licensed technology.

License includes 4 issued and 1 pending U.S. patent, 9 foreign

patents (8 pending and 1 abandoned); If licensor does not file,
prosecute or maintain patents related to its improvements to licensed
Licensee has no right to sublicense; Both parties have a right to assign
growth system, licensee may assume such responsibilities at its own
the license.
cost, and if licensee does not perform same responsibilities in
connection with its improvements, licensor may assume such
responsibilities at its own cost.

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Both parties have a right to assign the license; Licensee has a right to Licensee shall cooperate with licensor for the purpose of securing,
sublicense. preserving and protecting licensed technology.

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Functional Analysis
(Numbers from 1 to 4 reflect the distribution of functions, risks, costs and ass
ecific Features Functions Risks

Defense and Protection of

Research and Marketing

Unsuccessful Research

Unsuccessful Marketing
Design and Control of

Quality Control Over

Functions Performed

and Development
Research and
Development

Programmes

Intangibles
Marketing
Rights to Enhancements, Revisions and
Expectation of Future Benefit
Updates

Licensor shall retain all rights to the

√ √ √ √
improvements, but such improvements shall √ √ √ √ √
√ √ √
also be a part of the license.

Improvements to licensed plant growing

system made by licensor shall be included in
the license; Licensee shall make available to √ √ √ √
licensor (on royalty-free and non-exclusive
basis) improvements made by licensee.

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√ √ √ √ √ √
√ √
√ √ √ √

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II. Characterization of the Transaction

ions, risks, costs and assets between the parties. First number represents Licensor, second - Licensee.) Involving Intangibles
Risks Costs & Assets

Bear the Costs to Support

Provide Compensation to
Other Parties Performing
Technological Advances

(Adversely Affecting the

Relevant Risks Come to

Value of the Intangibles)
Product Obsolescence,

Consuming and Costly

Bear the Costs When

Transaction

the Performance of

Development Costs

Knowledge of Own
Infringement, Time

Product Liability
Involving the

Marketing Costs
of Competitors

Research and
the Functions
Transaction Use of

Employees
Functions
Transaction

Fruition
Involving Intangibles in
Defense

Involving
Transfer of Connection
Transfer of
Rights in With the Sale
Intangibles
Intangibles of Goods or
the Provision
of Services

√ √ √ √ √ √
√ √ √ √ √ √ √ √ √ √ √

√ √ √ √ √ √
√ √ √ √ √ √ √

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√ √ √ √ √ √
√ √ √ √ √ √ √

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III. Remuneration

Royalty Rate Base Other Payments

Licensee shall pay 3% of all royalties and fees received from

3,00 % Gross revenue
sublicenses.

Licensee shall pay to licensor a license issue fee of US

$1,000,000 for each facility constructed for licensed plant
5,00 % Net sale growing and minimum annual royalty of US $60,000
(increasing by $6,000 per year until minimum royalty per
licensed facility is $78,000).

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Licensee shall pay to licensor a guaranteed minimum royalty

10,00 % Actual revenue
of $10,000,000 annually.

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ation IV. Reference

Compensation and Other Details Document Title Link

http://www.sec.gov/Archiv
es/edgar/data/1497917/00
0107997411000214/aaxi8
Licensee shall pay licensor a royalty of 3% of all gross revenues LICENSING kex101_31711.htm
resulting from the use of the technology by licensee. AGREEMENT http://www.sec.gov/Archiv
es/edgar/data/1497917/00
0107997411000214/aaxi8
http://www.sec.gov/Archiv
k_3172011.htm
es/edgar/data/1381324/00
0116768710000026/aqum
Licensee shall pay to licensor a royalty of 5% of net sales of licensed 8k082010ex22.htm
plants sold by licensee, its agents or distributors; Royalties shall be http://www.sec.gov/Archiv
payable as long as licensor owns an issued patent for licensed TerraSphere License es/edgar/data/1381324/00
technology, provided that if obligation to pay royalties is based solely Agreement 0116768711000005/urban
on licensed technology (not including patents), such obligation shall ag10k123110.htm
continue for 15 years after the first commercial sale. http://www.sec.gov/Archiv
es/edgar/data/1381324/00
0116768710000026/aqum
8k082010.htm

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http://www.sec.gov/Archiv
es/edgar/data/1023994/00
0092189515001055/ex10
1to8k08066001_0421201
Licensee shall pay to licensor a royalty of 10% of actual revenues
LICENSE 5.htm
collected by licensee in connection with manufacturing, distributing
AGREEMENT http://www.sec.gov/Archiv
and selling of buildings using the licensed technology.
es/edgar/data/1023994/00
0092189515000069/forms
808066003_01132015.ht
m#prospectussummary

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