Intellectual Property Rights (IPR) Policy

Skip to section

Introduction

Manchester Metropolitan University (the University) invests in the generation and exploitation of intellectual property (referred to as IP in this policy) in order to:

maximise the impact of its research
encourage and support the creativity, innovation and entrepreneurship of employees and students
maximise benefits for Greater Manchester and the region
strengthen the University’s reputation
achieve success for its academic vision and in particular its research strategy

Through this policy, the University seeks to recognise the achievements of its employees, students and associates who contribute to the generation of commercial IP by means of an encouraging reward structure. IP refers to creations of the mind, including inventions, or things written, made or produced.

Exploitation or commercialisation of IPR in the context of this policy means, where achievable, the University will seek fair market (or social) value for its IPR through the assignment, licensing, or other appropriate exploitation route, such as establishing a spin-out.

The Research and Innovation Directorate (R&I) on behalf of the University manages the University’s intellectual property portfolio and provides direction and support in the decision-making process as outlined in this policy. Management of IP is monitored through the IP Operations Group, which reports to the University’s Research and Innovation Committee (RIC).

Policy

Definitions

For the purpose of this policy, the following definitions apply:

Assignment means a transfer of ownership of intellectual property to another person.
Associate means a contractor, external research collaborator or visiting academic.
Disclosure is the point at which employees, students or associates disclose their idea through a formal process with the prospect of seeking protection.
Employee means anyone engaged by the University under a contract of employment or apprenticeship.
Intellectual property (IP) refers to creations of the mind, including inventions, or things written, made or produced.
IPR means all intellectual property rights, including (without limitation) patents, rights to inventions, know-how, copyright, performance rights and any other rights in any recordings (including rights in the sounds made), database rights, rights in computer software, rights in designs, trademarks, domain names, rights in confidential information, and all rights of a similar nature. For more information on copyright, please refer to the University’s Copyright Guidelines.
Licensing (or licence) is the granting of permission by the University for a third party to use university-owned intellectual property rights under defined conditions, which usually include term, territory and renewal provisions and any other provisions as it deems necessary.
Spin-out is a new, usually small, company formed to exploit intellectual property rights developed within a larger organisation, such as the University.
Student means an individual enrolled on a course of study and/or research at the University.

While the University’s teaching curricula may not be formally registered for intellectual property rights, it still aims to encourage and facilitate their licensing. Unlike registered IPR there will be no apportionment of revenue to an individual for licensing of teaching curricula.

Guidance and awareness

The Research and Innovation Directorate advises on IP-related matters including policy, process, and awareness. The directorate leads on the exploitation and commercialisation of university-owned IP. It can be contacted by email: ip@mmu.ac.uk

In keeping with its aim to encourage appropriate exploitation of IP and to share the benefits of exploitation, the University promotes the contents of this policy to all employees, via induction, staff training, awareness-raising events, and the intranet.

Ownership and exclusions

Employees

The University shall own all IPR in work produced by employees in the course of their duties and employment by the University, or by association to their employment by the University, unless otherwise agreed in writing. Such ownership is subject to the exceptions below.

Material produced in the course of employment includes, without limitation, work in any media generated by the use of the University’s equipment or facilities, recordings of the University’s sessions or lectures, or recording of any other reading, recitation or performance of the University’s materials referred to in the next paragraph.

For the avoidance of doubt, and without limitation, IPR in the following list belong to the University:

material produced for the purposes of the design, content, and delivery of a university course, whether used at the University’s premises or used in relation to a distance learning and/or e-learning project
material for projects specifically commissioned by the University
material produced in connection with externally funded research (subject to any agreement between the University and the funder)
material produced in the support and service capacity of the University’s staff (including, without limitation, software, finance records and administration reports, results, and data)

If any employee wishes to involve any associate or external third party in any of the University’s research and innovation projects, the employee in question should liaise with the Research and Innovation Directorate to ensure that an appropriate contract is put in place prior to involving such an associate or third party. This is so that the University can consider what contractual arrangements need to be put in place to protect the University’s position in respect of any IPR generated by the research and innovation project.

Exceptions

The University supports and promotes the principle of academic freedom and encourages its employees to advance their academic development and reputation through the publication of academic articles, conference papers and books. Under the terms of the University’s standard employment contract, an employee shall own the copyright in:

any scholarly work produced in furtherance of their professional career. A scholarly work includes books, contributions to books, articles and conference papers and shall be construed in the light of the common understanding in higher education of this phrase; and
any material produced by an employee for their personal use and reference, including as an aid to teaching.

In the event an employee wants to submit their scholarly work for publication with an external academic publisher, they will do so in accordance with the University’s Research Publication Policy.

The University shall continue to own the IPR in any recording referred to above, subject to any exceptions regarding performance rights applicable.

Students

If a student generates IPR pursuant to their studies or research, the standard position is that the student will own such IPR, unless the student:

is a postgraduate and receives a University studentship in which case such IPR will be owned by the University subject to any alternative arrangements with the student;
is a postgraduate and receives a bursary from, or has their fees paid or subsidised by, a sponsor in which case ownership of such IPR will be subject to the arrangement between the student, the University, and the sponsor.
generates IPR which builds upon existing IPR generated by, or jointly invented with, employees or associates (in which case the student will be required to assign such IPR to the University) and in respect of revenue generated by that IPR, the student will be entitled to apportioned income in accordance with the licensing section below; or
is also an employee of the University and developed the IPR in that capacity (in which case the student is treated as an employee for the purposes of this policy).

The University may be willing to support the protection and commercialisation of student-owned IPR. Students should in the first instance notify their course tutor who will then contact the Research and Innovation Directorate on behalf of the student. Following consultation with the head of department/school and the students involved, the Director of Research and Innovation will be responsible for the final decision as to whether the University wishes to protect and commercialise the student-owned IPR through the existing disclosure and assessment route. If the University agrees to support protection and commercialisation of student-owned IPR, the student will be required to assign such IPR to the University and in respect of revenue generated by that IPR, the student will be entitled to apportioned income in accordance with the licensing section below.

In the event a student wants to submit their scholarly work for publication with an external academic publisher, they will do so in accordance with the University’s Research Publication Policy.

Associates

Subject to any written agreement to the contrary, associates will be required to assign to the University any IPR they generate in the course of any activities carried out at the University (in which case in respect of revenue generated by that IPR, the associate will be entitled to apportioned income in accordance with the licensing section below).

The University recognises that in certain cases (including, without limitation, where a visiting professor remains an employee of another organisation), special arrangements may need to be negotiated regarding the ownership and use of IPR which the relevant associate may generate at the University.

Further assistance

Employees, students and associates must at the University’s request and expense undertake all such acts and execute all such documents which may be necessary to give effect to the terms of this policy, including the assignment or licensing of the relevant IPR, and to vest in the University all right, title and interest in the relevant IPR.

Nothing contained in this policy will limit any statutory right (that is any right granted under legislation) or common-law right (that is any right arising from case law) of an employee, student, or associate in relation to such IPR.

Disclosure

Disclosure of potentially commercially or socially beneficial IP is an important mechanism for protecting the rights and interests of employees, students and associates as well as those of the University. Disclosure helps to ensure that employees, students and associates are in a position to benefit from any original IP they develop, and to minimise the possibility of infringing the IPR of others working in the same area of knowledge.

Employees, students and associates are therefore required to disclose to the University all potentially commercially or socially beneficial IP generated during the course of their normal duties or studies, or as the result of a task specifically assigned by the University.

Employees and associates who believe they have developed exploitable IP (in terms of income or impact) should contact the Research and Innovation Directorate which will ensure that the disclosure is logged. They should also notify their faculty director of research and/or head of department/school. The Research and Innovation Directorate will provide advice and support on completing the IP technical disclosure form.

Students who believe they have developed exploitable IP should contact their course tutor and/or supervisor and the Research and Innovation Directorate (GSresearchdegrees@mmu.ac.uk) which will ensure that the disclosure is logged. The directorate will provide advice and support on completing the IP technical disclosure form, which is available via the Research and Innovation intranet.

A central record will be maintained within the Research and Innovation Directorate of all IP technical disclosures and their progress. The IP disclosure portfolio will be subject to reviews as required by the Director of Research and Innovation, the Director of Legal and Governance, and the Chief Financial Officer.

Protecting intellectual property

The cost of IP protection will be weighed against the potential return (both in terms of generating income and societal impact) from any IP. An assessment process will take place to ensure that investment is made only in IP with the strongest prospects of generating commercial income or societal impact.

In the first instance, subject to IP having been assessed as viable, the University may at its discretion pay for IP protection costs for a maximum of two years from the first date of registration of that IP. Continued protection will be dependent on evidence of a sustainable business case that details a viable route to market (in terms of income and/or impact) and/or a viable route for development or research funding. Assessment of the viability of the business case will be led by the Director of Research and Innovation.

Commercialisation progress will be monitored by the IP Operations Group and will be subject to regular review.

In accordance with this policy, all decisions in respect of the protection of the University’s IPR are made by the Director of Research and Innovation.

Waiver of rights

Should the University decide (at its sole discretion) to waive its claim to ownership of any IPR for any reason, the University will notify the inventor or author of such IPR (as those terms are defined in the Patents Act 1977 and Copyright, Designs and Patents Act 1988, respectively). Following any such notification, the University will upon request and at the inventor’s or author’s expense, assign all right, title and interest in such IPR to the inventor or author in question, save that where the IPR requested to be assigned has joint inventors or joint authors. The University will not assign such IPR to a joint inventor or author without the written consent of all joint inventors or authors.

Exploitation of IPR

The University is committed to maximising impact from its IPR to support the growth of the regional economy, strengthening its association with industry and realising potential social benefits/impact. As such, the University will exploit IPR generated by employees, students and associates with the aim of stimulating entrepreneurship at all levels in the University to build mutually beneficial relationships with industry that will assist in meeting the University’s research strategy.

The Director of Research and Innovation, on behalf of the University, in consultation with the inventor(s) or author(s) will decide on the most appropriate route to generating impact from its IPR including licensing, assignment, spin-out or publication.

Although the University will endeavour to act in good faith to maximise the value of university-owned IPR, the University makes no representation and gives no warranty as to the extent of any financial returns that may arise from the exploitation of such IPR.

All decisions related to patenting, licensing and assignment of University IPR will be the responsibility of the Director of Research and Innovation on behalf of the University having taken advice from the University’s stakeholders as required.

If the Director of Research and Innovation recommends a spin-out, including a social enterprise (a special type of organisation that is designed to benefit the community rather than private shareholders), is the most appropriate route, this recommendation will be presented to the University’s Research and Innovation Committee. (See the spin-outs section)

Revenue sharing from licensing, spin-outs and teaching curricula

Licensing

Licensing of university-owned IPR is one of the channels available to the University to maximise impact and build relationships with industry.

In the event that the University receives royalty or other income from university-owned registered IPR created by an employee, student or associate, such individuals will be entitled to an apportionment (as described in the next paragraph) of the relevant revenue received by the University under the relevant patent or intellectual property licence. Apportionment of revenue will take place after all direct and indirect costs borne by the University have been recovered.

Where more than one inventor or author is involved, these parties will be required to inform the Research and Innovation Directorate of the percentage allocation to each individual in order for payments to be made.

For clarity, the apportionment of net revenue will only be for registered IPR, and not for licensing of teaching curricula.

Subject to variation to reflect the relevant circumstances, the typical apportionment of net revenue deriving from such commercial exploitation of intellectual property will be on the following scale:

Net revenue (after recovered costs)

Up to £10k: 100% to the inventor/author
Between £10k and £60K: 50%
Above £60k: 33.3%

Apportionment rates are reviewed when required through an evaluation of effectiveness and a comparator analysis with benchmarked universities.

The Director of Research and Innovation will have final authority as to whether income shall be treated as deriving from exploitation of intellectual property rights and related know-how and is therefore eligible for revenue sharing.

Where applicable, the University will notify the relevant individual(s) of net revenue payments that will be due to the individual, and account on an annual basis to the relevant employee, student or associate for their share of the net revenue apportioned in accordance with the paragraphs above.

Individuals who may be entitled to payments under this policy who cease to be an employee or student of the University are responsible for ensuring that the University is kept informed in writing of their current details where any payments due to them may be sent.

If the University has not been able to make revenue payments due to individuals under this policy because the University does not have current details, then such payments which cannot be paid will be held in a bank account until such revenue payments are properly claimed. Any payments not claimed within five years from the date the royalty or other income is received by the University will be paid by the University, pro rata to the relevant shares to the other individuals entitled to share the revenue excluding the missing individual, or, if none, it will revert to the University.

Following the death of an individual due a revenue payment, that payment will be payable to the estate of the deceased.

For the purposes of this policy, apportioned revenue is the total revenue received by the University in relation to the relevant university-owned IPR minus all direct and indirect costs that have been borne by the University in relation to protecting and commercialising the IP.

Spin-outs

The University will consider forming a spin-out when this is the most appropriate route for IP exploitation. Where these conditions are met, the Director of Research and Innovation, together with the Director of Innovation Development, will discuss the spin-out route with the relevant individuals.

Where the Director of Research and Innovation advises a spin-out is the most appropriate route, this advice will be presented to the University Research and Innovation Committee for its consideration. Subject to the approval of the Research and Innovation Committee, the Pro Vice-Chancellor for Research will then present its recommendation to the University Executive Group and Board of Governors for approval.

The University wishes to ensure that spin-outs are appealing to external investment. To encourage external investment the University will usually:

assign relevant IPR to the spin-out rather than licensing IPR to the spin-out, subject to completion of milestones agreed with the Director of Research and Innovation;
set its equity limit in any spin-out at a maximum of 25%.
dilute its equity pro-rata (proportionally) with other shareholders;
not play an active part in the operational activity of any spin-out or take directorship positions.

The University cost of investment in the spin-out will be calculated to include any paid academic or other staff time specifically assigned to the spin-out.

Exceptionally, the University Research and Innovation Committee may recommend a further financial investment in a spin-out where a convincing business plan is presented to support the investment decision. This would also be subject to a demonstration of a clear contribution to the research strategy. The development of such plans will be supported and reviewed by Research and Innovation Directorate staff who will be responsible, with the inventors, for presenting such plans to the Research and Innovation Committee. If the Research and Innovation Committee proposes university investment then this proposal and business case will be presented to the University Executive Group, which will then present its recommendation to the Board of Governors for final approval.

Subject to variation to reflect the relevant circumstances, the typical apportionment of university equity in a spin-out will be on a scale that reflects the support which the University provides and will be capped at a maximum of 25%:

Example positions for spin-out formation and support

Basic support (formation of spin-out)

Equity share: IPR originators - 90%
Equity share: University - 10%

Full support (including but not limited to business development, IP protection, marketing, contract negotiation, investment of cash or academic time)

Equity share: IPR originators - 75%
Equity share: University - 25%

Apportionment rates will be reviewed regularly through an evaluation of effectiveness and a comparator analysis with benchmarked universities.

Inventors/authors who hold equity in a spin-out will not receive payments through the distribution of the University’s dividends.

Teaching curricula

The University has the right to license and commercialise its teaching curriculum for the wider benefit of the University.

Revenues received by the University from licensing teaching curricula will be apportioned to originator faculties (or service area) in accordance with prevailing University income distribution procedures, set out in the University’s Income and Banking Policy.

There will be no revenue sharing for employees in this instance.

Assignment or licensing of university IPR

Any arrangement or agreement which grants an external party (whether a sponsor, funding body, collaborator or any other party) a licence to the University’s IPR arising from research and/or innovation activities, must be approved by the Director of Research and Innovation.

Record keeping and audit

It is important that evidence supporting the position regarding ownership of IPR can be provided if it is to be commercially exploited. Therefore, all employees, students and associates who generate, or may generate, IP as part of their work at the University must keep clear, written, dated records of their research and/or development activities and results.

All employees, students and associates engaged in research and innovation activities at the University are required to comply with all applicable codes of practice and regulations.

The Research and Innovation Directorate will maintain a register of all the registered IPR owned by the University of which it has been made aware, including the date on which the relevant IPR was first reported to the directorate (see disclosure section above).

Employees, students and associates are required to cooperate fully with any audit of the University’s research and innovation activities arranged by the Director of Research and Innovation to identify IPR of potential commercial value.

Confidentiality and publication

The University and its employees, students and associates have an obligation to ensure that potentially exploitable IP is protected.

Although the University acknowledges the need of its employees, students and associates to participate in academic debate and attend conferences, individuals are reminded that premature publication of results arising from any university project will make it impossible to obtain the necessary IPR protection and may have other adverse impacts on IPR.

Therefore, employees, students and associates are advised not to publish or otherwise disclose through any means (including, without limitation, presenting papers or posters at conferences, or writing abstracts and/or chapters in books) results arising from any university research and/or innovation project until approval has been sought from the Research and Innovation Directorate. When required, further advice is available from the directorate, in consultation with the Legal Department/Law School, on protection and the implementation of any safeguards (for example confidentiality agreements).

The Director of Research and Innovation and the head of department/school will grant permission for such disclosure.

Disputes and appeals

In the event that any employee, student or associate has an issue or concern they wish to raise in connection with this policy, the employee should raise their concern in the first instance with their head of department/school.

In the event of any disagreement or dispute between an individual and the University in connection with this policy which cannot be resolved within a reasonable period of time, the dispute may be referred either by said individual or by the Director of Research and Innovation for final determination by the Research and Innovation Committee.

Review and variation

This policy has been equality impact assessed and is subject to amendment by the University from time to time and will be formally reviewed 24 months from the date it comes into effect and at regular intervals thereafter.

About this policy

Version: 3.0
Date equality impact assessment approved: 28 May 2024
Owner: Nick Brook
Authors: Sinéad McGovern, Commercial Development Manager, and Eimear McCartan Assistant Director of Legal Services
Approved date: 6 June 2024
Approved by: University Research and Innovation Committee, University Executive Group, Academic Board
Last reviewed: 6 June 2024
Date for review: June 2026
Changes in last review: Updates to inventor share of net royalties and university equity in spin-outs