Bud Patents a Device That Allows Its User to Pretend

question 12

Multiple Choice

Bud patents a device that allows its user to pretend to imitate the ability of a superhero copyrighted by Comic Con Inc. Bud and Comic Con enter into a licensing agreement to make and sell the device as a toy to the public. Under the terms of the license, the licensee agrees to pay Bud royalties of 4 percent. Their contract does not specify an end date. According to a majority of the United States Supreme Court in Kimble v. Marvel Entertainment , LLC, Comic Con can legally stop the payments

• A)whenever Comic Con chooses.
• B)never.
• C)when the copyright expires.
• D)when the patent expires.

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Definitions:

Shareholder

An individual or entity that owns shares in a corporation and has potential financial gains or losses based on the company's performance.

Corporation

A legal entity that is separate and distinct from its owners, possessing rights and responsibilities, capable of conducting business, entering into agreements, and owning property.

Novation

The act of replacing an obligation to perform with a new obligation, or replacing a party to an agreement with a new party.

Valid Obligation

A legal term denoting a binding duty or commitment that has been established through proper legal or contractual procedures, enforceable by law.