Royalty Audit and Contract Compliance
Proactively protecting Intellectual Property (IP) and the royalty streams it generates is a vital function for licensors. Underpayments can be significant, and may stem from a variety of reasons, some malicious and some benign including poor systems, processes and controls. Other contributing factors include mistakes, personnel turnover, contractual misinterpretations, rapid growth, aggressive and fraudulent account practices resulting in unreported products/services, underreported sales excessive and inappropriate deductions. Licensees can ship unapproved product, encroach on rights granted to others and fail to exploit certain granted rights. EisnerAmper’s Royalty Audit and Contract Compliance Group identifies, quantifies and recovers royalties and other amounts due to licensors, provides essential information on the activities of their licensees and helps clients strategically protect their IP and royalty streams.
We represent trademark, copyright, brand, and patent licensors across a variety of industries around the world, with concentrations in consumer products, entertainment, high technology and life sciences. Our clients range from individuals, entertainment companies, fashion designers, sports leagues and brands to Fortune 500 organizations, inventors, electronics manufacturers, biotech companies, universities and research institutes.
Clients who hire our Royalty Audit and Contract Compliance team can expect several distinctive EisnerAmper approaches. First, we focus on tangible results, including the recovery of underreported revenue and the re-establishment of contractual baselines. Second, we support relationships, entering into engagements with the understanding that licensor and licensee have shared interests in a collaborative resolution of differences that will keep their business relationships strong and mutually profitable. Third, we provide essential market insight; as the royalty compliance process is an opportunity to harvest business intelligence that will help our clients protect their IP, reputations and market positions as well as to maximize their licensing revenue.
EisnerAmper fosters relationships, so clients who work with us also benefit from our deep connections to networks of peer professionals in the licensing and royalty communities. Further, many clients have been with us for years. Our practice leaders are acknowledged professionals who are sought-after speakers at major industry events, author articles and serve as expert witnesses.