§ 66-213. Mandatory contract terms.
§ 66‑213. Mandatorycontract terms.
(a) A contract forinvention development services shall set forth the information required in thissection in at least 10‑point type or equivalent size if handwritten.
(b) The contract shalldescribe fully and in detail the acts or services that the invention developercontracts to perform for the customer.
(c) The contract shallinclude the terms and conditions of payment and contract termination rightsrequired by G.S. 66‑212(e).
(d) The contract shallstate whether the invention developer contracts to construct one or moreprototypes, models, or devices embodying the customer's invention, the numberof such prototypes to be constructed, and whether the invention developercontracts to sell or distribute such prototypes, models, or devices.
(e) If an oral orwritten estimate of projected customer sales, profits, earnings and/orroyalties is made by the invention developer, the contract shall state theestimate and the data upon which it is based.
(f) The contract shallstate the expected date of completion of the invention development services,whether or not time is of the essence, and whether or not the terms includeprovisions in case of delay past the expected date of completion.
(g) The contract shallexplain that the invention developer is required to maintain all records andcorrespondence relating to performance of the invention development servicesfor that customer for a period not less than three years after expiration ofthe term of the contract for invention development services. Further, suchrecords and correspondence will be made available to the customer or hisrepresentative for review and copying at the customer's expense on theinvention developer's premises during normal business hours upon seven days'written notice, the time period to begin from the date the notice is placed inthe United States mail properly addressed and first class postage prepaid.
(h) The contract shallstate the name of the person or firm contracting to perform the invention developmentservices, all names under which said person or firm is doing or has donebusiness as an invention developer for the previous 10 years, the names of allparent and subsidiary companies to the firm, and the names of all companiesthat have a contractual obligation to the firm to perform invention developmentservices.
(i) The contract shallstate the invention developer's principal business address and the name andaddress of its agent in this State who is authorized to receive service ofprocess in North Carolina. (1989, c. 746, s. 1; c. 770, ss. 62.1(1), (2), (4);1991, c. 235, s. 1.)