22nd Century Group Inc (XXII)

[Orion Nebula]

I don't read it exactly that way. I read that BAT will own the research and the right to commercialize it unless the research was done solely by xxii or for xxii. BAT will sell a non-exclusive, non-sublicensable right to all the research done by BAT to xxii at a reasonable price. As far as what was in place prior to the agreement, I read that xxii will provide all of that info to BAT.

The competitive issue is not very pressing as I see it. Remember BAT must pay 50% of the profit to xxii for the sublicensed activity. But xxii must pay 50% to BAT for anything xxii licenses or sublicenses too. If I were xxii, I would let BAT carry the ball. Different story in the U.S. though.

The licensing/sublicensing issue won't happen right away anyway as they have to get through the Research term of the agreement first.