IDEAS home Printed from https://ideas.repec.org/a/bpj/bejeap/v24y2024i4p1175-1207n1003.html
   My bibliography  Save this article

Patent Clearinghouse and Technology Diffusion: What is the Contribution of Arbitration Agreements?

Author

Listed:
  • Bacchiega Emanuele

    (Dipartimento di Informatica – Scienza e Ingegneria, Alma Mater Studiorum – Università di Bologna, Bologna, Italy)

  • Bonroy Olivier

    (Université Grenoble Alpes, INRAE, UMR GAEL, Grenoble, France)

  • Hervouet Adrien

    (Université Grenoble Alpes, INRAE, UMR GAEL, Grenoble, France)

Abstract

One of the acknowledged advantages of patent clearinghouses is that they favor the diffusion of technology. In traditional clearinghouses, patents are usually bundled in pools and sold at a pre-set price. Recently, in the biotechnology industry a new form of clearinghouse has been observed, where patent tariffs are instead bargained over by the clearinghouse members. Exchange is then guaranteed by arbitration agreements to which the negotiating parties are bound, should their bargaining reach a dead end. This paper assesses the effect on technology diffusion of this new type of clearinghouse. We show that such arbitration agreements, through their effect on the outside options, may reduce the incentives of a member of the clearinghouse to license to non-members. This result highlights the role of such arbitration agreements in the diffusion of technology outside the clearinghouse.

Suggested Citation

  • Bacchiega Emanuele & Bonroy Olivier & Hervouet Adrien, 2024. "Patent Clearinghouse and Technology Diffusion: What is the Contribution of Arbitration Agreements?," The B.E. Journal of Economic Analysis & Policy, De Gruyter, vol. 24(4), pages 1175-1207.
    • Handle: RePEc:bpj:bejeap:v:24:y:2024:i:4:p:1175-1207:n:1003
    DOI: 10.1515/bejeap-2023-0220
    as

    Download full text from publisher

    File URL: https://doi.org/10.1515/bejeap-2023-0220
    Download Restriction: For access to full text, subscription to the journal or payment for the individual article is required.
    File URL: https://libkey.io/10.1515/bejeap-2023-0220?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to look for a different version below or search for a different version of it.

    Other versions of this item:

    More about this item

    Keywords

    biotechnology industry; vertical contract; arbitration agreements; patent clearinghouse;
    All these keywords.

    JEL classification:

    • L14 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance - - - Transactional Relationships; Contracts and Reputation
    • Q16 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - R&D; Agricultural Technology; Biofuels; Agricultural Extension Services

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:bpj:bejeap:v:24:y:2024:i:4:p:1175-1207:n:1003. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Peter Golla (email available below). General contact details of provider: https://www.degruyter.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.