for technology development, transfer, licensing, consulta on or service.
Ar cle 844 The conclusion of a technology contract shall be conducive to the protec on of intellectual
property rights and the advance of science and technology, and shall promote the research and
development, transforma on, applica on, and dissemina on of the achievements in science and technology.
Ar cle 845 A technology contract generally contains clauses specifying the name of the project, the content,
scope, and requirements of the object, the plan, place, and manner of performance, the con den ality of
technological informa on and materials, the ownership over the technological achievements and the
method of proceeds distribu on, the criteria and method of the inspec on for acceptance, interpreta on of
terminologies, and the like.
Materials such as technological background informa on, the feasibility studies and technological evalua on
reports, the project task paper and plans, technology standards, technology norms, original design and
technical documents, as well as other technical documents which are relevant to the performance of the
contract may, as agreed by the par es, be component parts of the contract.
Where a technology contract involves a patent, it shall indicate the designa on of
the inven on, the applicant and the patentee thereof, the date of applica on, the applica on number, the
patent number, and dura on of the patent rights.
Ar cle 846 The method of payment for the price, remunera on, or royalty shall be agreed by the par es in a
technology contract, and the payment may be made in a lump-sum or by installment based on one- me
calcula on, or based on the method of commission payment or such payment plus an upfront fee.
Where the par es agree to adopt a method of commission payment, the commission may be drawn at a
speci c percentage from the price of the product, the newly-increased output value and pro ts a ained
from the exploita on of patents and the u liza on of technological know-how, or the sales revenue of the
product, or be calculated by other methods as agreed by the par es. The said percentage may be a xed
percentage, or one that increases or decreases year by year.
Where the par es agree to adopt commission payment, they may specify the method for examining the
relevant accoun ng books.
Ar cle 847 Where a right to use or transfer a work for hire belongs to a legal person or an unincorporated
organiza on, the legal person or unincorporated organiza on may conclude a technology contract on the
work for hire. Where the legal person or unincorporated organiza on concludes a technology contract to
transfer the work for hire, the creator of the work for hire has right in priority to acquire it on equivalent
condi ons.
A work for hire is a technological achievement that is accomplished as a result of performing the tasks
assigned by a legal person or unincorporated organiza on or that is accomplished mainly by using the
material and technological resources of the said legal person or unincorporated organiza on.
Ar cle 848 The right to use or transfer of a technological work product other than a work for hire belongs to
its creator who may conclude a technology contract on such work product.
Ar cle 849 An individual person who has accomplished a technological work product has the right to indicate
on the relevant documents of the technological work product that he is the creator thereof, and to receive
cer cate of honor and rewards.
Ar cle 850 A technology contract that illegally monopolies technologies or infringes upon others
technological work product is invalid.
Sec on 2 Technology Development Contracts
Ar cle 851 A technology development contract is a contract concluded by the par es concerning the
research and development of a new technology, product, technique, variety, or material, as well as the
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