PUBLIC LAWS-CH. 634-OCT. 31, 1942 facture, use, sale, or other disposition of the licensed invention for the United States, taking into account the conditions of wartime Defenses available. production. In any such suit the United States may avail itself of any and all defenses, general or special, that might be pleaded by a R.s . 8§48834971. defendant in an action for infringement as set forth in title sixty 36 U.S. C. j§ 31-79; Supp. I, § 47. of the Revised Statutes, or otherwise. Settlement and com- SEC. 3 . The head of any department or agency of the Government promise of claims. which has ordered the manufacture, use, sale, or other disposition of an invention, whether patented or unpatented, and whether or not an order has been issued in connection therewith pursuant to section 1 hereof, is authorized and empowered to enter into an agreement, before suit against the United States has been instituted, with the owner or licensor of such invention, in full settlement and com- promise of any claim against the United States accruing to such owner or licensor under the provisions of this Act or any other law by reason of such manufacture, use, sale, or other disposition, and for compensation to be paid such owner or licensor based upon future manufacture, use, sale, or other disposition of said invention. aEffetof reduction SEC. 4 . Whenever a reduction in the rates or amounts of royalties is effected by order, pursuant to section 1 hereof, or by compromise or settlement, pursuant to section 3 hereof, such reduction shall inure to the benefit of the Government by way of a corresponding reduction in the contract price to be paid directly or indirectly for such manu- facture, use, sale, or other disposition of such invention, or by way of refund if already paid to the licensee. Delegation of a u- SEC. 5 . The head of the department or agency of the Government . concerned is further authorized, in his discretion and under such rules and regulations as he may prescribe, to delegate and provide for the delegation of any power and authority conferred by this Act to such qualified and responsible officers, boards, agents, or persons as he may designate or appoint. Manutcture, use, SEC. 6. For the purposes of this Act, the manufacture, use, sale, or other disposition of an invention, whether patented or unpatented, by a contractor, a subcontractor, or any person, firm, or corporation for the Government and with the authorization or consent of the Government shall be construed as manufacture, use, sale, or other disposition for the United States and for the purposes of the Act of June 25, 1910, as amended (40 Stat. 705; 35 U. S . C. 68), the use or manufacture of an invention described in and covered by a patent of the United States by a contractor, a subcontractor, or any person, firm, or corporation for the Government and with the authorization or consent of the Government, shall be construed as use or manufac- ture for the United States. Applcabity. SEC. 7. This Act shall apply to all royalties directly or indirectly charged or chargeable to the United States for any supplies, equip- ment, or materials to be delivered to or for the Government from and after the effective date of the notice provided for in section 1 hereof. This Act shall also apply to all royalties charged or chargeable directly or indirectly to the United States for supplies, equipment, or materials already delivered to or for the Government which royal- Duration of rtain ties have not been paid to the licensor prior to the effective date of provisions, the notice provided for in section 1 hereof. Sections 1 and 2 of this Act shall remain in force only during the continuance of the present war and for six months after the termination thereof, except that as to rights accrued or liabilities incurred prior to termination thereof, the provisions of this Act shall be treated as remaining in force and effect for the purpose of settling, sustaining, qualifying, or defeating any suit or claim hereunder. 1014 [56 STAT.
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