A:

Certainly it would have been better in the technical annex, and the principle of when and how Intellectual knowledge is protected by individual partners and its use by other partners should have been covered in the consortium agreement for the project, duly signed by all the partners.  However, the issue of intellectual property is not always foreseen when the proposal and technical annex is written.

Even though classified as “other” costs, most PO’s are flexible and if the cost can be justified, it will be allowed. We suggest a discussion with the PO via the co-ordinator, before including the cost on the form C,  where the rationale and benefit for the project/EU can be explained. After verbal agreement send a summary of the agreement to the PO in writing, so as to avoid misunderstanding.

There are now (in FP6 as opposed to earlier Framework Programmes) no cost categories (except distinguishing between direct and indirect and the problem of subcontract and “other” costs) and therefore  most costs should be funded by EU if required for the project and they are “economic, necessary and actual’, even if the division between personnel, consumables, etc. are not exactly as anticipated at the time of the proposal (note that at the time of proposal no table of costs showing the split between categories is given, although the proposal may refer to individual items). However, patent costs are classified as “other” costs and strictly cannot be transferred freely like other costs. For this reason the agreement of the PO will be required.

No one would expect that intellectual property developed in the project which will be of value to one or more of the partners and to the EU as a whole, be freely available to the “whole world” (and the EU does not want it to be freely available to non-EU countries). As such if it can be explained in the periodic management reports on activities, after the agreement with PO as explained above, as why the patent is important to the project and its partners (who will have special rights of use during the project and, possibly after its completion), and the consortium agrees, part of that partners budget can be reallocated to intellectual property protection.