Attachment 8
English Translation for Reference Use Only

Basic Policy on Intellectual Property Managementin NEDO Moonshot Research and Development Program
To accomplish the purpose of the Japanese Bayh-Dole System (designed to vitalize research
activities through the vesting of Intellectual property rights (Definition is as shown below) in
the entrustees and effectively utilize the technical results in the project activities) and theobjectives of this project, NEDO and project participants must implement the following
intellectual property management through the project.
Additionally, this project shall comply with the Guidelines for Operation and Evaluation of theMoonshot R&D Program. However, matters that are not described in this policy shall bedetermined as needed, based on the purpose of this project and agreements between the
project participants.
According to this policy, the project participants shall agree with each other on the handlingof intellectual properties before launching the project (the conclusion of the entrustment
contract). In preparing such an agreement, project participants must keep in mind theutilization of the research and development results toward future commercialization, andproject participants should also refer to the Ministry of Economy, Trade and Industry's
Guidelines for Intellectual Property Management in Government - commissioned Researchand Development (May 2015).
1. Definitions of the terms used in this policy(1) Inventions“Inventions” refer to the following items: The creation of inventions, ideas, anddesigns, the creation of circuit layouts stipulated in Article 2, Paragraph 2 of the Act
on the Circuit Layout of a Semiconductor Integrated Circuits (Act No. 43 of 1985), thedevelopment of plant varieties stipulated in Article 2, Paragraph 2 of the Plant Variety
Protection and Seed Act, the creation of writings and the invention of technicalinformation that can be kept secret and concealable and has proprietary nature(hereinafter referred to as Know-How).
(2) Inventors“Inventors” refer to those who developed Inventions.
(3) Intellectual property rights
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“Intellectual property rights” refer to the following rights: Patent rights, the right to the
grant of a patent, utility model rights, the right to obtain a utility model registration,
design rights, the right to obtain a design registration, layout-design exploitation rights,
the right to obtain a layout-design exploitation registration, breeder's rights, the position
to obtain a variety registration stipulated in Article 3 of the Plant Variety Protection andSeed Act (Act No. 83 of 1998), and copyrights (including all rights stipulated in Articles
21 through 28 of the Copyright Act (Act No. 48 of 1970)), as well as those rights
equivalent to the rights and positions mentioned above and the right to use the position
and Know-How in foreign countries.
(4) Foreground intellectual property (foreground IP)“Foreground IP” refers to the Intellectual property rights that the project participantsacquired as a result of project implementation.
(5) Background intellectual property (background IP)“Background IP” refers to the Intellectual property rights that the project participants
had held before the start of the project, and the Intellectual property rights that theproject participants acquired after the start of the project independently from the project.
2. Matters stipulated in the entrustment contract(1) The Japanese Bayh-Dole Act (Article 17 of the Industrial Technology Enhancement Act)NEDO shall not receive Foreground IP from a research and development entrustee
subject to its compliance with the following matters, which are stipulated in each item ofParagraph 1 of Article 17 of the Industrial Technology Enhancement Act, and theGuidelines for Operation and Evaluation of the Moonshot R&D Program. However, if theresearch and development entrustee is an overseas company or the like (a company,university, or research institution in a country other than Japan; the same applies
hereinafter), the entrustee and NEDO shall be able to share the Foreground IP subject
to the entrustee's compliance with the following matters. In this case, 50percent or moreof the total equity interest held by the entrustee and NEDO shall belong to the latter.
• When having produced research results, the entrustee must report them to NEDO
without delay.
• If the Japanese government requests it citing public interests, the entrustee must
license the Foreground IP to NEDO free of charge.
• If the Foreground IP has not been utilized for an extended period, the entrustee must
license the Foreground IP to third parties based on a request from the Japanese2

government.
• When transferring the Foreground IP, the entrustee must receive prior approval fromNEDO.
(2) Implementation of surveys on how Intellectual property rights are being utilized (BayhDole surveys)
To promote the effective use of technical results, NEDO shall implement Bayh-Dolesurveys against the entrustees to understand how Intellectual property rights are beingutilized.
(3) Other matters(i) When being merged or acquired, the entrustee shall report it to NEDO without delay.
NEDO shall review the Foreground IP the entrustee holds even after the transfer,from the standpoint of effective utilization in the project activities. NEDO shall have athird party other than the holder of the Foreground IP take necessary post-transfermeasures, for example, by requesting a non-exclusive license with a right tosublicense.
(ii) If the project participant is an overseas company, the matters listed below shall bestipulated.
a) NEDO shall be able to license to third parties the Foreground IP shared only by
NEDO and an overseas company or the like, and the overseas company or thelike shall agree to such an arrangement.
b) Concerning applications for the Foreground IP that NEDO shares with an overseas
company or the like, the overseas company or the like shall bear the costs.
3. Matters stipulated in agreements between the project participants(1) Development of intellectual property management implementation system
The Intellectual Property Management Committee Meetings will be established toimplement intellectual property management appropriately under this policy.
The Intellectual Property Management Committee Meetings is tasked with the policymaking on the acquisition of rights, concealment, disclosure, and licensing
coordination associated with research and development results.
The Intellectual Property Management Committee Meetings consists of project
managers or their substitutes, the leaders of individual themes, the representatives ofthe project participants, intellectual property experts, and so forth.
The operation rules for the Intellectual Property Management Committee Meetings will3

be developed to stipulate the matters relating to the operation of the committee
meetings, including deliberations, decision-making procedures, and constituentmembers.
(2) Protection of confidential information
To protect confidential information when disclosing the technical information eachparticipant holds to other participants, the project participants shall agree with eachother in advance on the necessary procedures and the scope of subject technicalinformation.
(3) Prior approval for the disclosure of the project’s technical results to third parties
The project's technical results must not be disclosed or leaked to third parties otherthan the project participants without obtaining approval from the Intellectual Property
Management Committee Meetings.
(4) Decision-making procedures for notification and the acquisition of rights such as forInventions and other technical results.
When having developed an invention as a result of project implementation, theentrustee shall immediately notify the Intellectual Property Management Committee
Meetings of the invention and detailed technical results.
The Intellectual Property Management Committee Meetings shall deliberate thenotified invention and technical results concerning the need for the acquisition of a rightthrough an IP application or concealment, determining IP application target countries
in the former case and the duration of concealment in the latter case.
Even when having determined the concealment of the research and development
results, the Intellectual Property Management Committee Meetings need to discuss
the pros and cons of concealment with NEDO so that NEDO can assess the details of
the research and development results.
(5) Policy on the acquisition of rights based on research and development results
In the case where the acquisition of rights through IP applications is pursued based on
research and development results, the entrustees must promote such acquisition inmarkets outside Japan, where the market development makes sense, and theacquisition of rights seems necessary from the standpoints of the market size andcompetitive situations.
Instead of emphasizing the number of acquisitions of rights through IP applications,4the choice of not doing so should also be considered. At the same time, the necessityof concealment and disclosure in technical papers should be studied depending on thecontents of the technical results.
(6) Ownership of Foreground IP
Foreground IP shall be taken over by the project participants to which the Inventersbelong, based on the project participant's rules for office regulations and otherregulations on Inventions.
In anticipation of future commercialization, the project participants shall agree witheach other in advance on the stipulation of transferring all of part of the Foreground IP
to parties other than the institution to which the Inventers belong, within the scopenecessary for the right person to retain the Foreground IP in the following three cases:i) even if the institution to which the Inventers belong retains the Foreground IP, there
is no hope of effectively utilizing the research and development results, ii) when theinstitution to which the Inventers belong is a re-entrusted contractor, the IP may spreadout if the contractor retains the Foreground IP, which interferes with thecommercialization, and iii) if the project participants establish a research anddevelopment partnership, which is expected to become a business company throughorganizational changes.
(7) Implementation of shared Foreground IP
Unless otherwise specified, the project participants shall be able to implement theForeground IP they share with other project participants without restriction, free ofcharge.
In the case of the involvement of universities, etc. that are unable to implement theForeground IP as joint owners, compensation based on the lack of an implementation
ability on the university side shall be treated as follows. However, this requirement does
not rule out other types of compensation if the joint owners agree with each other inadvance.
(i) Free of charge for the pre-implementation period.
(ii) Two cases shall be studied for the implementation period as follows: If theuniversities can license the Foreground IP to third parties without restriction – freeof charge. Conversely, if the universities cannot license the Foreground IP to thirdparties (the joint owners secure a privileged position) – charged.
(8) Licensing of Intellectual property rights
5(i) Licensing during the project period
The project participants shall not exercise the Intellectual property rights they hold(including Foreground IP and Background IP; this applies to (ii) described below)
against research and development activities in projects pursued by other project
participants during the project period, which will facilitate the smooth
implementation of the project.
However, this requirement does not apply if there is a separate agreement between
the project participants on licensing on a charge basis.
(ii) Licensing for the commercialization of technical results from the project
To the extent necessary for the project participants to commercialize technicalresults from the project using Foreground IP, other project participants shall license
the Intellectual property rights they hold.
However, if licensing Intellectual property rights is expected to affect the existing
and future business activities of the owners of these Intellectual property rights,
such as domestic companies, other project participants shall be able to deny arequest for such licensing. Also, the scope accepted as an exception (particularly
the handling of Background IP) shall be defined as needed based on agreement
between the project participants.
The negotiations between concerned parties may become tangled concerning thescope of implementation, implementation fees, and other matters, which mightinterfere with the commercialization of technical results from the project. In such acase, the Intellectual Property Management Committee Meetings shall conduct
necessary coordination to solve the problems rationally.
(iii) Licensing of Foreground IP to parties other than the project participants
When the project participants license the Foreground IP they hold to other project
participants, it shall be conducted on the same or more favorable conditions thanwhen licensing the same Foreground IP to parties other than the project participants.
(9) Succession of duties to Foreground IP transferees
When transferring Foreground IP, the project participants shall have the transferees
succeed the duties imposed on the Foreground IP such as licensing.
(10) Response to changes in the project system
The project participants shall continue to succeed the duties imposed on themselves
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by the intellectual property agreement even after withdrawing from the project.
In the event of a change in the framework of the project participants, such as theaddition of new participants, the newcomers shall have the same rights and duties as
the original project participants have.
(11) Validity period of agreements
To prevent interfering with the commercialization of technical results from the project,
the validity period of agreements shall be stipulated to the extent including the period
after the completion of the project.
(12) Review of agreements
The agreements made between the project participants shall be reviewed depending
on post-agreement situational changes.
4. Promoted use of unutilized technical results
NEDO is trying to maximize the outcome from the project's technical results. To that end,
NEDO shall promote the use of technical results that are not utilized and can be madeopen to third parties (samples, Intellectual property rights, etc.) through match-making for
the users who wish to use them.
NEDO is performing the factor analysis of unutilized technical results using information
obtained from Bayh-Dole surveys. NEDO is also studying measures to further promote
the use of technical results based on the intention of the Japanese Bayh-Dole Act.
Supplemental Provision
The Japanese language version of this policy shall be the authentic text. Even if an English
language version is created for reference purposes, only the authentic text of the Japaneseversion shall be effective, and the English translation shall not have any force thereon.

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