Any RFP that may result in a contract other than a firm-fixed-price contract must include Provision 8-4: Royalty Report with regard to any royalties or license fees that would be paid in connection with the performance of any resulting contract. The CO must consult legal counsel regarding any royalties or license fees that are excessive or that the Postal Service may not be obligated to pay.When the price of a contract is based in part on a contingency for patent royalties or license fees to be paid by the supplier that the supplier may not actually have to pay, Clause 8-12: Refund of Royalties must be included in the contract.
