Post by
spacespot501 on Feb 01, 2009 2:46am
Licence agreement with COI
I'm curious to see what Converted Organics will do about their licence agreement with IBR. If they don't start production soon (FEB09) using the EATAD technology then IBR has the right to terminate the licence agreement. It's clear that COI would like to try their own HTLC technology to create solid fertilizer, but they'll have to spend millions more to upgrade their New Jersey plant to do so! Huge EATAD digesters are already in place and ready to work but they remain idle. I think that maybe COI thought that IBR would go into receivership and that they wouldn't have to pay the 9% royalties. Or that maybe they could aquire the rights to the technology and patents on the cheap!
The bluff doesn't seem to be the best course of action anymore. With a new deal in California and the people in Ireland moving forward, IBR looks like a survivor for now. A bit more cash and we'll be able to flex some legal muscle on COI. After all, their whole game plan was based on EATAD technology wasn't it? And wasn't the Rhode Island plant also approved based on EATAD? We should terminate the licence agreement COI and sell the rights to that part of the states to a competitor to COI. Time will tell.