twenty-five percent rule

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Twenty-Five Percent Rule

1. A cautionary guideline for municipal bond investors stating that a municipality carries excessive debt if its long-term debt exceeds 25% of its annual budget. Investors are generally advised to be cautious about buying bonds from municipalities in violation of the 25% rule.

2. A rule stating that a person or company selling a product based on the intellectual property of another must pay a 25% royalty to the owner of the intellectual property. The 25% rule is applied to copyrights, trademarks, trade secrets, and other forms of intellectual property.

twenty-five percent rule

A guideline for municipal bond buyers that indicates that if a municipality's total long-term debt exceeds 25% of its annual budget, the debt is excessive.
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It is on the basis of that 25 percent rule that all our present officials are in place.
Previously, senior personnel had the power to determine how "excessive" a tattoo might be in size and if it violated the 25 percent rule, which said no tattoos could cover 25 percent or more of an exposed body part that could be viewed while in uniform, other than training gear.
Barry said these lagging effects include scrutiny over use of the "entire market value rule", and a related tendency to apportion damages to smallest saleable patent-practicing unit; disallowance "25 percent rule" in determining damages, along with greater rigor demanded in damages analyses; low royalty rates for standards-essential patents and; narrower definition of what constitutes an "comparable" patent license against which to benchmark the subject patent.
For years, many trial courts have relied on the 25 percent rule of thumb, which calls for a 25 percent royalty rate in calculating patent infringement damages in cases such as Uniloc v.
The 25 percent rule relied on the supposition that the licensee would be willing to give up 25 percent of profits for the right to use a patented technology or device, keeping 75 percent.
Although the Federal Circuit sided with Uniloc in reversing the district court's JMOL on the issue of infringement, it agreed with Microsoft's assessment of the damages as excessive and, in addition to throwing out the 25 percent rule of thumb used to calculate the damages, it excluded expert testimony that "checked" the suggested damages using the "entire market value rule." The court made clear that damage calculations should not be based on an infringing product's entire market value unless "the patented feature creates the 'basis for customer demand' or 'substantially create[s] the value of the component parts.'"
At trial, Uniloc's expert testified that, based on the 25 percent rule, appropriate damages in the case would total nearly $565 million.
"They won't withstand scrutiny at the appellate court, just like the 25 percent rule didn't withstand scrutiny."
(5) This "incidental" death benefit requirement is also satisfied if: (1) the cost of the benefit is less than 25 percent of the cost of all benefits provided under the plan (the 25 percent rule); or (2) less than 50 percent of the employer contribution credited to each participant's account is used to purchase "ordinary life insurance" (if either term insurance or universal life insurance is purchased the 50 percent is reduced to 25 percent).
Another discrimination issue involves what is commonly called the "25 percent rule." This stipulation requires that no more than 25 percent of the pre-tax benefit may go to primary employees, such as the company owner and high-paid, managerial employees.