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License Application Guide

This document outlines the process for obtaining a license to produce royalty-bearing merchandise bearing the trademarks of collegiate institutions (universities, colleges, service academies, etc.) represented by The Collegiate Licensing Company (CLC). If you intend to produce merchandise bearing the trademarks of collegiate institutions for university departments and related entities for internal consumption, please download and complete the application for Internal Campus Suppliers. Please review this document using Adobe Reader XI or a full version of Adobe. Several pages within this document are fillable PDF forms and by utilizing Adobe Reader XI or a full version of Adobe, the forms can be completed directly, saved to your desktop, and edited if necessary. CLC also represents the NCAA, certain bowls, athletic conferences, and other related properties and operates a separate application process for each of them. If you are interested in applying for one of these properties, please download the application from the “Licensing Info” section of www.clc.com. This guide is divided into three (3) primary sections and includes (3) appendices:

I. Overview II. Does a Collegiate License Make Sense for Your Company? III. Application Process - Final Thoughts

It is very important that you read through each section of this document in order to ensure a complete understanding of the application process, the type of license that makes sense for your company, and the commitment/resources necessary to obtain approval.

ENCLOSURES LIST Following is a list of the documents that are enclosed in the application package. If there are any pages that are missing, please email [email protected] and request the missing documents. 1. License Application Guide (this document) 2. Phase I Application Checklist* 3. CLC License Application* 4. Factory/Supplier Information Form* 5. Strategic Marketing & Distribution Plan Outline (for Local and Standard Applicants) 6. CLC Institution & Fee List* 7. Insurance Information 8. MyiCLC Registration Form* 9. Logos on Demand Information 10. Workplace Code of Conduct and Fair Labor Association (“FLA”) Information 11. CLC Retail Product License Agreement Synopsis *These documents are fillable PDF forms that allow the user to type directly into the document if using Adobe Reader XI or a full version of Adobe. HOW TO OBTAIN ANSWERS TO YOUR QUESTIONS If you have questions throughout the application process, please use this document as a reference or email your questions regarding the application process to [email protected]. Answers to most questions are contained herein. Please read through this entire document, the Phase I Checklist, and other enclosures before contacting CLC. I. OVERVIEW

CLC’s ROLE Nearly 200 collegiate institutions throughout the United States have entrusted the management of their trademark licensing programs to CLC. CLC is proud of its role in administering its clients’ licensing programs and has developed a comprehensive trademark management program that includes state-of-the-art license administration, trademark protection, and marketing systems. CLC manages all facets of the CLC partner institutions’ licensing programs and is responsible for interfacing with the institutions and their respective manufacturers and retailers.

http://www.clc.com/

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The Collegiate Licensing Company License Application Guide

LICENSEE’S ROLE Manufacturers have four primary responsibilities as collegiate licensees:

1. Always obtain institutional approval on all products, designs, labels, marketing & distribution plans, and advertising/promotional materials prior to any production and distribution.

2. Actively maximize distribution of collegiate products. 3. Pay royalties due to the institutions in a timely and accurate manner. 4. Ensure that your company and others within its supply chain manufacture products in a responsible manner that is

consistent with CLC partner institutions’ workplace codes of conduct, monitoring, and remediation standards. CLC has built many useful systems and services that assist licensees in meeting these responsibilities. Institutions require licensees to use CLC systems and services to ease and expedite the licensing process. These systems and services are introduced throughout this guide and the rest of the application process. THE PURPOSE OF THE APPLICATION The purpose of this application is to obtain detailed information about your company and the product(s) for which you seek licensure so that the respective institutions may determine if providing a license to your company is in the best interest of their licensing and merchandising programs. CLC serves as a conduit in managing the application process and makes recommendations to each institution about the viability of each applicant. The ultimate decision-maker on all new applicants, however, is each individual institution. Furthermore, many institutions have established a one-year waiting period for disapproved applicants. Accordingly, if an institution with this policy disapproves your application, you will need to wait one year before reapplying. As such, it is critically important that you take the necessary time to provide a thorough, all-inclusive response to the information requested in the application and the other documents herewith in order to make your best possible case for becoming a licensee. DECIDING WHAT TYPE OF LICENSE TO REQUEST There are three license types you can pursue with CLC. It is important that all applicants identify a desired license type and select it within the CLC License Application. Each license type is described in detail below: Internal Campus Supplier (application not included in this package) - The Internal Campus Supplier Agreement allows a company to produce merchandise bearing the trademarks of collegiate institutions for university departments and related entities for internal consumption only. Sales must be categorized as royalty exempt by the individual institution. Sales to university bookstores, alumni associations, student groups, and/or other university entities not included on the approved distribution list are not permitted. In addition, internal campus suppliers cannot sell to any entity if the product will be resold, used for promotional purposes (gift with purchase) or fundraising. If this is the type of license you wish to pursue, do not proceed further with this application; instead, please download the Internal Campus Supplier application at www.clc.com. This license type is the most expeditious and least costly to pursue but there are strict limitations on distribution.

Local License - The Local License is for companies that desire to obtain a license with an institution located in their immediate in-state marketplace. This license type may better suit companies that do not believe they can qualify for a Standard License, but believe they can demonstrate sales success within a few years at the local level in order to qualify. Local Licensees may only apply for up to five institutions located within the same state as their business. CLC highly recommends that you only apply for institutions that you are prepared to maximize in the near future. Local Licensees ARE permitted to sell product to institutions and their departments, retailers, and directly to consumers. A Local Licensee may not apply for a Standard License until licensed for at least one full year as a Local Licensee and must complete and submit a new application meeting all Standard application requirements. This license type is the next easiest type to pursue, but the costs are higher and geographic restrictions do exist. Standard License - The Standard License is intended for companies that are capable of extensive production and retail distribution of their product(s) and are introducing a unique and commercially viable product to the collegiate market. The Standard License is usually not for first-time applicants or companies without well-established marketing plans, existing product distribution, and/or a solid financial history of selling licensed products. We highly recommend that Standard License applicants provide as much detailed information as possible in their application to improve the likelihood of acceptance by the institutions. This is the most challenging and expensive type of license to pursue.

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Many companies initially become licensed as Local Licensees because they lack experience in the collegiate market. The Local License offers new/unproven companies the opportunity to establish distribution and sales without incurring the added costs, requirements, and elevated scrutiny of the Standard License. Success as a Local Licensee does not ensure approval as a Standard Licensee. It will, however, provide a sales and distribution history that is important to institutions in approving a company as a Standard Licensee. APPLICATION PHASES CLC’s application process consists of three phases for Standard & Local applicants. Phase I of the application will be completed once you have submitted your application and your application is conceptually approved by the institution(s). Following successful submittal of your application to CLC and conceptual approval from the institution(s), the next major piece of correspondence you will receive from CLC will be a Phase II packet. Throughout each phase of the licensing process you will be provided detailed instructions on how to complete the phase as well as the necessary forms. You will receive notices from CLC via MyiCLC or email if you fail to properly meet the requirements within each phase, so please pay close attention and submit thorough responses through all steps of the process. THREE PHASES OF THE APPLICATION PROCESS The following outlines the requirements of each phase of the application process for Standard & Local License applicants.

Phase I 1) Determine if a collegiate license makes sense for your company/product 2) Complete the License Application 3) Pay the Application Fee via check or money order drawn from a US bank 4) Provide a quality sample of your merchandise for which you are requesting licensure (including example of type of

logo application your product will incorporate - for example, embroidery, screenprint, etching, etc.) 5) Provide a sample/example of how your company name will be applied to product (company label) 6) Provide a credit report for your company 7) Provide an annual report, certified financial report, or business plan for your company 8) Provide a Marketing & Distribution Plan 9) Complete and submit the factory/supplier information form 10) Complete and submit the MyiCLC Registration Form 11) Review insurance information and obtain a quote from your insurance agent/carrier 12) Complete and submit the Corporate Responsibility and Supply Chain Compliance Questionnaire, including the

Factory/Supplier Information Form, if required by one or more of the institutions for which you are applying. This questionnaire will be forwarded to you by CLC if applicable. It is not included in this package.

Phase II 1) Obtain insurance and provide CLC with proof of acquisition 2) Register for Logos on Demand 3) Submit initial institution-specific product/designs via MyiCLC 4) Complete and send Product Specification Sheet(s) to CLC 5) Provide CLC with Authorized Manufacturers Agreements from all applicable suppliers/finishers that will be used throughout the product manufacturing process 6) Pre-order “Officially Licensed Collegiate Product” hologram labels or hangtags through J. Patton 7) Provide finished product samples for the applicable institutions that maintain this requirement 8) Register with the Fair Labor Association (“FLA”) if obtaining a license for one or more FLA affiliated institutions. Phase III 1) Fully disclose factory site locations to CLC 2) Review, sign, and return CLC’s Special Agreement regarding Labor Codes of Conduct 3) Pay royalty advances via check for all applicable institutions 4) Review, sign, and return the CLC Standard Retail Product License Agreement and send it to CLC for full execution 5) Hologram labels will be shipped by J. Patton once the CLC License Agreement is fully executed by CLC


II. DOES A COLLEGIATE LICENSE MAKE SENSE FOR YOUR COMPANY?

MAKING A GOOD BUSINESS DECISION Obtaining a license for CLC institutions requires a significant financial and time commitment. With more than 3,200 companies already licensed to produce a wide range of products, each institution is carefully analyzing every applicant and the products they submit. This can result in disapproved applications, most often by the larger institutions that generate significant sales. Although 86.3% of applications returned in 2012 were approved, the majority were for Local Licensees or Internal Campus Suppliers for emerging and mid-major institutions. The following statistics are for January through December 2012:

Applications Downloaded/Sent – 4,850 Applications Submitted to CLC – 862

Applicants that Completed Licensure - 582 Many companies that do receive a license are not well prepared for the ongoing costs of sustaining a successful collegiate business. Annual statistics have repeatedly shown that more than 50% of all new collegiate licensees were no longer licensed after just 18 months. The primary factor cited by these companies was their inability to secure sufficient retail distribution, sustain a revenue stream to justify maintaining the license, or inability to meet the reporting or other system requirements of CLC. This information is not being provided to dissuade you from applying for a license with CLC. However, it is important that you consider the significant investment that will be required in becoming a successful licensee before proceeding with your application. Collegiate licensing is a terrific opportunity for many companies to generate revenue; however, a license alone does not guarantee success, nor is it meant for all companies. INSTITUTION SELECTION & APPROVAL CRITERIA Each institution utilizes its own decision-making process to determine how to grant licenses. Some institutions grant licenses to many manufacturers, often within the same product category/distribution channel, and others are more selective in the types of companies/products they license. Typically, institutions that are among the top 50 selling institutions are more selective than institutions with emerging licensing programs. For a full list of the top selling CLC institutions, please visit CLC.com. Among the applicants for Standard Licenses, only those that excel in many of the following criteria are likely to be granted a license by the institutions:

1) Demonstrate a commitment and ability to invest in the collegiate market 2) Proven production and distribution capabilities 3) Established high standards for retailer customer service 4) Offer a new or unique product or an incremental means of distribution 5) Proven sales history with other collegiate/professional/entertainment licensors 6) Significant investments in retail, consumer, digital media and print media marketing efforts 7) Well-established track record as a successful business 8) Established relationships with major collegiate retailers 9) Strong brand equity or leadership status in a product category 10) Dedicated staff to manage the day-to-day licensing process and supply chain compliance

10) Internal infrastructure and systems to manage approval and royalty reporting processes 11) Demonstrated commitment to responsible sourcing and production of products throughout the supply chain.

Important Note: Several institutions have pre-existing exclusive agreements in some product categories and distribution channels that prevent them from considering other vendors. Also, because of existing saturation in key categories (i.e., t-shirts, headwear, jerseys, footwear, balls, jewelry, collectibles, and others), applicants for some categories will receive a higher level of scrutiny from CLC and the institutions in the application review process. If you wish to confirm the institutions and products for which you intend to apply are not affected by existing agreements, please email your list of institutions and products to [email protected]. CLC will provide additional information on any exclusives that are currently in place based on the information provided.



THE COSTS ASSOCIATED WITH BECOMING A LICENSEE Because the costs associated with a license can vary greatly depending on the institutions and product categories being sought, CLC encourages you to do a thorough cost analysis based on the specific institution/product licenses you wish to acquire. You should narrow the costs associated with the license(s) you wish to obtain by reviewing the information provided in this packet and by conducting some initial research (obtain insurance quote, determine existing technology capabilities, etc.). You should also consider the additional costs of marketing your product via advertising, trade shows, sales commissions, sample production, and internal administrative expenses. The following graph demonstrates the range of potential costs associated with becoming a Local or Standard Licensee and can be used as a general reference guide in assessing the business opportunity for your company. The most effective way to reduce costs is to limit the number of institutions. By only requesting institutions you are prepared to immediately maximize, you can save on your initial fee outlay and speed the application process. APPLICATION & ADMINISTRATIVE FEES Please review the cost chart above to determine the application fee that will apply for the license type your company is seeking. This one-time fee will not be refunded, even if your company applies for a Standard License and is only approved for a Local License. A CLC administrative fee is not charged during the first year as a licensee, but will be applied upon renewal every year thereafter. Standard and Local Licensees are required to pay $1,000 and $100 annual administrative fees, respectively. Additional administrative fees may be assessed each year at renewal if your company fails to comply with the terms of the CLC License or Labor Code Agreements or if licensed for multiple labels that are managed by separate accounts.

ROYALTY ADVANCE FEES, ROYALTY RATES, MR/U’s The vast majority of institutions charge annual advance fees to all Standard and Local Licensees. These advance fees are used as a prepaid credit balance against future royalties due on an institution-by-institution basis. Unused prepaid balances are retained by the institutions and, therefore, are not carried from one year to the next. Applicants are required to submit royalty advances in Phase III of the application process and upon renewal every year thereafter. Each institution also has a royalty rate or minimum royalty per unit (“MR/U”) that is used in calculating the royalty payments. In the majority of cases, these royalty rates are charged against the final wholesale invoice price charged to the retail customer, although unique royalty arrangements may apply depending on your distribution strategy. In product categories where MR/U’s have been established, Licensee shall calculate royalties based upon the Collegiate Institution’s standard royalty rate or Minimum Royalty per Unit, whichever is greater. CLC requires all licensees to submit royalty reports online


through MyiCLC. All royalty payments are made to CLC on either a monthly (Standard) or quarterly (Local) basis, according to license type. The royalty rates and advance fees for all CLC partner institutions are provided on the enclosed CLC Institution & Fee List. A list of applicable MR/U’s will be provided in Phase III of the licensing process. MyiCLC

MyiCLC is CLC’s free internet-based approval, royalty reporting and communication system. Approved applicants and licensees are required to submit all artwork, license requests, and royalty reports through MyiCLC. Most CLC communications to applicants/licensees are made via MyiCLC or email. It is imperative that applicants check MyiCLC and email regularly throughout the application process for correspondence and communication from CLC’s staff. Please review the MyiCLC Registration Form included in this package for the technical requirements for using MyiCLC.

ROYALTY REPORTING Licensees are required to report royalties by license type (i.e. standard, Bowl, Conference, National Champions, Special Program), institution, product category, and retail location. Total units, gross sales, royalty bearing sales, and MR/U units must be included for each transaction. As noted above, royalty reports must be submitted through MyiCLC. The MyiCLC system allows licensees to manually enter the required sales information each reporting period or upload sales information in a formatted CSV file utilizing license type, institution, product category, and retail codes as provided by CLC. The MyiCLC system will calculate total royalties due and the licensee is required to submit payment within 10 days to CLC. Due to the detailed royalty reporting requirements of CLC, you should ensure your company’s invoicing and sales systems can compile and if possible, export the required sales information into the CSV format required. Uploading royalty reports rather than manually entering the sales information is the most expeditious way to report royalties to CLC. Below is an example of the upload template required to report royalties.

LIABILITY INSURANCE All licensees are required to obtain at least $1 million of product liability insurance, although some higher liability products may require as much as $5 million worth of coverage. As indicated by the First Year Licensing Costs chart, this can be a substantial expense depending on how much insurance your company already has in place. For many applicants, securing proper insurance is the most time-consuming and challenging of all application requirements. Within this packet we have provided detailed information regarding CLC’s insurance requirements and recommend that you forward it to your insurance agent/provider as soon as possible. You should obtain a quote from an insurance agent to ensure that the cost is not prohibitive, but you should NOT actually purchase the required insurance until Phase II. CORPORATE RESPONSIBILITY (“CR”) If you are obtaining a license with institutions that have codes of conduct for corporate responsibility requirements, you will be required to demonstrate your company’s commitment and capacities for ensuring that your products are made under safe, healthy, and respectful conditions. If approved, you will be required to sign and implement CLC’s Special Agreement Regarding Labor Codes of Conduct in Phase III of the licensing process. In addition, if the university is a member of the Fair Labor Association, you will be required to register with that organization in the appropriate category for your business in Phase II of the licensing process.


Corporate Responsibility (“CR”) competency for both your company and throughout your supply chain has become extremely important to many CLC institutions. These standards are set by the highest office on many university campuses, and are a requirement, regardless of the other favorable factors that might positively affect your application. A company’s current and on-going commitment to CR throughout its supply chain, as well as its ability to meet the requirements and/or the comply with the investigations of the Fair Labor Association (www.Fairlabor.org) and/or the Worker’s Rights Consortium (www.Workersrights.com) will be considered by many institutions as an essential part of the approval and renewal process. At this time, the requirements of the Code Agreement essentially involve the following: 1. Commit to and adopt throughout your supply chain standards and practices that meet or exceed those established

by the institutions, the FLA and/or the WRC. 2. Provide public disclosure of all factories/suppliers of your collegiate products, including suppliers of blank goods. 3. Communicate labor code standards within your company and with all factories/suppliers used as a source for

collegiate product. All factories/suppliers must agree to adhere to these standards. 4. Audit all factories on an annual basis utilizing appropriately trained internal staff or approved external monitoring

organizations. 5. Register and comply with all FLA requirements, including the payment of annual fees, auditing of all

factories/suppliers of collegiate product annually, and establishing remediation protocol if problems are found. Note that some schools may also require auditing through the WRC program.

Additional information regarding the Workplace Code of Conduct and FLA classifications, fees and requirements can be found on the insert in this application package. Please review this information carefully as requirements and fees vary depending on your company’s overall revenue and where you source collegiate product.

CLC LABELING REQUIREMENTS All Standard and Local Licensees must provide CLC with an example of their company name label as it will be applied on their products in the marketplace. CLC will accept the following company name applications: hang tag, adhesive, or sewn-in label or licensee name applied directly to product or packaging (printed or etched) or added to CLC’s hologram hangtag. If you cannot provide an actual sample, please submit a graphic representation of how your company name will be applied on your product along with a written description. Standard and Local Licensees are also required to order "Officially Licensed Collegiate Products" (OLCP) hologram labels and affix them to all CLC licensed items. During Phase II, CLC will provide you with specific guidelines for use of the hologram labels and instructions for purchasing them. The minimum cost of hologram labels ranges from $46 to $84 depending on the type, size, and the quantity you need. More information on the hologram labeling program can be found at www.Jpattonondemand.com.

SAMPLE REQUIREMENTS All applicants are required to submit at least one product quality sample during Phase I of the application process. A quality sample is simply an example of the same product that you wish to have licensed that enables CLC/the institutions to determine its quality/viability. Quality samples DO NOT need to include specific institution logos, but they must include an example of your method of application (screenprint, embroidery, etc.). Applicants that apply for institutions that require quality samples (Florida, Florida State, Notre Dame, and Oklahoma) must include one additional quality sample for each of these institutions in addition to the primary quality sample that is submitted for all other institutions (i.e., if you want to add 10 institutions including Florida and Oklahoma, you should submit three quality samples- one each for Florida and Oklahoma and another for the eight additional institutions). During Phase II of the application process you may be required to submit “finished samples.” Finished samples include the actual institution's logos and are presented in the exact way they would be presented to consumers. Finished samples should include your company's name and indicate where the Officially Licensed Collegiate Product hologram label will be affixed. "Finished Sample Institutions" require licensees to submit finished samples during Phase II of the application process, but licensees should not produce and submit them until notified by CLC that their Phase II design submission has been preliminarily approved. Finished Sample Institutions Alabama Florida Georgia Tech Stanford Texas (Austin) Auburn Florida State Notre Dame Tennessee


Please note that quality/finished samples will not be returned to licensees and become the property of CLC and/or the institutions regardless of whether or not the licensee is ultimately approved by the institutions. The cost of sample production is wholly incurred by the applicant and will not be paid by CLC/the institutions. You should consider sample production costs as you determine the overall costs of licensure.

OBTAINING INSTITUTION LOGO SHEETS & DIGITIZED EMBROIDERY FILES CLC requires licensees to obtain logo sheets via the J. Patton On Demand service, which is CLC’s digital artwork distribution program. Subscribers have access to production-ready digital logo sheets via the Internet and receive quarterly updates throughout the subscription period. You will receive detailed information on the service during Phase II. The annual subscription fees are listed below and more information can be found at www.Jpattonondemand.com: 1 Approved Institution $ 50 2 – 5 Approved Institutions $100 6 – 15 Approved Institutions $250 16+ Approved Institutions $500 Super Pack (16+ Institutions, Bowls, Conferences) $750 1 Approval Conference $ 50 2 - 5 Approved Conferences $100 6+ Aproved Conferences $250 1 – 5 Approved Bowls $100 6+ Approval Bowls $250 In addition, J. Patton’s On Demand service provides world-class embroidery digitizing, design, and file distribution for CLC partner institutions. This web-based program allows users to access a wide variety of marks expertly digitized for use in a wide range of embroidery applications at reasonable costs. Stitches On Demand is integrated with the Logos On Demand Asset library and database to provide a single, comprehensive solution for your licensing needs. CERTIFICATION, TESTING, AND/OR LABELING REQUIREMENTS Many products have certification, testing and/or labeling requirements in accordance with US law. Licensees must comply with all applicable laws, regulations, standards and procedures including the requirements of any regulatory agency, such as the United States Consumer Product Safety Commission (www.CPSC.gov), the Federal Trade Commission (www.FTC.gov), and the Food and Drug Administration (www.FDA.gov). The list of products below is not all-inclusive; however, it does highlight the most common products or types of products that require additional attention, including certification, testing and/or specific labeling. You should submit all test results, certifications, and/or product and packaging labels with your application where special requirements are mandated by the US government. • Consumables, Health and Beauty Products, and Sunglasses must meet all FDA testing and labeling requirements • Electrical products must be UL approved and certified • All children’s (children being those 12 years of age or under) products, including toys, games, apparel, accessories,

footwear, etc., must include the proper manufacturing and warning labels • All children’s products must be tested and certified for lead content and phthalates in accordance with the Consumer

Products Safety Improvement Act of 2008. Such products must also be in compliance with the Federal Hazardous Substances Act and the Flammable Fabrics Act.

Again, this is not intended to be an exhaustive list of requirements and regulations. Applicants and licensees are fully responsible for upholding the legal and governmental requirements/certifications for their respective products, as well tracking any changes and developments of all applicable requirements and regulations.


ALTERNATIVES TO SEEKING A LICENSE Pursuing a collegiate license does not make sense for all companies. If you decide not to pursue a license, receive a recommendation via the New Product Inquiry Process not to apply, or receive a denial on your application, there are alternative pathways to participate in the collegiate licensing industry, including: 1. Become an Authorized Manufacturer for an existing collegiate licensee and supply blank goods for decoration

under the licensee’s agreement, or, your company can provide the finished product and the existing licensee can handle all licensing approvals, packaging, accounting, sales, and distribution.

2. If your application was denied due to a lack of existing distribution or retail relationships, you may want to establish sales of your generic product (i.e, without collegiate marks) with retailers that carry collegiate product and reapply in the future after you have established a proven sales history and retailer service record.

III. APPLICATION PROCESS – FINAL CONSIDERATIONS

THE IMPORTANCE OF A THOROUGH RESPONSE AND NON-REFUNDABILITY Many institutions do not permit reconsideration of application requests for a period of one year following institution disapproval. As such, it is imperative that applicants review their application responses prior to submission to ensure thoroughness and to strengthen their prospects for receiving approval from the institutions. If an applicant fails to provide key information, the application cannot be processed and may be denied. Ensuring that you have a viable chance for obtaining approval for your product is important before submitting your application. The application fee is NON-REFUNDABLE once submitted even if the institution(s) disapproves your request. In addition, if you submit for a standard license but are only approved by institutions within your state and transferred to CLC’s Local division, the difference in application fees is non-refundable. CLC will notify you in writing if your application is disapproved by any of the institution(s) you requested. HOW LONG DOES THE APPLICATION PROCESS TAKE? The Standard and Local application process time varies based on the number of institutions being sought. The fewer number of institutions requested, the more expeditious the application process. As such, CLC highly recommends that you only apply for institutions that you are prepared to maximize in the near future. To avoid time pressures and financial loss, we strongly encourage applicants to fully complete the licensing process before making any commitments to the collegiate industry including trade show attendance, retail pre-orders, etc. We treat all applicants equally and on a first come, first served basis and therefore cannot accommodate “rush” requests.

APPLICATION CHECKLISTS A checklist will be provided to you for each phase of the licensing process to help guide you. The Phase I Checklist is included in this packet. The checklists are all-inclusive and should be your primary guide for ensuring that you submit all required items. The checklist document itself is a reference and does not need to be submitted to CLC. NEXT STEPS… We appreciate your interest in obtaining a collegiate license and are committed to providing you with courteous and helpful customer service throughout the process. If you have decided to pursue a collegiate license with CLC, please proceed by reviewing and completing the CLC License Application. Please continue to use this guide as a reference and as you have questions or problems throughout the rest of the application process. You may also visit our web site at www.clc.com where further resources on the collegiate licensing industry can be found.

http://www.clc.com/

CLC Application Checklist

Please use the following checklist to ensure all of the application requirements are returned to The Collegiate Licensing Company. All requirements are included on this list. The application will not be processed until all of the requirements noted below are received. Completed License Application. Please be sure to indicate your desired license type on the application. All fields must be

completed on the application and it must be signed by an officer/owner of the company. Application Fee ($100 for Local Applicant or $1,000 for Standard Applicant). Please make the check or money order

payable to “CLC.” Funds must be drawn from a US bank. The application fee is non-refundable. Credit Report- All applicants must provide a credit report from one of the following:

● If you are a new company with no credit history or an individual, you must provide an individual credit report from one of these three agencies: Equifax, Experian, or TransUnion ● If you are an established company and have been in business for more than a year, you must provide a business credit report for your company from one or more of the following reporting agencies: Accruint, ClientChecker, Credit.net, Dun & Bradstreet, Equifax, Experian, or TransUnion

Financial Statements:

● If the company is public, please provide a copy of your most recent annual report. ● If the company is private, please provide an audited or CPA certified financial statements (most recent balance sheet is preferred, historical profit/loss statement is also acceptable). ● If the company is a start-up, please provide a copy of the company business plan.

Completed Strategic Marketing & Distribution Plan. You must follow the outline provided for the license type you are

requesting (Local or Standard) and provide all of the information requested. Please do not bind the document as it will need to be scanned and sent to the institutions for review. It is also acceptable to provide the Strategic Marketing & Distribution Plan in digital format (CD or flash drive) with the other application requirements.

Completed Factory/Supplier Information Form. Describe all organizations, including facilities owned and operated by

your company, from which you will source all or part of your collegiate goods. If you have more than four factories/suppliers that will provide components or products, including blank goods, for your collegiate product line, please make copies of this form before completing.

Completed Institution List. Please mark the institutions on t he enclosed CLC list for which you seek licensure. The

advance fees will not be due until Phase III of the licensing process. Quality Sample. Send at least one quality sample of each product for which you are applying. Send additional samples if

applying for any institution(s) that requires a quality sample (see Sample Requirements section of Application Guide for an explanation). Samples are at the expense of the applicant and w ill not be returned. Quality samples should not include institution logos but must include an example of your method of logo application (screenprint, embroidery, etc.). Please contact CLC before sending over-sized samples.

Completed MyiCLC Registration Form. Complete and return the enclosed registration form. Company Name Label Sample. All licensees must submit to CLC an example of how they will display their company name

on their products. CLC will accept the following company name application techniques: hangtag, adhesive, or sewn-in label; licensee name applied directly to product or packaging (printed or etched) or added to CLC’s hologram hangtag. I f your application technique cannot be demonstrated please submit a visual/graphical representation of how your company name will be applied along with a written description.

Sales Catalog (preferred but optional). Provide a sales catalog for your company’s current product offering. Digital catalogs are preferred. UL Approval for Electrical Products (required if applying for a product that includes electrical components). A copy of applicant's UL Approval must be included for applications for all electrical products.

All information should be returned together and clearly marked “Standard Application” or “Local Application” to the following address:

The Collegiate Licensing Company

Attn: Standard Application or Local Application 1075 Peachtree Street Suite 3300 Atlanta, GA 30309

Have questions? Refer to the enclosed License Application Guide, visit www.CLC.com, or email [email protected]

Applicants should read the entire “CLC Application Guide” document prior to completing the application. If you determine that a collegiate license makes sense for your company, please complete all sections of the application below. This is a fillable PDF Form which will allow you to type your responses directly into the document and print. If you are using Adobe XI Reader or a full version of Adobe software, you can also save the document for future editing.

License Type Selection All applicants must select a single license type. Please refer to the “Deciding What Type of License to Request” section of the CLC Application Guide to determine which license type is best for your company. Indicate the license type you are applying for by selecting the associated box below. If you fail to designate a license type, it will significantly delay the application process.

Standard Local

Company Information Company Name __________________________________Owner Name ____________________________ Street Address___________________________________________________________________________ Mailing Address__________________________________________________________________________ City__________________________ State _______Zip ___________ Phone _________________________ Fax ________________Toll Free __________________ Company Website:__________________________ Contact Information Provide the primary contact information for each area listed below.

Name Title Phone Number Email Address

Licensing

Sales/Marketing

Legal

Accounting

Corporate Responsibility Company also known as___________________________________________________________________

Company also doing business as____________________________________________________________

Have you ever applied with CLC for licensure or held a license through CLC, under this or any other company name? Yes No

If Yes, attach a separate sheet explaining why your company discontinued the process or license and outline steps that will be taken to ensure that the license will remain in good standing in the future. Have any claims been filed against this company or related entities for trademark, copyright, patent infringement, or product liability? Yes No If Yes, attach a separate sheet explaining all details, including final resolution.

Company Description Type of organization (select one):

Corporation Partnership S Corporation Limited Liability Company Proprietorship Other:___________________

Company Inception Date____________ State_______ Employer ID:_________________________

CLC License Application

http://www.clc.com/

Have Questions? Refer to the enclosed License Application Guide, visit www.CLC.com, or email [email protected]

The Collegiate Licensing Company License Application, Page 2

Owner/Officer Information - provide the name and title of all primary owners and officers of the company.

Name Title Years in Position

Owner/Officer #1

Owner/Officer #2

Owner/Officer #3

Owner/Officer #4

Owner/Officer #5

Is your company a certified minority or woman-owned business? Yes No If Yes, provide certification number: _________________________ List any previous names for this business and/or names of businesses operated by any principal of this company within the last five years _________________________________________________________________________________ _______________________________________________________________________________________________ Company’s gross revenue/sales volume for past three years (check one for each year): (Year)______ $0 - $50k $50k - $500k $500k - $5m $5m - $10m $10m - $50m $50m + (Year)______ $0 - $50k $50k - $500k $500k - $5m $5m - $10m $10m - $50m $50m +

(Year)______ $0 - $50k $50k - $500k $500k - $5m $5m - $10m $10m - $50m $50m +

Total # of employees ________

How many employees will be dedicated to the collegiate program in each of the following areas?

Administration: ________ Sales:________ Royalty Reporting:_______Corporate Responsibility:_________

Are you the Parent Company? Yes No If No, provide parent name and location: ______________________________________________________________ _______________________________________________________________________________________________ Are you (or related entity) a retailer of the finished product? Yes No If Yes, provide a complete description of your retail operation. If the related entity will retail the finished product, please provide the entity’s name and a description of the relationship between your two companies. _____________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________ _______________________________________________________________________________________________

Credit/Financial History Credit Report- All applicants must provide a credit report from one of the following: • If you are a new company with no credit history or an individual, you must provide an individual credit report from

one of these three agencies: Equifax, Experian, or TransUnion • If you are an established company and have been in business for more than a year, you must provide a business

credit report for your company from one or more of the following reporting agencies: Accruint, ClientChecker, Credit.net, Dun & Bradstreet, Equifax, Experian, or TransUnion

Financial Statement- All applicants must provide one of the following: • If the company is public, please provide a copy of your most recent annual report. • If the company is private, please provide an audited or CPA certified financial statement (most recent balance sheet

is preferred, historical profit/loss statement is also acceptable). • If the company is a start-up, please provide a copy of the company business plan.

Have there been any voluntary or involuntary bankruptcies of the company or related entities? Yes No

If Yes, please attach a separate sheet providing all details, including disposition.

http://www.clc.com/



Bank Reference Bank Name_________________________________Contact Name_________________________________ Street Address___________________________________________ City____________________________ State_____Zip________________Phone ____________________ E-mail____________________________

Date account was opened:_______________Average Balance:____________Credit line:________________

Credit Reference Creditor Name_______________________________Contact Name________________________________ Street Address___________________________________________ City____________________________ State_____Zip________________Phone ____________________ E-mail____________________________

Date account was opened:___________ Time doing business with Creditor:__________ Type of business: ____________ Credit limit placed on account:____________ Amount of credit line extended:____________ Account current? Yes No General characteristics of relationship: ________________________________________________________

Trademark License Information Identify any current trademark licenses held by your company including licensor information, licensed product(s) and length of license. If other licenses are currently held, please attach a separate list. Licensor:____________________________Contact:______________________ Length of License:__________ Gross Royalties Paid: Last Year_________ Two Yrs. Ago__________ Three Yrs. Ago__________ Product(s) Licensed:________________________________________________________________________ Licensor:____________________________Contact:______________________ Length of License:__________ Gross Royalties Paid: Last Year_________ Two Yrs. Ago__________ Three Yrs. Ago__________ Product(s) Licensed:________________________________________________________________________ Licensor:____________________________Contact:______________________ Length of License:__________ Gross Royalties Paid: Last Year_________ Two Yrs. Ago__________ Three Yrs. Ago__________ Product(s) Licensed:________________________________________________ ________________________

Production & Supply Chain Information Will all of your collegiate products—from raw material to finished product— be manufactured in facilities that are owned and operated by your company? This includes finished products and/or blank products.

Yes No If No, which best describes how your finished product(s) are manufactured? Select the answer that most closely describes your business model:

Assembly of outsourced raw materials/components and logo application of products are conducted in company-owned facilities Purchases fully finished blank goods from others and decorates/applies logo to product in company-owned facilities, or visa versa Combination: less than half of products are outsourced to manufacturers/contractors for all production processes Combination: more than half of products are outsourced to manufacturers/contractors for all production processes

All manufacturing processes, including assembly, production of blank goods and finished products, and decoration/logo application, are outsourced

Undetermined How many manufacturing facilities, including your own, will be used to produce your collegiate products? Specify #:______ Unsure Do any of these facilities subcontract work to other manufacturers? Yes No Unsure If Yes, does your company approve the subcontractors that are used? Yes No Unsure

http://www.clc.com/



Through what means will you procure all components (including blank goods) of your collegiate product? Indirectly, through Agent/Intermediary* to factories Directly to contracted factories Through a distributor or supplier of advertising specialty/promotional products Through factories your company owns and operates Self-employed artisan working outside a factory Through a digital media designer and/or developer Combination – please specify type and percentage of each type:_________________________________________ Other – please specify type and percentage of each type:______________________________________________

* “Intermediary” includes any organization that exists between your company and the facilities where the manufacturing and/or the decoration of the product takes place. Does your company have a formal Corporate Responsibility (“CR”) strategy and/or code of conduct?

Yes No If Yes, please provide additional information on your CR strategy and a copy of your code of conduct with your strategic marketing and distribution plan. Are you an advertising specialty or promotional products distributor or supplier? Yes No If Yes, please indicate what promotional products industry trade organization memberships you hold. _______________________________________________________________________________________________ What percentage of your collegiate product will be sourced through your membership in these organizations? _______%

Insurance Reference Please forward the enclosed insurance information to your insurance agent. While you should not purchase your insurance coverage at this time, we highly recommend that you obtain a quote and ensure that your insurance carrier can provide the necessary insurance coverages. Please provide below the contact information for the insurance carrier from which you will obtain coverage. CLC and its Institutions are not responsible for any costs associated with insurance purchases made prior to license approval. Insurance Company__________________________________Agent Name__________________________________ Street Address_______________________________________ City________________________________________ State_____Zip________________Phone _____________________ E-mail__________________________________

Retail References List two (2) retail references CLC can contact who will provide an opinion on your company’s product line, product quality, service and delivery or provide references from retailers who have shown an interest in your product line. Retailer Name__________________________________ Contact Name____________________________________ Phone ____________________________________ E-mail______________________________________________ Retailer Name__________________________________ Contact Name____________________________________ Phone ____________________________________ E-mail______________________________________________

Systems Please indicate the accounting software that your company utilizes for sales and invoicing: Impress Great Plains JD Edwards Macola MAS90

Oracle Oak Street Peachtree Pro Com Proprietary Software/Custom

Other:__________________ Quickbooks Sage Pro SAP Shop Works

Does your company have EDI capabilities? Yes No CLC requires licensees to submit royalty sales by institution, product category, retailer, and if licensed for special programs, by license type. Does your accounting system provide the invoice detail necessary to report by these criteria? Yes No

http://www.clc.com/



Will your accounting system allow you to export this information in .CSV format for upload into CLC’s system? Yes No To expedite licensing, CLC utilizes an online portal. Licensees are required to submit all artwork, license requests, and royalty reports through the online system. In addition, CLC communicates the majority of licensing notifications and updates via the portal and e-mail. Do you have company-wide email? Yes No

Name of Internet Service Provider: ________________________________________________________________

Internet bandwidth: T3 T1 Cable DSL ISDN 56K 28.8 Other:_____________

What design/graphic software does your company use?________________________________________________

Prospective Licensee Statement (original signature required) 1. I hereby affirm that my answers to the above questions are, to the best of my ability, true, accurate, and complete.

The Collegiate Licensing Company (CLC) will verify information through available resources where applicable. I understand that any license which may be granted to me by CLC will be subject to immediate termination, without the return of any amount paid or the abatement of any amount due, in the event CLC finds that I have supplied false, misleading, fraudulent, or incomplete information.

2. I hereby acknowledge the proprietary nature of all terminology and marks of CLC’s clients. I agree that I will make no use of any of CLC’s clients’ marks or terminology without written consent of CLC. I understand the acceptance of this application by CLC does not constitute a license or that such acceptance requires CLC to enter into any licensing agreement.

3. I hereby agree that my product or concept submitted upon request will be reviewed and accepted or rejected at the discretion of CLC and its partner universities.

4. I hereby acknowledge that the submission of any and all product samples is at my expense and that product samples will not be returned.

The Collegiate Licensing Company has agreed that any product sample(s), mock-up(s), etc. that I submit upon request will be examined for approval only by CLC and the respective client(s). I acknowledge that CLC may license other products similar to mine without obligation to me. Officer/Agent of Co. (Print Name): _________________________________ Title:______________________ Signature: _________________________________________________Date: ________________________ Once all questions have been answered, please print, sign and return the application with the additional items indicated on the checklist to:

Collegiate Licensing Company Attn: Standard or Local Licensing (depending on type of license requested)

1075 Peachtree Street Suite 3300 Atlanta, GA 30309

http://www.clc.com/

Factory/Supplier Information Provide the information requested below for all factories and suppliers, including facilities owned and operated by your company, from whom you will source your collegiate goods. This includes the manufacturer of blank products on which the collegiate logo will be applied. If you have more than 4 suppliers, please make copies of this form. This is a fillable PDF Form which will allow you to type your responses directly into the document and print. If you are using Adobe Reader XI or Adobe software, you can also save the document for future editing.

Manufacturer/Supplier Name:______________________________Location: City______________________Country________________ Product supplied by Manufacturer/Supplier:__________________________________________________________________________ Does your company have an equity/ownership stake in the factory? Yes No If yes, what percentage? ____________% If your company does NOT own the facility, please specify the owner: _____________________________________________________ What % of your collegiate product will be sourced from this factory? _______% What % of this factory’s production is yours? _______% How long have you been sourcing product consecutively from this manufacturer/supplier?____________________________________ Please check the box that best describes the nature of this facility/location’s business: Manufacturing facility Corporate/Sales office Distributor Non-factory artisan Other: _______________________ When was the date of your last audit/onsite visit to this facility? ______________________ Please check the box that best describes the business association of this entity. Owned & operated by your company and/or a subsidiary Contractor (applies the collegiate logo to the product) Manufacturer (produces product & applies logo) Agent/Intermediary* Vendor/Supplier (provides blank goods) Other: _____________________________________________




“Intermediary” includes any organization that exists between your company and the facility/ies where the manufacturing and/or the decoration of the collegiate product occurs.

Strategic Marketing & Distribution Plan Outline STANDARD Applicants

Please follow the outline provided below to prepare the required marketing plan for the institutions and products for which you seek a license. All information requested must be provided. The plan should be typed and stapled (not bound) or provided in a digital format on either a CD or flash drive. Include your company name and address at the top of the plan. I. Company Information

A. Provide a brief history of the company including years in business, primary business operations (products/markets), and a brief bio for all owners/officers of the company.

B. Provide your company’s mission statement. C. Provide information on your company’s efforts related to corporate responsibility including codes of conduct,

environmental responsibility, sourcing practices, work environments, etc. D. Provide a concise statement of what your company is trying to achieve in the collegiate market and include a summary

of any marketplace research that you have done. Indicate what strengths your company brings to the collegiate market versus your competitors.

II. Product Information

A. Provide a complete list of the products that your company currently manufactures or a digital copy of your sales catalog. B. Furnish a complete list of products for which you are requesting licensure including the minimum order amount,

wholesale price point, and the suggested retail price of each product. Provide images/renderings of potential collegiate designs.

C. Product Launches: Describe your “go-to-market”/launch plan for your new college program, as well as your strategy for future new product launches.

D. Labeling: CLC requires that all licensed products sold at retail include your company name and the Officially Licensed Collegiate Products (OLCP) hologram label. Hangtags are required on all apparel and stickers are required on non-apparel items. Provide a sample of your company name label and indicate where and how the OLCP hologram would be applied to your products.

III. Sales Information A. Sales Projections: Provide realistic collegiate sales projections by product category for the next three years (in

wholesale dollars and units). B. Current Distribution: Provide a list of current top 10 retail accounts; include the buyer/contact name, phone number,

vendor account number, length of relationship, and overall percentage of business done for each. C. Target Retail Market: Supply a complete list of retail accounts or other channels of distribution that you plan to target for

collegiate sales. If any of these accounts have expressed an interest in your product, provide the buyer/contact name and phone number for each.

D. Target Consumer Market: Identify and describe your target consumer market, including who your consumers are and what the demand is for your product.

E. Sales Representation: Provide detailed information regarding your current sales representatives, whether internal or external and the geographic region they cover.

F. Distributors: If your company utilizes distributors, provide the name and address of each distributor, the length of time doing business with the distributor and percentage of product sold through each.

IV. Marketing & Advertising A. Marketing Philosophy: Describe your view of the importance of investing in marketing to grow your individual college

business, as well as to grow the overall “college” business. B. Marketing Budget: Provide details of your marketing budget, including the percentage of your collegiate sales total that

you expect to reinvest back into marketing to grow your college business annually and an allocation of how you plan to invest your marketing budget during the next 12 months to promote your college program.

C. National Marketing: Describe how you plan to promote your overall college program to retailers and consumers. D. Local Marketing: Describe how you plan to promote your association with individual colleges and universities to their

students, fans, and alumni. E. Digital Marketing: Describe how you plan to utilize digital media, including traditional internet and social media. F. Print Marketing: Describe, if any, your current plans to promote your college program utilizing print media. G. In-Store Marketing: Provide a list of retailers you expect to execute in-store marketing programs with during the first 12

months of the license term and how you typically work with retail accounts to execute in-store marketing programs. H. Co-Op Dollars: Provide information on the utilization of co-op financial commitments with existing or planned retail

accounts for your collegiate product and indicate if you would you be open to partnering with other licensees and CLC to combine financial resources to bring larger marketing initiatives to retailers.

I. Tradeshows: Provide a list of all tradeshows that you currently attend, along with those that you will attend to showcase your college product assortment.

Strategic Marketing & Distribution Plan Outline LOCAL Applicants

Please follow the outline provided below to prepare the required marketing plan for the institutions and products for which you seek a license. All information requested must be provided. The plan should be typed and stapled (not bound) or provided in a digital format on either a CD or flash drive. Include your company name and address at the top of the plan. I. Company Information

A. Provide a brief history of the company including years in business, primary business operations (products/markets), and a brief bio of each owner/officer of the company.

B. Provide a concise statement of what your company is trying to achieve in the collegiate market and include a summary of any marketplace research that you have done. Indicate what strengths your company brings to the collegiate market versus your competitors.

II. Product Information

A. Furnish a complete list of products for which you are requesting licensure including the minimum order amount, wholesale price point, and the suggested retail price of each product. Provide images/renderings of potential collegiate designs.

B. Provide your strategy and timeline for product launch. C. Labeling: CLC requires that all licensed products sold at retail include your company name and the Officially Licensed

Collegiate Products (OLCP) hologram label. Hangtags are required on all apparel and stickers are required on non-apparel items. Provide a sample of your company name label and indicate where and how the OLCP hologram would be applied to your products.

III. Sales Information A. Sales Projections: Provide realistic collegiate sales projections by product category for the next three years (in

wholesale dollars and units). B. Current Distribution: Provide a list of your current top 10 retail accounts or other distribution channels; include the

buyer/contact name, phone number, vendor account number, length of relationship, and overall percentage of business done for each.

C. Target Retail Market: Supply a complete list of retail accounts or other channels of distribution that you plan to target for collegiate sales. If any of these accounts have expressed an interest in your product, provide the buyer/contact name and phone number for each.

D. Target Consumer Market: Identify and describe your target consumer market, including who your consumers are and what the demand is for your product.

E. Sales Representation: Provide information regarding your current or planned sales representatives and the geographic region they cover.

F. Distributors: If your company utilizes distributors, provide the name and address of each distributor, the length of time doing business with the distributor and percentage of product sold through each.

IV. Marketing & Advertising A. Describe how you plan to promote your overall college program to retailers and consumers and how you plan to

promote your association with individual colleges and universities to their students, fans, and alumni. B. Provide details of your marketing budget including information on in-store, print, and digital media (Internet, social

media) plans for advertising.

Institution CLC City/State Standard Combo-Pack Advance Advance AdvanceName FLA WRC Code Royalty Rate Royalty Rate## Category A Category B Category C

The U of Alabama + Y AL Tuscaloosa, AL 10.0%**** 15.0% $500 $300 $200U of Alaska, Anchorage ANC Anchorage, AK 7.5% 7.5% $100 $50 $25U of Alaska (State Program) AK Anchorage, AK 7.5% 7.5% $0 $0 $0U of Alaska, Fairbanks AK Fairbanks, AK 7.5% 7.5% $100 $50 $25The U of Arizona Y Y ARZ Tucson, AZ 10.0%**** 10.0%**** $1,000 $500 $250Arizona State University Y Y ARS Tempe, AZ 12.0% 15.0% $1,000 $500 $100U of Arkansas ARK Fayetteville, AR 12.0% 18.0% $1,000 $600 $200Arkansas State U AKS State University, AR 10.0% 15.0% $200 $100 $50Auburn U + AUB Auburn, AL 10.0% 15.0% $750 $500 $250Boise State U Y BSU Boise, ID 10.0% 13.0% $500 $250 $100Boston College Y Y BC Chestnut Hill, MA 10%** 15.0% $500 $250 $125Boston University Y Y BU Boston, MA 10.0% 8.5% $250 $100 $50Bowling Green State University Y Y BOW Bowling Green, OH 10.0% 15.0% $100 $50 $25Brigham Young U BYU Provo, UT 9.0% 14.0% $500 $250 $125Brigham Young U Campus Photos BYU Provo, UT 12.0% 14.0% $0 $0 $0University of California, Berkeley Y Y CAL Berkeley, CA 12.0% 18.0%California Polytechnic State University CPO San Luis Obispo, CA 9.0% 9.0% $200 $100 $25California State U, Northridge CSN Northridge, CA 8.5% 8.5% $100 $50 $25U of Central Florida CF Orlando, FL 10.0% 10.0% $100 $50 $25Central Washington University CWU Ellensburg, WA 8.5% 8.5% $150 $50 $25U of Cincinnati CIN Cincinnati, OH 10%*** 15.0% $700 $250 $200Citadel-The CIT Charleston, SC 10.0% 15.0% $100 $50 $25Clemson U CL Clemson, SC 10.0% 15.0% $500 $250 $125Clemson Walker Golf Course Clemson, SC 10.0% 10.0% $0 $0 $0Clemson C-Crest Logo CL Clemson, SC 12.0% 12.0% $0 $0 $0University of Colorado#### Y Y COL Boulder, CO 10.0%**** 15.0% $500 $300 $100University of Colorado at Colorado Springs Colorado Springs, CO 10.0%**** 15.0% $0 $0 $0Colorado State University Y CSU Fort Collins, CO 10.0% 15.0% $500 $150 $75Colorado State U - Pueblo Pueblo, CO 10.0% 12.0% $0 $0 $0U of Connecticut Y Y CON Storrs, CT 10.0%**** 15.0% $500 $250 $125Cornell U Y Y COR Ithaca, NY 10.0% 10.0% $100 $50 $25U of Delaware Y Y DEL Newark, DE 10.0% 15.0% $250 $100 $0Drexel U DXL Philadelphia, PA 8.5%* 8.5%* $100 $50 $25Duke U Y Y DU Durham, NC 15.0% 22.5% $1,200 $600 $300Duke Pitchfork Logos Durham, NC 15.0% 22.5% $0 $0 $0East Carolina U ECU Greenville, NC 10.0% 12.0% $250 $100 $25ECU Jolly Roger State Logo Greenville, NC 12.0% 12.0% $0 $0 $0Eastern Illinois U Y Y EIU Charleston, IL 8.0% 8.0% $250 $150 $100Eastern Kentucky U EKY Richmond, KY 10.0% 10.0% $100 $50 $25Eastern Michigan U EMI Ypsilanti, MI 10.0% 10.0% $100 $100 $25Florida A&M University FAM Tallahassee, FL 10.0% 10.0% $300 $150 $50U of Florida + Y Y FLA Gainesville, FL 12.0% 18.0%Florida State U + Y Y FSU Tallahassee, FL 12.0% 18.0%Florida State Fight Song Tallahassee, FL 14.0% 15.0%Fresno State FRS Fresno, CA 12.0% 12.0% $500 $250 $50Furman University Y FUR Greenville, SC 10.0% 15.0% $100 $50 $25George Mason U Y GMU Fairfax, VA 10.0% 10.0% $150 $100 $75George Washington U Y GWU Washington, DC 10.0% 10.0% $200 $100 $25Georgetown U Y GTW Washington, DC 10.0% 15.0% $500 $250 $100U of Georgia Y GA Athens, GA 12.0% 18.0% $1,000 $500 $300Georgia State U GSU Atlanta, GA 10.0% 13.0% $200 $50 $25Georgia Tech + Y GT Atlanta, GA 12.0% 18.0% $500 $300 $200Gonzaga University Y GON Spokane, WA 10.0% 10.0% $250 $100 $25Grambling State University GST Grambling, LA 10.0% 15.0% $200 $100 $50Hofstra U HOF Hempstead, NY 7.5% 7.5% $250 $100 $50Howard University HOW Washington, DC 9.0% 14.0% $500 $250 $100U of Idaho ID Moscow, ID 10.0% 15.0% $200 $100 $50Idaho State U IDS Pocatello, ID 10.0% 10.0% $100 $50 $25U of Illinois Y Y IL Champaign, IL 10.0% 15.0% $500 $250 $125U of Illinois Alumni Association IAA Champaign, IL 8.0% 8.0% $500 $250 $125James Madison U Y Y JMU Harrisonburg, VA 10.0% 10.0% $250 $50 $25University of Kansas Y KS Lawrence, KS 10.0% 15.0% $500 $250 $50U of Kentucky Y KY Lexington, KY 12.0% 18.0% $1,000 $500 $300U of Louisiana at Lafayette USL Lafayette, LA 12.0% 14.0% $100 $50 $25U of Louisiana at Monroe ULM Monroe, LA 10.0% 15.0% $100 $50 $25Louisiana State U LSU Baton Rouge, LA 13.0% 18.0% $1,000 $500 $250Louisiana Tech University LT Ruston, LA 10.0% 14.0% $200 $100 $50

See "Advance Fee Chart by Category" for fees

Institution ListAdvance Fees, Royalty Rates, FLA & WRC Affliation, and Sample Requirements

January 1, 2014


$50 per category

Select with "X"

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University of Louisville Y LOU Louisville, KY 12.0% 15.0% $500 $300 $100Marshall U MRS Huntington, WV 10.0% 10.0% $500 $250 $100Marshall U - We Are…Marshall Logo MRS Huntington, WV 10.0% 10.0% $0 $0 $0U of Maryland ##### Y Y MD College Park, MD 10.0%**** 15.0%********* $500 $250 $100Maryland-Fear the Turtle Y Y College Park, MD 12.0%***** 18.0% $50 $50 $50McNeese State University MCN Lake Charles, LA 10.0% 15.0% $100 $50 $25U of Memphis MSU Memphis, TN 10.0% 15.0% $200 $100 $50University of Miami Y MIA Miami, FL 12.0% 18.0% $500 $250 $125Miami Gothic "M" Logo Miami, FL 14.5% 15.0% $50 $50 $50U of Michigan Y Y MIC Ann Arbor, MI 12.0% 20.0% $1,000 $500 $500Michigan "Big House" Program Y Y Ann Arbor, MI 12.0% 20.0% $0 $0 $0U of Michigan Admin Fee(one time only) Ann Arbor, MI $250 $250 $250Middle Tennessee State University Y MTN Murfreesboro, TN 10.0% 15.0% $100 $50 $25U of Minnesota Y MNX Minneapolis, MN 10.0%**** 15.0% $500 $250 $125U of Mississippi MS University, MS 12.0% 18.0% $600 $300 $100U of Missouri Y Y MIS Columbia, MO 10.0% 15.0% $1,000 $500 $250Missouri State University MOU Springfield, MO 8.0% 8.0% $100 $50 $25U of Montana Y MT Missoula, MT 12.0% 15.0% $250 $100 $25Montana Griz Gear Program Missoula, MT 15.0% 15.0% $250 $50 $25U of Montana Western Dillon, MT 10.0% 15.0% $0 $0 $0Montana State U Y MTS Bozeman, MT 9.0% 13.5% $200 $50 $25Montana State University Billings Billings, MT 7.5% 13.5% $0 $0 $0Montana State U College of Technology Great Falls Great Falls, MT 7.5% 13.5% $0 $0 $0Montana State University Northern Havre, MT 7.5% 13.5% $0 $0 $0Morgan State U MOR Baltimore, MD 7.5% 12.0% $0 $0 $0U of Nebraska Y NB Lincoln, NE 10.0%**** 16.0%U of Nevada NVR Reno, NV 10.0% 12.5% $250 $125 $75U of New Hampshire Y Y NHM Durham, NH 10.0% 12.0% $250 $100 $50U of New Mexico Y UNM Albuquerque, NM 10.0% 13.5% $500 $100 $50New Mexico State U Y Y NMS Las Cruces, NM 10.0% 10.0% $175 $50 $25New York U Y NYU New York, NY 10.0% 15.0% $0 $0 $0U of North Carolina Y Y UNC Chapel Hill, NC 10.0%**** 16.0%********* $1,000 $500 $100U of NC-Charlotte NCC Charlotte, NC 10.0% 10.0% $100 $50 $25U of NC-Greensboro Y NCG Greensboro, NC 10.0% 10.0% $200 $100 $50U of North Texas NT Denton, TX 10.0% 15.0% $100 $50 $50Northern Arizona U NAU Flagstaff, AZ 12.0% 12.0% $250 $100 $50U of Northern Colorado NCL Greeley, CO 8.5% 8.5% $250 $100 $50Northwestern U Y Y NWS Evanston, IL 10.0% 15.0% $300 $200 $100University of Notre Dame + Y Y NOT Notre Dame, IN ### ###The University of Oklahoma OKC Norman, OK 10.0% 15.0%Oklahoma Sooner Jr. Program Norman, OK 12.0% 12.0% $1,000 $1,000 $1,000Oklahoma State U OKS Stillwater, OK 10.0% 15.0% $1,000 $500 $250OKS-Langston University Langston, OK 10.0% 13.0% $300 $0 $0Old Dominion U ODU Norfolk, VA 10.0% 10.0% $100 $50 $25Oregon State University ORS Corvallis, OR 10.0% 15.0% $500 $250 $125U of the Pacific PAC Stockton, CA 7.5% 7.5% $100 $50 $25The Pennsylvania State U Y Y PST University Park, PA 10.0% 15.0% $750 $500 $100Pepperdine U PEP Malibu, CA 8.0% 8.0% $100 $50 $25U of Pittsburgh Y Y PIT Pittsburgh, PA 10.0% 15.0% $500 $250 $125Portland State University POR Portland, OR 8.5% 8.5% $250 $75 $50Providence College Y PRO Providence, RI 10.0% 15.0% $250 $100 $50Purdue U Y Y PUR West Lafayette, IN 10%# 16.0%U of Rhode Island Y RI Kingston, RI 10.0% 15.0% $300 $150 $50Rice University RIC Houston, TX 10.0% 12.0% $0 $0 $0State University of New Jersey, Rutgers Y Y RTX Piscataway, NJ 10.0% 10.0% $300 $300 $300Sacramento State CSC Sacramento, CA 9.0% 9.0% $150 $50 $25Saint Joseph's University Y Y SJO Philadelphia, PA 10.0% 10.0% $100 $50 $25Saint Louis U Y SLU Saint Louis, MO 10.0% 15.0% $200 $50 $25San Diego State U Y Y SDS San Diego, CA 10%** 15.0% $500 $500 $500San Jose State U Y Y SJS San Jose, CA 10.0% 10.0% $250 $100 $25Santa Clara U Y SCU Santa Clara, CA 10.0% 11.25% $150 $50 $25U of South Carolina Y Y USC Columbia, SC 12.0% 18.0% $1,000 $500 $100U of South Carolina "Cocks" Verbiage Program Y Y Columbia, SC 15.0% 15.0% $0 $0 $0U of South Carolina Sir Big Spur Mascot Logo Y Y Columbia, SC 15.0% 15.0% $0 $0 $0U of South Florida Y SFL Tampa, FL 10.0% 10.0% $300 $200 $100Southern Illinois U Y SIL Carbondale, IL 8.0% 8.0% $100 $50 $25Southern University SOU Baton Rouge, LA 10.0% 15.0% $300 $150 $50Southern Utah University USO Cedar City, UT 8.0% 12.0% $100 $50 $25Spelman College Y SPL Atlanta, GA 7.5% 10.5% $100 $100 $100St. Cloud State U Y STC St. Cloud, MN 10.0% 15.0% $0 $0 $0





January 1, 2014

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Member

Institution ListAdvance Fees, Royalty Rates, FLA & WRC Affliation, and Sample Requirements


Stanford University + Y Y STA Palo Alto, CA 10.0%**** 15.0%********* $700 $300 $100Stephen F. Austin State University SFA Nacogdoches, TX 10.0% 12.0% $150 $50 $25Syracuse University Y Y SYR Syracuse, NY 10.0%**** 15.0% $500 $250 $125Syracuse "Aggressive Otto" Logo Y Y Syracuse, NY 10.0%**** 15.0% $0 $0 $0Temple U Y Y TEM Philadelphia, PA 10.0% 15.0% $600 $300 $150The U of Tennessee Knoxville + Y TEN Knoxville, TN 12.0% 18.0% $1,000 $500 $250Tennessee "Rocky Top" Logo Y Knoxville, TN 16.0% 16.0% $0 $0 $0U of Tennessee - Chattanooga UTC Chattanooga, TN 10.0% 15.0% $0 $0 $0U of Tennessee - Martin UTM Martin, TN 10.0% 15.0% $0 $0 $0U of Tennessee Health Science Center (Memphis) TNM Memphis, TN 10.0% 15.0% $0 $0 $0U of Texas, Austin + Y Y TEX Austin, TX 12.0% 20.0%Texas A&M University TAM College Station, TX 10.0%***** 15.0%********* $500 $250 $100U of Texas at El Paso TEP El Paso, TX 10.0% 16.0% $100 $100 $100Texas Christian U TCU Fort Worth, TX 12.0% 18.0% $100 $50 $25Texas State University - San Marcos SWT San Marcos, TX 10.0% 15.0% $250 $100 $50Texas Tech U#### TT Lubbock, TX 10.0%**** 15.0%******** $500 $250 $125U of Toledo TOL Toledo, OH 10.0% 10.0% $100 $50 $25Tulane U Y TUL New Orleans, LA 10.0% 15.0% $250 $75 $50U of Tulsa TLS Tulsa, OK 10.0% 15.0% $100 $50 $25Tuskegee University TUS Tuskegee, AL 10.0% 11.25% $100 $50 $25UCLA Y Y UCL Los Angeles, CA 10.0% 15.0%U of Utah Y UT Salt Lake City, UT 12.0% 15.0% $750 $250 $125Utah State U Y UTS Logan, UT 10.0% 11.0% $275 $75 $25Utah State University College of Eastern Utah Price, UT 5.0% 5.0% $0 $0 $0U.S. Air Force Academy AF Colorado Springs, CO 10.0% 10.0% $500 $100 $50U.S. Military Academy ARM West Point, NY 10.0% 15.0% $200 $100 $50West Point Crest logo West Point, NY 12.0% 15.0% $0 $0 $0USMA Prep School 10.0% 0.0% $0 $0 $0Vanderbilt University Y Y VAN Nashville, TN 10.0%**** 12.0%****** $600 $300 $150Villanova U Y Y VU Villanova, PA 10.0% 15.0% $500 $250 $125U of Virginia###### Y Y VA Charlottesville, VA 10.0%**** 15.0%********* $200 $100 $50Virginia Commonwealth U VCU Richmond, VA 10.0% 14.0% $100 $50 $25Virginia Tech Y VAT Blacksburg, VA 10.0% 10.0%******* $600 $300 $150Wake Forest University WF Winston-Salem, NC 10.0% 15.0% $300 $150 $100University of Washington Y Y WAS Seattle, WA 12.0% 18.0% $1,000 $350 $100Washington State University Y Y WST Pullman, WA 10.0% 15.0%WSU Palouse Ridge Golf Club Program Y Y 10.0% 15.0% $0 $0 $0Wayne State U Y WAY Detroit, MI 10.0% 10.0% $0 $0 $0Weber State U WEB Ogden, UT 10.0% 10.0% $250 $100 $25West Virginia University Y WV Morgantown, WV 10.0% 10.0% $400 $200 $100Western Kentucky U WKY Bowling Green, KY 10.0% 10.0% $200 $50 $25Western Washington University Y Y WWU Bellingham, WA 8.0% 8.0% $150 $50 $25U of Wisconsin Y WIS Madison, WI 10.0% 20.0%Wisconsin Union Madison, WI 10.0% 10.0% $0 $0 $0

U of Wyoming Y WY Laramie, WY 8.5% 8.5% $250 $75 $50

****Royalty rate will increase to 12% effective 07/01/2014*****Royalty rate will increase to 14% effective 07/01/2014******Royalty rate will increase to 15% effective 07/01/2014*******Royalty rate will increase to 16% effective 07/01/2014********Royalty rate will increase to 17% effective 07/01/2014*********Royalty rate will increse to 18% effective 07/01/2014####Advance fees will increase to Category A=$600, Category B=$400, Category C=$200 effective 2/1/2014#####Advance fees will increase to Category A=$600, Category B=$300, Category C=$100 (no change) effective 4/1/2014######Advance fees will increase to Category A=$500, Category B=$250, Category C=$100 effective 7/1/2014

#The royalty rate for Men's/Unisex Headwear in categories 01C, 01N, 01O, 01P, 01Q, and 01R is 12%##The "Combo-Pack Royalty Rate" is applicable to all products in Men's/Unisex Combo-Packaged Goods (01D) category

The Category A, B, & C advance fee amounts listed are based upon the product category(s) for which you intend to obtain a license. The actual advance and administrative fee shall be governed by the final terms of the CLC License Agreement. This advance fee list and the CLC administrative fee is subject to change without notice. Also, please note that additional administrative fees will be charged at renewal if there are contract breaches during the term of the agreement.

+ University requires a finished sample of all products from a company before a license will be granted. Designs incorporating the marks of the University should be submitted for preliminary approval prior to production.

###Please contact your CLC Coordinator (or if completing a CLC application send an email to [email protected]) for additional information on the royalty rates for the University of Notre Dame.

January 1, 2014

Select with "X"


*Royalty rate will increase to 10% effective 04/01/2014**Royalty rate will increase to 12% effective 04/01/2014



Institution List


Advance Fees, Royalty Rates, FLA & WRC Affliation, and Sample Requirements

***Royalty rate will increase to 12% for all product categories except Men's/Unisex Performance Apparel (01L) which will increase to 15% effective 04/01/2014

Member

InstitutionsMen's/ Unisex T-shirts

Men's/ Unisex Fleece

Men's/Unisex Headwear

(01C and 01N - 01R)

Men's/ Unisex

Outerwear

Men's/Unisex Combo-Packaged Product

Jerseys/ Uniforms

Men's/ Unisex Fashion Apparel

Men's/Unisex Performance

Apparel

Men's/ Unisex

Loungewear

Clothing Accessories

Infant/ Toddler Apparel

Youth Apparel

Women's Apparel (01I

and 01S-01Y)

UC Berkeley $1,000.00 $1,000.00 $1,000.00****

U of Florida $5,000.00 $5,000.00 SP $2,000.00 $5,000.00 $2,000.00 $2,500.00 $1,000.00 $500.00 $500.00 $5,000.00

Florida State U $3,000.00 $3,000.00 SP $3,000.00U of Nebraska***** $2,000.00 $2,000.00 $4,000.00U of Notre Dame* $10,000.00 $10,000.00 SP $5,000.00 $2,500.00 $5,000.00 $2,500.00 SP $1,250.00 $1,250.00 $2,500.00 $2,500.00 $2,500.00U of Oklahoma $500.00 $500.00 SP $1,000.00 $1,000.00 $500.00 $1,000.00 $1,000.00 $500.00 $500.00 $1,000.00 $1,000.00 $1,000.00Purdue U $1,000.00 $1,000.00 $1,000.00

U of Texas $4,000.00 $4,000.00 SP $2,000.00 $1,000.00 SP $2,000.00 SP $500.00 $1,000.00 $1,000.00 $1,000.00 $2,000.00UCLA $1,000.00 $1,000.00 $3,000.00 $500.00 $1,000 SP $1,000.00 $500 $500 $300 $300.00 $500.00 $500

Washington State U** $500.00 $500.00 $500.00U of Wisconsin*** $3,000.00 $4,000.00 $2,500.00

**Washington State University Local Licensees are exempt from payment of the advance fee for T-shirts and Fleece unless these are the only categories for which the company is licensed. ***University of Wisconsin Local Licensees are only required to pay a $1,000 advance for any/all apparel categories.****University of California Berkeley's fee for Men's/Unisex Headwear only includes categories 01C, 1Q, and 01R; the remaining headwear categories are licensed through a special program.

SP = Special Program in place for product category; must obtain special license with additional advances and/or guarantees

Institutions Jewelry Class Rings Personal Accessories Domestics Furniture/

FurnishingsOffice

Products Housewares Automobile Products Collectibles Signage Misc. Gifts &

NoveltiesHoliday

AccessoriesUC Berkeley

U of Florida

Florida State UU of Nebraska*****U of Notre Dame*U of OklahomaPurdue UU of TexasUCLAWashington State U**U of Wisconsin***

Institutions Stationery Checks Paper Products

School Supplies Publishing Sports

Equipment Balls Toys Games Consumables

Health & Beauty

Infant Products Footwear

UC Berkeley

U of Florida

Florida State UU of Nebraska*****U of Notre Dame*U of OklahomaPurdue UU of TexasUCLAWashington State U**U of Wisconsin***

*****University of Nebraska reserves the right to approve a reduced advance fee payment of $250 for licensees producing handmade products and/or small quantities of merchandise.

$250.00

Included in fee noted above

Non-Apparel$500.00



$1,000.00 $1,000.00

$1,000.00

Accessories

$1,000.00

$500.00

$250.00

$1,000.00

Paper/Printing/Publishing Sporting Goods/Toys Specialty Items

$250.00

$1,000.00

Advance Fees by Product Category

$1,000.00

$500.00

Apparel

$500.00

$500.00

$1,000.00

$1,000.00

$2,500.00

$1,000.00

$2,500.00 $2,500.00


Home & Office



$1,000.00 $1,000.00


$1,000.00



$1,000.00 $1,000.00 $1,000.00

*Notre Dame's Campus License is for companies only selling to the Hammes Notre Dame Bookstore, the Notre Dame Varsity Shop, the Notre Dame Catalog Fulfillment Center, the Warren Golf Course Shop, and the Notre Dame Alumni Association. Campus Licensees will only be charged 50% of the annual fees of National Licensees.

Non-ApparelGifts & Novelties

$1,000.00

$2,500.00

The Collegiate Licensing Company Product Category List

Product Category Advance Fee Category

Affinity Cards Determined on a case by case basis Apparel

(Men’s/Unisex, Women’s, Youth, Infant/Toddler) A

Automobile Products & Accessories B Balls

(Collectible, competition, rubber-full size & mini, Foam/Plush) A

Checks B Class Rings B

Clothing Accessories (Gloves, Mittens, Ties, Scarves, Socks, Headbands, Wristbands)

B

Collectibles B Consumables B

Domestics B Footwear A

Furniture/Furnishings B Games

(board games, playing cards, game tables, puzzles) B

Gifts & Novelties-Miscellaneous (Banks, Key chains, Magnets, Koozies, Musical devices/novelties, Pet products,

Stadium seats/cushions, Candles, Fan buttons, Birdhouses, Lanyards, Shakers/Foam Hands, Novelty Headwear)

B

Headwear (Baseball caps, Visors, Bucket Caps, Knit Caps, Straw Hats)

A

Health & Beauty Products B Holiday Accessories B

Housewares B Infant Products & Accessories B Internet Products & Services Determined on a case by case basis

Jewelry B Media Players & Content

(Radios/TVs, Compact Disc Players, MP3 Players, Cameras, Phones, Mobile Content (ringtones & wallpaper, Compact Discs, Hightlight Tapes)

B

Office Products B Paper Products

(Napkins/paper plates, Wrapping paper, Gift bags, Business cards) B

Personal Accessories (Sunglasses, Wallets/purses, Hair accessories, Umbrellas, Luggage,

Emblems/patches, Belts & suspenders, Belt buckles, Toiletry/Comestic Bags, Media Player Accessories, Shoelaces & Shoe Accessories)

B

Publishing (Cookbooks, Books, Children’s Books, Calendars, Posters, Lithographs/prints)

B

School Supplies (Graduation Announcements, Writing Instruments, Folders/Binders/Notebooks,

Porfolios, Desk Calendars/Planners

C

Signage Products (Flags, Banners, Pennants, Signs, Wind socks, Illumination devices)

B

Stationery (Balloons, Greeting cards, Notepads, Post cards, Rubber stamps, Stickers/labels)

B

Sports Equipment (Backpacks/fanny packs, Baseball/basketball/bowling/fishing/football accessories,

Golf products & Accessories, Athletic bags, Tents)

B

Toys (Plush mascots & toys, Action figures)

B

CLC INSURANCE REQUIREMENTS

OVERVIEW All CLC Licensees are required to obtain a minimum of $1 million in general insurance, including product liability and other coverage. Insurance is required to help protect the licensee, the institutions, and CLC in the case of any claims of damages or defects related to the collegiate licensed merchandise as well as other liability claims. All licensees, regardless of products or potential risk, are required to obtain this insurance, and some licensees with higher risk products will be required to obtain additional coverage beyond the $1 million level (CLC will notify you if this is the case, but examples of products include but are not limited to consumables, items that require UL approval, health and beauty items, athletic equipment, and flammable items such as candles or lighters).

PURPOSE OF THIS DOCUMENT Problems in obtaining the correct product liability insurance are a common reason for delays in the licensing process. The information in this document is provided to reduce the likelihood of delays by helping you to obtain the appropriate insurance in an efficient manner.

Note To Companies Responding To The CLC Application (Phase I)- Please do not purchase insurance until you are notified by CLC that your product and/or application has been approved. This packet is provided early in the process to acquaint you with the insurance requirements that you will need to meet in Phase II of the application process. We strongly encourage you to send the attached document (Insurance Agent Instructions) to your insurance provider so that they can understand the requirements and provide you with an accurate quote prior to Phase II.

FINDING A PROVIDER The vast majority of licensed manufacturers partner with their existing business or personal insurance provider to satisfy CLC’s insurance requirements. If this is not an option for you, we recommend that you research insurance providers within your state by searching http://www.iiaa.org/ for an insurance agent in your neighborhood. It is important that you select a provider that is licensed in your state as insurance laws vary widely from state to state..

COMMUNICATING WITH YOUR INSURANCE PROVIDER Once you are preliminarily approved and enter the second phase of the licensing process or if the current insurance documentation on file has expired and renewed coverage must be submitted you are required to provide CLC with a copy of the appropriate insurance certificate and additional insured endorsement as outlined in the attached materials. A License Agreement will not be sent or maintained until the appropriate insurance is obtained. The most common mistakes made by insurance providers are using the wrong type of endorsement and not including the correct verbiage on the endorsement. Please emphasize to your provider the importance of using the exact endorsement type and correct verbiage on the endorsement. Examples of the correct insurance certificate and endorsements are enclosed.

Please forward the attached Insurance Agent Instructions document to your provider. Please note that all product liability insurance must be written exactly as shown in the attached materials. No deviations will be accepted. If your insurance provider refuses to provide the required endorsement and/or verbiage, we recommend that you find an alternative provider. Finding a provider that can meet our requirements should not be difficult as more than 2,500 licensees are currently insured according to our requirements.

ANSWERS TO YOUR INSURANCE QUESTIONS Addressing your insurance needs early in the process may significantly speed up the licensing or renewal process. If you have any questions, please email our staff at [email protected].

http://www.iiaa.org/

INSURANCE AGENT INSTRUCTIONS

OVERVIEW – CLC’S BUSINESS RELATIONSHIP WITH THE INSURED The Collegiate Licensing Company (CLC) is the authorized licensing representative for more than 200 colleges and universities, bowl games, conferences, the Heisman Trophy, and the NCAA. As the exclusive licensing representative for these collegiate properties, CLC grants a license to manufacturers to produce and distribute merchandise incorporating the trademarks of CLC institutions upon approval by the institutions. Each manufacturer requesting a license must obtain general insurance coverage, including product liability and other coverages, and maintain coverage during the term of the License Agreement. CLC recommends that the required coverage be obtained for a term of one year. THE NEED FOR AN EXACT RESPONSE Inaccurate insurance submission is the top reason for delays in the licensing process. CLC has consulted extensively with experts in the industry to determine exact insurance specifications that must be met. In the spirit of protecting the interests of our client institutions, CLC is unable to accept alternative certificates, types of endorsement forms, and/or language than what is presented in the section below. As such, it is extremely important that you pay close attention to the requirements and provide your client (and CLC) with the exact certificate, endorsement types, and associated language to avoid delaying the licensing process for your client. FINDING ANSWERS TO YOUR QUESTIONS Attached to this document we have provided examples of correct insurance certificates and additional insured endorsement forms. Should you have any questions regarding CLC’s insurance requirements, please email your questions to CLC’s insurance processors at [email protected]. Please be sure to include the name of your client in the body of the email. INSURANCE REQUIREMENTS

1. A Certificate of Insurance must be provided to CLC. CLC is unable to accept renewal declarations, or a binder, as these documents are not sufficient in meeting CLC’s insurance requirements.

2. Commercial General Liability coverage must be maintained, including product, advertising, and contractual liability

insurance. 3. On the certificate, the licensee’s name must appear under "Insured." It may be listed as an "a.k.a." or "d.b.a." 4. A policy number and effective dates must be included on the certificate. 5. The certificate must be marked for Commercial General Liability coverage. The certificate must also be marked for the

following: a. Product Liability ($1,000,000) b. Personal & Advertising Injury ($1,000,000) c. $1,000,000 of coverage for Each Occurrence (Claims made policies are not accepted).

6. The "Description" area on the face of the certificate must include the following statement:

"Additional Insured: Collegiate Licensing Company ("CLC") all in accord with (insert applicable endorsement form number here, either a Grantor of License endorsement or a Designated Person or Organization endorsement), as modified and attached, hereto."

(If your carrier uses Insurance Services Office (ISO) forms, the correct Grantor of License endorsement number is CG 20 36 10 01 and the correct Designated Person or Organization endorsement is CG 20 26 11 85 or CG 20 26 07 04. If you don't use ISO forms, you must use a Grantor of License or Designated Person or Organization equivalent. Please be sure to include the equivalent endorsement form number in the Description area of the certificate.)

7. A Grantor of License endorsement form (ISO form CG 20 36 10 01) or a Designated Person or Organization endorsement

form (ISO form CG 20 26 11 85 or CG 20 26 07 04) must be signed by the agent (if applicable) and attached to the insurance certificate (it is not acceptable to include the endorsement language in the Description section of the certificate). CLC will only accept a Designated Person or Organization or Grantor of License endorsement. CLC will not accept a Vendors endorsement, Grantor of Franchise endorsement, or Owners, Lessees, or Contractors endorsement. The contractual relationship between CLC and the licensee does not fall within the parameters defined by these endorsement types. If your company does not use ISO forms, CLC will accept comparable forms as long as they are Grantor of License or Designated Person or Organization endorsements or equivalents.

8. The language of the additional insured endorsement must read exactly as follows:

Name of Person or Organization Collegiate Licensing Company, LLC ("CLC"), all institutions represented by CLC for which insured is licensed, and their respective officers, agents and employees.

9. The certificate holder must be listed exactly as follows:

Collegiate Licensing Company, LLC 1075 Peachtree Street, Suite 3300 Atlanta, GA 30309

10. The policy number(s) must be included on the additional insured endorsement. We also recommend that the insured’s

name be included somewhere on the endorsement form if possible. NEXT STEPS Your client may have sent this information to you during what is called Phase I of the application process in order to determine if you could provide the required coverage and/or to obtain a quote. It is very important that you do NOT proceed in providing the insurance until your client is notified by CLC that their application is approved (which occurs during Phase II of the application process). If your client is within Phase II of the licensing process or is an existing licensee in the process of renewing coverage, please proceed in providing the required insurance certificate and endorsement at this time. Please communicate directly with your client to determine when you should proceed in actually issuing the required certificate and endorsement. Your client will not be granted or be allowed to maintain a license until the appropriate insurance certificate and additional insured endorsement, meeting all of the requirements noted above, are received by CLC. WHERE SHOULD THE CERTIFICATE AND ENDORSEMENT BE SENT? Once your client requests that you issue the coverage, you should provide copies of the certificate and endorsement form to both CLC and to your client. To expedite processing, CLC recommends e-mailing the information directly to your client’s assigned Coordinator at CLC, if you know who that is, or to the attention of [email protected]. If possible, we also recommend that you include your client’s name and policy number on the certificate and the endorsement form, so that CLC can connect your document submissions with the correct company.

Collegiate Licensing Company

Attention: Insurance 1075 Peachtree Street Suite 3300

Atlanta, GA 30309 Fax 770-955-4491

CERTIFICATE OF INSURANCE

PRODUCER

THIS CERTIFICATE IS ISSUED AS A MATTER OF INFORMATION ONLY AND CON-FERS NO RIGHTS UPON THE CERTIFICATE HOLDER. THIS CERTIFICATE DOES NOT AMEND, EXTEND OR ALTER THE COVERAGE AFFORDED BY THE POLICIES BELOW.

COMPANYLETTER A

COMPANYLETTER B

COMPANYLETTER C

COMPANYLETTER D

COMPANYLETTER E

INSURED

AGENT’S NAME & ADDRESS

LICENSEE’S NAME & ADDRESS

COMPANIES AFFORDING COVERAGE

ISSUE DATE (MM/DD/YY)

POLICY EXPIRATION DATE (MM/DD/YY)

POLICY EFFECTIVE DATE (MM/DD/YY)

POLICY NUMBERTYPE OF INSURANCECOLTR LIMITS

GENERAL LIABILITY X COMMERCIAL GENERAL LIABILITYCLAIMS MADE X OCCUR.

OWNER’S & CONTRACTOR’S PROT.

X PRODUCTS LIABILITY

X CONTRACTUAL LIABILITY

GENERAL AGGREGATE $1,000,000 PRODUCTS-COMP/OP AGG. $1,000,000

PERSONAL & ADV. INJURY $1,000,000

EACH OCCURRENCE $1,000,000

FIRE DAMAGE (Any one person)

MED. EXPENSE (Any one person)AUTOMOBILE LIABILITY ANY AUTO

ALL OWNED AUTOS

SCHEDULED AUTOS

HIRED AUTOS

NON-OWNED AUTOS

COMBINED SINGLE LIMIT

COMBINED SINGLE LIMIT $

BODILY INJURY $(Per person)

BODILY INJURY $(Per accident)

PROPERTY DAMAGE $

EXCESS LIABILITY

UMBRELLA FORM

OTHER THAN UMBRELLA FORM

EACH OCCURRENCE $

AGGREGATE $

WORKER’S COMPENSATION ANDEMPLOYER’S LIABILITY

STATUTORY LIMITS

EACH ACCIDENT $

DISEASE- POLICY LIMIT $

DISEASE- EACH EMPLOYEEE $

DESCRIPTION OF OPERATIONS/LOCATIONS/VEHICLES/SPECIAL ITEMSADDITIONAL INSURED: COLLEGIATE LICENSING COMPANY ALL IN ACCORD WITH ENDORSEMENT CG 20261185, AS MODIFIED AND ATTACHED, HERETO.

CERTIFICATE HOLDERCANCELLATION

AUTHORIZED REPRESENTATIVE

COLLEGIATE LICENSING COMPANY1075 Peachtree Street Suite 3300ATLANTA, GA 30309

XXX XX/XX/XXXX/XX/XX

OTHER

COVERAGESTHIS IS TO CERTIFY THAT THE POLICIES OF INSURANCE LISTED BELOW HAVE BEEN ISSUED TO THE INSURED NAMED ABOVEFOR THE POLICY PERIOD INDICATED, NOTWITHSTANDING ANY REQUIREMENT, TERM OR CONDINTION OF ANY CONTRACT OR OTHER DOCUMENT WITH RESPECT TO WHICH THIS CERTIFICATE MAY BE ISSUED OR MAY PERTAIN, THE INSURANCE AFFORDED BY THE POLICIES DESCRIBED HEREIN IS SUBJECT TO ALL THE TERMS, EXCLUSIONS AND CONDITIONS OF SUCH POLICIES. LIMITS SHOWN MAY HAVE BEEN REDUCED BY PAID CLAIMS

SHOULD ANY OF THE DESCRIBED POLICIES BE CANCELLED BEFORE THE EXPI-RATION DATE THEREOF, THE ISSUING COMPANY WILL ENDEAVOR TO MAIL ___ DAYS WRITTEN NOTICE TO THE CERTIFICATE HOLDER NAMED TO THE LEFT, BUT FAILURE TO MAIL SUCH NOTICE SHALL IMPOSE NO OBLIGATION OF LIABILITY OF ANY KIND UPON THE COMPANY, ITS AGENTS OR REPRESENTA-TIVES

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Name of insured must match name under which license is being obtained.

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Certificate must be marked for Commercial General Liability, Products Liability, and Contractual Liability and include $1,000,000 coverage for each.

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The endorsement form must be referenced and must be comparable to a Grantor of License or Designated Person or Organization endorsement.

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CLC's name and address must be listed as the certificate holder.

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The certificate must be signed by your insurance agent.

POLICY NUMBER: COMMERCIAL GENERAL LIABILITY

THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY.

ADDITIONAL INSURED - GRANTOR OF LICENSES

This endorsement modifies insurance provided under the following:

COMMERCIAL GENERAL LIABILITY COVERAGE PART.

SCHEDULE

Name of Person or Organization:

(If no entry appears above, information required to complete this endorsement will be shown in the Declarations as applicable to this endorsement.)

(Section II) - WHO IS INSURED is amended to include as an insured the person(s) or organization(s) shown in the Schedule, but only with respect to their liability as grantor of license to you.

Authorized Insurance Agent Signature:

Date:

CG 20 36 10 01 Copyright. Insurance Services Office, Inc.

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CLC SAMPLE ENDORSEMENT FORM

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For the purposes of this sample we have used Insurance Services Office (ISO) Grantor of License form CG 20 36 10 01. While we prefer the Grantor of License, we also accept ISO Designated Person or Organization form numbers CG 20 26 11 85 or CG 20 26 07 04 and non-ISO forms as long as they are Grantor of License or Designated Person or Organization equivalents. The requirements notated below apply to all ISO and equivalent forms.

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Collegiate Licensing Company ("CLC"), all institutions represented by CLC for which insured is licensed, and their respective officers, agents and employees.

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Your client's insurance policy number should be included somewhere on the endorsement form. We also recommend that you include the insureds name somewhere on the document such as at the bottom or top of the document.

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Inexact endorsement language is one of the most prevalent problems among unaccepted endorsements submitted to CLC. Please be sure to include this language on your endorsement exactly as shown here.

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Insurance agents should sign and date the endorsement if the endorsement form being used includes these fields (some do not).

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If applicable, the endorsement form number should be included somewhere on the endorsement. It is usually, but not always, placed at the bottom left of the endorsement form. However, any location on the endorsement is acceptable.

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Other information that is acceptable and may be included on the endorsement form without consequence includes: Endorsement Issue Date, Policy Effective Date, and Insurer/Carrier Company Name.

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If using Adobe Acrobat, in order to print this document properly be sure to select File on the top tool bar, then select Print, and then Document and Markups in the Comments and Forms section. Also, ensure that Print Color as Black is deselected. Adobe Reader users should be able to print the document using default settings.

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CLC DOES NOT ACCEPT THE FOLLOWING ENDORSEMENT TYPES: VENDORS, LESSEES, GRANTOR OF FRANCHISE, OWNERS, OR CONTRACTORS.

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MyiCLC is CLC’s free design management, online reporting, license request, resource and information system. Licensees are required to submit designs, request the addition of universities, products, distribution channels, and labels, apply for NCAA and Bowl Property programs, and report royalties through MyiCLC. MyiCLC is CLC's primary form of communication with all licensees and contractually, licensees are obligated to log into the system for all notifications and announcements. Please review the benefits of using MyiCLC below. DESIGN SUBMISSIONS • Automated e-mail updates following institution approval • If CLC staff or Institutions have questions regarding designs, they can be asked and answered within the system • Responses to designs are archived • Save time & money on printing, mail, & filing LICENSE MANAGEMENT • Request the addition of Institutions, Products, Distribution Channels, and/or Labels to your current agreement • Track Institution responses to your requests • Receive notices regarding pending contracts and addenda • Submit applications for NCAA, Conferences, Bowls, and Champions Programs • Find information on exclusives, exclusions, and restrictions Institutions may have on specific products or distribution channels ONLINE ROYALTY REPORTING • Enter sales by institution, product category and retailer and system determines total royalties due • Upload royalty sales information if you can export from your own accounting software in a specified format. • Report summaries can be sorted and viewed by institution or product category and are archived online • Eliminate errors related to the use of incorrect royalty rates and prepaid advance fees INFORMATION ACCESS • MyiCLC includes many informative sections including CLC and industry news, announcements for

licensees, including royalty rate, exemption, and advance changes, and insurance, royalty reporting, marketing, and CLC staff contact information.

RESOURCES • MyiCLC provides direct access to forms and information for insurance requirements, Institution fees

and rates, reports regarding your approved institutions, products, and distribution channels, and many other unique options to help administer a collegiate licensing program.

Please complete the MyiCLC Registration Form on the next/reverse page and return with your

CLC Application or if already licensed, to your CLC Coordinator.

MyiCLC REGISTRATION FORM

This is a PDF Form which will allow you to type your responses directly into the document and print. If you are utilizing Adobe Reader XI or Adobe software, you can also save the document for future editing.

Company Name: __________________________________________________________________ Primary Contact Name: _____________________________________________________________ E-Mail Address for Primary Contact: ___________________________________________________ E-Mail Address for Artwork Approval Contact: ____________________________________________ Operating system for primary MyiCLC user (circle one): Mac Windows Design Software Currently Used: ______________________________________ Version #: _______ Internet Browser: Internet Explorer (preferred) Version:___________________

Mozilla Firefox Version:___________________ Google Chrome Version:___________________

Please note that plug-ins for Adobe, Shockwave Flash, and Java must be downloaded if you are using Mozilla

Firefox or Google Chrome. Please do not use Safari when working in MyiCLC.

Preferred Password (must be six alphanumeric characters):_______________________________ (case-sensitive) Before CLC will send your Username and Password for MyiCLC, you must have completed the following technical requirements. Please check off each item: Initial Each

Please proceed according to the following:

If you are an applicant in Phase I of the process, please submit this form via mail along with your application to CLC. Your username and password will be sent to you via mail (within your Phase II packet). If you are an applicant in Phase II or you are an existing licensee, please fax this form to (770) 955-4491. CLC will send your MyiCLC username and password to the e-mail address noted above within 7 days.

Internal use only:

Account #:__________ Entered LMS: iCLC email _____ Products:_____ Distribution Channels:____ Initials:________

Please forward to Jana Franz once LMS has been updated.

I understand that I must use one of the browsers noted above and have installed the plug-ins noted. I currently use a design software that gives me the ability to save PDF or SWF files directly from the software program or I understand I may have to purchase the latest version of Adobe Illustrator in order to save PDF or SWF files accurately from digital files we create. I have downloaded the latest version of Adobe Acrobat Reader XI and understand I must use this free software in order to view each institution’s digital artwork file in MyiCLC. I have downloaded the latest version of Adobe Flash and understand I must use this free software in order to view each institution’s digital artwork file in MyiCLC. The resolution of my monitor is set at minimum resolution of 1024 x 768 pixels.

An average of 35 universities make changes to their logo sheets per quarter. These changes can range from new trademark designations to the addition of new marks or colors. This can create a logistical nightmare for any licensee’s art department, since these changes must be incorporated into product designs to receive the required approval from the university. The solution? Logos On Demand.

To ensure the accuracy of collegiate logos used by licensees, the staff at JPatton works with each university and The Collegiate Licensing Company to maintain the most up-to-date logo sheet in the cleanest digital, vector format. The time invested by JPatton to clean each logo can save licensees considerable time and money in the pre-production process and ultimately provide a better looking product.

Institution:1 Approved Insitution = $50 per year2-5 Approved Institutions = $100 per year6-15 Approved Institutions = $250 per year16+ Approved Institutions = $500 per year

Conference: (Active through June 30)

1 Approved Conference = $50 per year2-5 Approved Conferences = $100 per year6+ Approved Conferences = $250 per year

Bowl: (Active Through May 31)1-5 Approved Bowls = $100 per year6+ Approved Bowls = $250 per year

Super-Pack:

$750 per year: (16+ Institutions, Bowls and Conferences)

KEY FEATURES:

24/7 access to the latest university artwork.Clean, vector format files.

Email notification to authorized users for logo changes.

Customized Primary Marks for uses on different background options.

Order holographic labels and hang tags online.

Access to “pre-approved” embroidery stitch files via Stitches On Demand.

Knowledgable customer support.

Access to Bowl, Conference and theme logos..

Helpful system tools that allow subscribers to sort schools by:PMS Colors.Schools that allow use of seals or crests.Schools that allow certain product categories like consumables, health and beauty, mascot caricatures and other pertinent information.

Subscription Options and Pricing:

Apply online at www.jpattonondemand.com/clcOnce your application has been received, JPatton will verify license statusand email login information and user instructions to your authorized contacts

FOR MORE INFORMATION, CONTACT JPATTONPhone: 770-612-0400 Email: [email protected]

CLC Special Agreement Regarding Labor Codes of Conduct and

Fair Labor Association College/University Licensee Program Requirements

Campus protests regarding the labor and workplace practices of collegiate licensees have affected virtually everyone associated with collegiate licensing during the last ten years. To respond to this issue, CLC’s license agreement includes a set of requirements that many CLC Institutions require for licensees to implement within their operations and those of their supply chain partners. Following is a summary of these requirements, which accompany CLC’s License Agreement as the “Special Agreement Regarding Labor Codes of Conduct” (“Labor Code”).

Labor Code Provision Summarized Description for Licensees and their Suppliers Public Disclosure of Suppliers Each Licensee shall disclose to the Collegiate Institution or its designee the location

(including factory name, contact name, address, phone number, e-mail address, products produced, and nature of business association) of each factory used in the production of all items which bear Licensed Indicia. Such information shall be updated upon change of any factory site location. The Collegiate Institution reserves the right to disclose this information to third parties, without restriction as to its further distribution.

Wages and Benefits Licensees recognize that wages are essential to meeting employees’ basic needs. Licensees shall pay employees, as a floor, at least the minimum wage required by local law or the local prevailing industry wage, whichever is higher, and shall provide legally mandated benefits.

Working Hours Working Hours: Except in extraordinary business circumstances, hourly and/or quota-based wage employees shall (i) not be required to work more than the lesser of (a) 48 hours per week and 12 hours overtime or (b) the limits on regular and overtime hours allowed by the law of the country of manufacture or, where the laws of such country do not limit the hours of work, the regular work week in such country plus 12 hours overtime; and (ii) be entitled to at least one day off in every seven day period.

Overtime Compensation Overtime Compensation: In addition to their compensation for regular hours of work, hourly and/or quota-based wage employees shall be compensated for overtime hours at such a premium rate as is legally required in the country of manufacture or, in those countries where such laws do not exist, at a rate at least equal to their regular hourly compensation rate.

Child Labor Child Labor: Licensees shall not employ any person at an age younger than 15 (or 14, where, consistent with International Labor Organization practices for developing countries, the law of the country of manufacture allows such exception). Where the age for completing compulsory education is higher than the standard for the minimum age of employment stated above, the higher age for completing compulsory education shall apply to this section. Licensees agree to consult with governmental, human rights and nongovernmental organizations, and to take reasonable steps as evaluated by CLC, the applicable Collegiate Institution(s) or their designee, and the applicable Licensee(s) to minimize the negative impact on children released from employment as a result of implementation or enforcement of the Code.

Forced Labor Forced Labor: There shall not be any use of forced prison labor, indentured labor, bonded labor or other forced labor.

Health and Safety Health and Safety: Licensees shall provide a safe and healthy working environment to prevent accidents and injury to health arising out of, linked with, or occurring in the course of work or as a result of the operation of Licensee facilities.

Nondiscrimination Nondiscrimination: No person shall be subject to any discrimination in employment, including hiring, salary, benefits, advancement, discipline, termination or retirement, on the basis of gender, race, religion, age, disability, sexual orientation, nationality, political opinion, or social or ethnic origin.

Harrassment and Abuse Harassment or Abuse: Every employee shall be treated with dignity and respect. No employee shall be subject to any physical, sexual, psychological or verbal harassment or abuse. Licensees will not use or tolerate any form of corporal punishment.

Freedom of Association and collective bargaining

Freedom of Association and Collective Bargaining: Licensees shall recognize and respect the right of employees to freedom of association and collective bargaining

In order to assist licensees in fulfilling these requirements, many CLC Institutions have joined the Fair Labor Association (“FLA”), a nonprofit organization that is dedicated to improving conditions in workplaces worldwide. A list of the CLC Institutions that are FLA affiliates is specified in the Labor Code and on the CLC Institution list. As members of the FLA, institutions require their licensees to affiliate with and participate in the FLA. Your company’s membership with the FLA is based on the criteria noted below. Requirements for affiliation levels differ. Please review the summarized information below or visit www.fairlabor.org to determine your company’s University Licensee FLA classification and the requirements and fees that you will be required to provide. Participating Companies (typically companies with more than $50 million in total annual revenue): • Must adopt and require its applicable suppliers to adopt Workplace Codes of Conduct that meet or exceed the FLA’s workplace

code. • Must convey the code and the company’s commitment to comply with the code to all officers, managers, and employees of its

factories, including their own factories and the factories of all suppliers. • Must disclose the location (including factory name, contact name, address, phone number, e-mail address, and products produced)

of each factory used in the domestic and overseas production of all products, including blank goods and finished goods to CLC, which has been directed by the Collegiate Institution to fulfill their requirements for public disclosure of suppliers as specified in the Labor Code.

• Must fulfill all participation requirements, including all ten principles of Fair Labor and Responsible Sourcing. Either through internal company compliance programs or through third-party monitors, all factories utilized in the production of items that bear collegiate indicia must be monitored on an ann ual basis. T his includes all suppliers of blank goods and finished products. Participating Companies must also comply with all other Principles of Fair Labor and Responsible Sourcing.

• Must allow the FLA to randomly select and monitor 5% of your company’s applicable facilities through an Independent External Monitoring (IEM) program. The company’s contribution to a revolving fund to cover IEM costs is determined by the average audit cost ($4,000) x number of applicable facilities plus a $2,110 management fee per IEM.

• Each year the company must submit a report to the FLA describing its activities to implement the workplace code and monitoring principles and the corrective steps it has taken to address instances or patterns of noncompliance and prevent recurrence in future.

• Complete an online self assessment annually based on the Principles of Fair Labor and Responsible Sourcing. • Pay annual fees to the FLA based on a formula related to your company’s annual revenues. Minimum annual dues for

Participating Companies are $5,750. Category B (companies with more than $50 million in total annual revenue that opt not to become Participating Companies): • Must fulfill all participation requirements, including all ten principles of Fair Labor and Responsible Sourcing, with respect to

facilities that manufacture goods bearing marks of FLA-affiliated universities. Pay annual dues to the FLA based on a f ormula related to your company’s annual collegiate revenues. The dues range from $5,000 to $5,000 + .00001 x revenue in excess of $100 million. That is, the minimum annual dues amount is $5,000.

• Must allow the FLA to randomly select and monitor 5% of your company’s applicable facilities through an Independent External Monitoring (IEM) program. The company’s contribution to a revolving fund to cover IEM costs is determined by the average audit cost ($4,000) x number of applicable facilities plus a $2,110 management fee per IEM.

• Complete an online self assessment annually based on the Principles of Fair Labor and Responsible Sourcing. Category C (companies with between $2.5 and $50 million in total annual revenue): • Must adopt and require its applicable suppliers to adopt Labor Codes of Conduct that met or exceed the FLA’s workplace code. • Must convey the code and the company’s commitment to comply with the code to all officers, managers, and employees of its

factories, including their own factories and the factories of all suppliers. • Must disclose the location (including factory name, contact name, address, phone number, e-mail address, and products produced)


• Must have in place or implement a system of factory monitoring and compliance in accordance with a subset of the FLA’s Principles of Fair Labor and Responsible Sourcing (building block obligations). Either through internal company compliance programs or through third-party monitors, all factories utilized in the production of items that bear collegiate indicia must be monitored on an annual basis. This includes all suppliers of blank goods and finished products, unless expressly exempted by the FLA.

• Complete an online self assessment annually based on a subset of the Principles of Fair Labor and Responsible Sourcing. Participate in other forms of due diligence that may be required by the FLA.

• Pay annual fees to the FLA based on .0001 x annual company revenues with a minimum fee of $500. Category D (companies with less than $2.5 million in total annual revenue but above $25,000): • Must certify their company’s commitment to the FLA Workplace Code of Conduct, and commit to a subset of the FLA Principles of

Fair Labor and Responsible Sourcing. • Must disclose the location (including factory name, contact name, address, phone number, e-mail address, and products produced)


• Complete the Introduction to the FLA online module. • Complete an online self assessment annually based on a subset of the Principles of Fair Labor and Responsible Sourcing. • Pay annual fees to the FLA in the amount of $100. Category E (companies with less than $25,000 in total annual consolidated revenues. Participation in this category may also include fine artisans and photographers whose annual revenue exceeds $25,000): • Submit a signed letter on an annual basis certifying the licensee’s commitment to FLA labor standards.

http://www.fairlabor.org/

CLC License Agreement Synopsis

Many companies have questions about the rules and regulations of becoming a licensee, so use this information below as a guide to help answer any questions you might have about what your company is committing to if you become a licensee. We hope this is a useful resource as you assess the opportunity to apply for a license. As the licensee, you are required to adhere to all terms and conditions of the License Agreement. This sheet is only designed to serve as a quick reference guide to answer Frequently Asked Questions.

DEFINITIONS

• Approved products for each institution are noted on Appendix C of the Agreement. • Licensees are only permitted to sell into approved distribution channels, as defined in Appendix D of the Agreement. • Royalties are due on Net Sales = Original Gross invoice price (including royalty amounts) less quantity discounts, credits for goods

actually returned, sales taxes, and actual freight charges. These are the only deductions allowed and must be clearly noted on the invoice as such.

• Royalty Payments on Licensed Article Closeouts cannot comprise more than five percent (5%) of Licensee’s total units sold for a particular annual contract period during the Agreement. “Licensed Article Closeouts” means Licensed Articles that are priced at least thirty percent (30%) lower than the regular Net Sales price for a particular Licensed Article.

• The royalty rate for each individual institution, product category and/or special program is noted on Appendix A of the License Agreement.

LIMITATIONS

• CLC’s Standard Retail Product License Agreement only authorizes licensees to produce and distribute merchandise incorporating the marks of individual institutions. You must obtain a separate license to produce and distribute merchandise incorporating the name or marks of the NCAA (“March Madness,” “Final Four,” etc.), Conferences, Bowls, or any product referencing “National Champions” in any sport.

• Promotional licensing (the use of merchandise for premiums or giveaways) also requires a separate license. • Licensee may not use or allow third parties to use any Licensed Articles in connection with any fundraising or charitable efforts

unless Licensee receives prior written authorization through CLC. • The Agreement only authorizes sales in the US, its territories, Puerto Rico, and US military bases abroad. • Licensees may not sell licensed merchandise to a distributor without prior written approval from CLC and the institutions. • Additional labels and/or brands must be approved by CLC and the institutions and licensees may be required to report royalties

and submit designs by label and/or brand. • CLC and the institutions must review all products/designs incorporating institution marks prior to production and distribution. The

appropriate or designation must be properly used with all marks. • Officially Licensed Collegiate Products hologram labels are only available through J. Patton. • Local Licensees may not apply to become a Standard Licensee until the successful completion of a one-year period as a Local

Licensee. • CLC will provide a minimum of 175 days notice regarding royalty rate, MR/U, and exemption policy changes for an institution.

Advance fees and administrative fees are subject to change without notice. • Advance fees paid with your original License Agreement or future renewals may be used for one contract year. Unused balances

may not be carried forward to the next contract year and there are no refunds. • Sublicensing (allowing another manufacturer to produce and sell your product) is not permitted. • The License Agreement is non-transferable. If more than 50% ownership in the company changes, a new Agreement must be

executed by the new owners if approved by CLC and the institutions. • If the license expires or is not renewed, you will have 60 days to deplete inventory but only if a final statement form detailing the

type and quantity of inventory remaining is provided within 30 days of expiration. If the Agreement is terminated by CLC and/or the institution(s) for failure to resolve a contract breach, all remaining inventory must be destroyed and no further distribution can occur from the date of termination.

• Another company may manufacture your product only if an Authorized Manufacturer’s Agreement is executed. The licensee is responsible for invoicing all customers and ensuring that all licensing requirements are met prior to distribution.

REMEDIES

• Damages will be assessed if the licensee breaches the Agreement, including, but not limited to, producing/selling products not on your License Agreement or for institutions for which you are not licensed.

• Failure to resolve a breach of contract in the manner and time provided by CLC can lead to termination of the Agreement.

• Each institution has the right to terminate the License Agreement at any time, with or without cause. Renewal of the License Agreement is at the discretion of the individual institutions in consultation with CLC. There is no express or implied obligation to renew the Agreement and CLC and the institutions will have no liability for any expenses incurred by Licensee in anticipation of any renewal of the Agreement.

RESPONSIBILITIES

• All Licensees must submit all designs approval requests, license requests, and royalty reports through MyiCLC. • Licensee’s name must appear on all licensed merchandise. • All licensed merchandise must include CLC’s Officially Licensed Collegiate Products hologram. Apparel items must include the

CLC hologram hangtag or a 1” hologram sticker must be affixed to your company’s existing hangtag. Non-apparel items and headwear must include the 1” hologram sticker. Please visit www.jpattonondemand.com/clc for detailed information on CLC’s label policies. Any unused hologram labels must be returned to CLC upon termination/expiration of the Agreement, and no refund is provided for any unused labels.

• Licensee is responsible for ensuring the hologram labels are affixed to each licensed product and licensees are not permitted to authorize any third party, with the exception of authorized manufacturers, to affix labels without written approval from CLC. CLC and the institutions are not responsible for licensed products being seized for failure to include the hologram label or the licensee’s name.

• CLC requires licensees to use digital logo sheets from the Logos on Demand subscription program in producing merchandise. For more information on this program, please visit www.jpattonondemand.com/clc.

• Licensee must take possession of all imported goods prior to distribution. FOB sales are not permitted. • Standard Licensees are required to report and pay royalties on a monthly basis. Local Licensees are required to report on a

quarterly basis. Sales must be reported at the time of invoicing or shipping, whichever comes first. • Licensee’s royalty report must be listed by (i) Collegiate Institution and CLC school code, (ii) Licensed Article and CLC Licensed

Article code, (iii) applicable Authorized Brand, (iv) Distribution Channel, and (v) retailer/customer (including specific retailer/customer locations).

• Reports must be provided even if sales were zero during the reporting period. • Credits must be reported and taken by Licensee within six (6) months following the date that the Licensed Articles are distributed

and/or sold by Licensee to its customer. • Licensees approved to sell into the Direct Sales and Related Retail Sales Distribution Channels shall pay royalties based upon the

final invoice price charged the customer/consumer. • Royalties must be paid on a fair and reasonable wholesale price. If you are selling licensed articles directly or indirectly to a related

entity, you must pay royalties on the regular sales price, not a discounted price. • Interest calculated at 1.5% per month is due on all royalty reports received after the due date (20 days after the close of the

reporting period). If Licensee makes any late royalty payments, such payments shall be calculated at the royalty rates in effect for the Collegiate Institutions at the time that the unpaid amount is paid.

• A credit memo must be provided with the royalty report if a licensee deducts royalties for returned merchandise. • If selling to an exempt entity in accordance with Appendix B-1 of the License Agreement, sales must be reported and the exempt

account must be noted in the royalty system. No royalties should be charged the exempt entity, including royalties built into the cost of the product, on these sales.

• Financial records, including invoice detail, must be maintained for three years following expiration or termination of the Agreement and are subject to audit by CLC.

• The licensee is responsible for paying the cost of an originally scheduled audit should the licensee request a change in the scheduled audit date, or if the licensee’s books and records are not organized and/or available for audit, or if an underpayment of 5% or $5,000 is discovered through the audit.

• Licensees must execute the CLC Special Agreement regarding Labor Codes of Conduct and meet the requirements of the Agreement if obtaining a license with an institution that has established Labor Codes of Conduct for licensees. This may include registration and participation with the Fair Labor Association (“FLA”). To learn more about the FLA and its requirements, please visit www.Fairlabor.org.

• Licensees that are required to execute the CLC Special Agreement regarding Labor Codes of Conduct must submit for public disclosure the location (including factory name, contact name, address, phone number, e-mail address, products produced, and nature of business association) of each factory used in the production of all collegiate products, including blank goods and finished goods.

• All licensees, authorized manufacturers, and blank goods suppliers must comply with the institution-specific labor code requirements.

• Licensees must obtain and maintain $1,000,000 in product liability insurance from an insurance carrier with at least an A-7 rating from A.M. Best. See CLC’s insurance guidelines for additional requirements. Additional insurance may be required for higher risk products.

http://www.jpattonondemand.com/clc

http://www.jpattonondemand.com/clc

http://www.fairlabor.org/

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