Royalty rates and exemptions
Manufacturers and other entities that use the Central Michigan University name or other trademarks on their products or merchandise or in any promotional manner are required to pay a royalty fee. On products and merchandise, the fee is 8 percent of the net sales price. This fee is charged when the product is first sold by a licensed vendor - either by the licensed manufacturer or by the licensed distributor/retailer.
Products or merchandise purchased by university departments or student organizations to be given away to a designated or internal audience may be exempt from the royalty fee charged to manufacturers and distributors. Products purchased for resale, even if the goods are to be resold at cost, are not exempt from the royalty fee payment.
When a university department or student organization submits the Authorization For Use and Art Approval Form, a determination will be made if the royalty payment is required, based upon if the merchandise is sold or given away, and to whom and how it is being distributed.
Commercial use is defined as the manufacture and distribution of consumer products (e.g. clothing, hats, pens, souvenir items and other emblematic merchandise). An item that bears the marks of the university and those of a commercial business, such as a restaurant, is also considered commercial product.