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Old 12-22-2009, 01:50 PM   #4
calvin-c
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I suspect that it depends on how the contract is written. If someone wants to purchase world-wide rights, but exclusive rights have already been sold for, say, the US, then the contract would give them rights to sell it everywhere *except* the US.

This whole GR thing is a mess. IMO the easiest way to fix it is to define the location of the sale more closely to the location of the sale of physical goods, i.e. 'at the company store'. That's still a little vague, but it could be handled the same way mail order is regarding sales tax. (AFAIK this is universal, but I'm not aware of a law making it so. Maybe it's just a common practice.)

with mail order, it doesn't matter where you actually place the order. If the company has a location in the taxing jurisdiction where you live, then it's supposed to charge you sales tax for that jurisdiction-the sale is assumed to take place at the local store. If it doesn't, then the sale takes place at the location that receives your order. (Most jurisdictions exempt from tax sales that occur outside their jurisdiction. But they don't allow you to evade the tax by placing the order, for example, at the headquarters while picking it up locally.)
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