What this is
The SEC rule that decides when a company must file a licence as a material contract: only when its business depends on the licence to a material extent, with no numeric threshold.
How it’s built
- Read from the text of Regulation S-K, Item 601(b)(10)(ii), clause B, which lists licences to use a trade name among the contracts that must be filed when the business depends on them.
What we assumed
Nothing. The figure is used as published.
Sanity check
Hasbro filed its Marvel and Tomy licences under this rule, while no swept filing includes a Pokémon licence, which shows the judgement of materiality is left to each company.
The values
- Numeric threshold: none stated
- Exception: need not be filed where immaterial in amount or significance
Some detail is too fine to show here; it is kept in the trainer’s notes.
Where it comes from
17 CFR § 229.601 (Item 601) Exhibits — Legal Information Institute rendering of eCFR Cornell LII (eCFR mirror) · current (fetched 3 November 2026) Open the original ↗
The line in the source
(B) Any contract upon which the registrant 's business is substantially dependent, as in the case of continuing contracts to sell the major part of registrant 's products or services or to purchase the major part of registrant 's requirements of goods, services or raw materials or any franchise or license or other agreement to use a patent, formula, trade secret, process or trade name upon which registrant 's business depends to a material extent;