What this is
The licence terms 4Kids described for the merchandise it licensed as agent: generally one to three years, renewable by the licensee if certain minimum annual payments were received.
How it’s built
- Quoted from 4Kids' annual reports for 2000 and 2001, which carry the same sentence.
What we assumed
Nothing. The figure is used as published.
Sanity check
Short, renewable terms tied to minimums are the industry norm, and match the yearly renewals seen in Takara Tomy's Japanese licence.
Where it comes from
4Kids Entertainment 10-K FY2000 4Kids Entertainment Inc (SEC EDGAR) · 2 April 2001 Open the original ↗
The line in the source
Generally, the term of the license runs for one to three years, and may be renewed by the licensee if certain minimum annual payments are received