The xvc license comes with an indemnification clause defined as follows:

If the Licensee is approached by any patent-holding entity asserting that the Licensee makes infringement of the patent holders patent by using, selling, offering for sale, importing or distributing the xvc Reference Software or any xvc Implementation, then Divideon guarantees that one of the following actions will be performed within 60 days from the date when Divideon is informed about the infringement assertion:

1. The patent in question is added to the list of patents covered by the xvc license.

2. Divideon accepts to pay all costs, including potential costs for litigation and damage, for example if a court finds the alleged infringement to be valid.

3. The patented technology is removed from the xvc codec and a new version of the codec is issued, with a new version of the xvc Reference Software being made available within 60 days from the date when Divideon is informed about the infringement assertion.

An infringement assertion needs to be specific both in terms of which claim(s) of which patent is infringed and in terms of which function(s) of the reference software infringes the patent. It is Divideon’s sole discretion to decide which action will be performed for each infringement assertion.