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Intellectual Property Bankruptcy Protection Act of 1987

Public Law 100-506 · S. 1626 · 100th Congress · began in the Senate

Signed by Ronald Reagan (R) on Oct 18, 1988 · Finance and Financial Sector

Sponsor: Sen. Dennis DeConcini (D-AZ)

Cosponsors (1): Sen. Howell Heflin

Passage votes

  • HouseVoice vote
  • SenateVoice vote
Data notes

The final version of the law, as each chamber passed it. A chamber that passed it by voice vote or unanimous consent has no count. “Method not stated” means the record does not say how the chamber voted. Where the record has a member-by-member vote, the “Who voted for it” section shows who voted yea.

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Summary

The Congressional Research Service’s plain-language summary of what the law does.

Amends Federal bankruptcy provisions to provide that if the trustee in bankruptcy rejects an executory contract under which the debtor is a licensor of a right to intellectual property, the licensee may elect to: (1) treat such contract as terminated if such rejection amounts to such a breach as would entitle the licensee to treat such contract as terminated by virtue of its own terms, applicable nonbankruptcy law, or an agreement made by the licensee with another entity; or (2) retain its rights as such rights existed immediately before the case commenced for the duration of the contract and for any period for which such contract may be extended by the licensee as of right under applicable nonbankruptcy law.

Provides that if a licensee elects to retain its rights under such contract, then: (1) the trustee shall allow the licensee to exercise such rights; (2) the licensee shall make all royalty payments due under such contract; and (3) the licensee shall be deemed to waive any right of setoff and any allowable claim arising from the performance of such contract.

Provides that on the written request of a licensee which elects to retain its rights, the trustee in bankruptcy shall: (1) provide to the licensee any intellectual property held by the trustee to the extent provided in such contract; and (2) refrain from interfering with any rights of the licensee, including any right to obtain such intellectual property from another entity.

Provides that unless and until the trustee rejects such contract, on the written request of the licensee, the trustee shall: (1) perform such contract or provide to the licensee such intellectual property held by the trustee; and (2) refrain from interfering with the rights of the licensee as provided in such contract to such intellectual property, including any right to obtain such intellectual property from another party.

Defines intellectual property as: (1) trade secrets; (2) inventions, processes, designs, or plants protected under applicable patent laws; (3) patent applications; (4) plant varieties; (5) works of authorship protected under applicable copyright laws; or (6) mask works (semiconductor chip components) protected under applicable copyright laws.

Committees

The committees the bill was sent to, and what each did with it.

  • Judiciary Committee · House · discharged from, referred toSubcommittee: Administrative State, Regulatory Reform, and Antitrust Subcommittee
  • Judiciary Committee · Senate · markup by, referred to, reported bySubcommittee: Administrative Oversight and the Courts Subcommittee
Data notes

A committee links to its page only where it exists in the current Congress; older and renamed committees are named without a link.

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Timeline

From introduction to signing, newest first: the committees, the floor and the president. 18 actions.

  1. Oct 18, 1988Became lawBecame law · Became Public Law No: 100-506.
  2. Became lawBecame law · Signed by President.
  3. Oct 7, 1988PresidentPresident · Presented to President.
  4. Oct 4, 1988FloorFloor · Passed House by Voice Vote.
  5. FloorFloor · Called up by House by Unanimous Consent.
  6. CommitteeCommittee · Discharged from House Judiciary Committee
  7. Sep 30, 1988CommitteeCommittee · Referred to Administrative State, Regulatory Reform, and Antitrust Subcommittee of the House Judiciary Committee
  8. Sep 27, 1988CommitteeCommittee · Referred to House Judiciary Committee
  9. Sep 20, 1988FloorFloor · Passed Senate with an amendment by Voice Vote.
  10. FloorFloor · Measure laid before Senate by unanimous consent.
  11. Sep 14, 1988CommitteeCommittee · Reported by Senate Judiciary Committee
  12. Aug 10, 1988CommitteeCommittee · Markup by Senate Judiciary Committee
  13. Aug 9, 1988CommitteeCommittee · Reported by Administrative Oversight and the Courts Subcommittee of the Senate Judiciary Committee
  14. CommitteeCommittee · Markup by Administrative Oversight and the Courts Subcommittee of the Senate Judiciary Committee
  15. Jun 10, 1988CommitteeCommittee · Hearings by Administrative Oversight and the Courts Subcommittee of the Senate Judiciary Committee
  16. Oct 20, 1987CommitteeCommittee · Referred to Administrative Oversight and the Courts Subcommittee of the Senate Judiciary Committee
  17. Aug 7, 1987CommitteeCommittee · Referred to Senate Judiciary Committee
  18. IntroducedIntroduced · Introduced in the Senate
Data notes

Shows the introduction, each committee and subcommittee step the source dates (referral, hearings, markup, report, discharge), and the floor, conference, presidential and became-law steps. Calendar placements, messages between the chambers, amendments and committee report numbers are not shown for laws before the 108th Congress. Two entries the source lists twice are shown once.

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Official record

The bill’s full text and every action, including introduction and committee steps, are on Congress.gov. Data through Oct 7, 2026.