Comp for factory using our design w/ our customers

Hi John and Group,

I am now in Shenzhen, China after meeting with several factories
that we have producing our product - a bottle opener w/ our special
packaging. I noticed in their showroom they had produced packaging
using some of our art work. They have sent out 100s of thousands w/
our artwork (not our branding just some of the design and
description drawings) which I was unaware of.

I remember John mentioning writing a memo asking the factory to comp
5% when other customers buy your design from that factory....how
about artwork? Do you think they would comp for that as well if they
use our artwork designs for the packaging? If so is 2-3% reasonable
or the whole 5%?

I have quickly learned that everything is about $$ in this area and
everything is negotiable but would love to know if there are any
precedents out there.

Thanks for your help,
Paul

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