Settlement

After user deposits a bond over the minimum dispute bond threshold, a dispute is successfully initiated. If a settlement is reached with in 14 days of the SLA period (usually due to the original IP unintentionally infringing on an existing IP), then

  1. The IP Asset in violation is invalidated and can no longer receive royalty & revenue.

  2. The dispute bond is returned to the initial disputer.

  3. Some additional settlement fees that both parties agreed on may be returned to the disputer and the original IP creator.

  4. Stakers' $verioIP are unfrozen and are fully refunded with their staked $verioIP on the IP Asset.

Settlement Flow

In this case, even though a dispute is successfully initiated and the IP in question becomes invalidated, the stakers keep their full $verioIP stake and no slashing occurs.

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