What settlement structures are common (lump sum, running royalty, covenant not to sue)?

What choices should a payment provision address?

The parties can consider a fixed payment, payments tied to future sales, or a combination. Define the covered products, payment dates, sales measure, reporting, and any audit process. This is a drafting checklist, not a claim that one payment form is customary or best.

Why distinguish a license from a release?

Ask separately what future activity is permitted and which past claims are resolved. Identify patents, parties, affiliates, customers, territory, time, and product changes. Do not assume a heading such as "license" or "covenant not to sue" answers all of those scope questions.

How does the court case end?

Rule 41 addresses voluntary dismissal. Kokkonen v. Guardian Life explains why federal jurisdiction to enforce a settlement does not automatically survive dismissal. If the parties seek an agreed injunction, Rule 65(d) requires specificity. Align the agreement, dismissal, and any continuing order before signing.