Royalty Fees

Royalty fees are payments made by one party to another for the use of their property, such as intellectual property, patents, trademarks, or natural resources. For example, an author receives royalty fees from a publisher for each book sold, or a musician earns royalties from song plays. Typically calculated as a percentage of sales or revenue generated from the use of the property, these fees recognize the original creator’s rights and help facilitate fair compensation for their work or assets.