As noted in our June 1994 Newsletter, the group exemption permitting, subject to certain limitations, the grant of patent licenses including territorial exclusivity was due to expire on December 31, 1994. The European Commission hopes to replace this exemption with a new regulation dealing with technology licensing in general. Since, however, this exemption has not yet been finalized, the original group exemption relating to patent licenses has been extended for 6 months up to June 30, 1995. It appears likely that the new regulation will confine the grant of full exemptions to situations where the parties have less than 40% of the market for the licensed product or its substitutes and that situations where this requirement is not met will be dealt with by an opposition procedure.