Article 1
1. This Regulation adopts the arrangements for implementing the rules laid down in Article 1 of Decision 94/762/EC. It shall apply to knowledge resulting from the implementation of these programmes through work undertaken direct by or financed wholly by, the Community, or work undertaken under a shared-cost contract. It shall also apply to the information concerning and relevant to such knowledge. 2. For the purposes of this Regulation: (1) 'knowledge` means results and inventions, whether patentable or not, obtained either directly by the Community through its own research means, or in the execution of a research and technological development contract concluded between the Community and third parties; (2) 'background information` means information, excluding knowledge, and any rights related to such information, held by any contractor in the same, or related, fields of research under his or her shared-cost contract; (3) 'contractor` means any party which has concluded a shared-cost contract with the Community, and any affiliate of any party as defined in that contract; it shall also include, where applicable, the Community, where the latter not only funds but actually carries out part of the work under a shared-cost contract, alongside and in a similar manner to the relevant co-contractors; (4) 'co-contractor` means the parties having concluded the same shared-cost contract with the Community; (5) 'project` means one or several shared-cost contracts where the tasks covered are technically interdependent, and which the parties to those contracts agree to consider as such under contractually defined conditions; (6) 'programme` means any of the programmes mentioned in paragraph 1; (7) 'commercial conditions` means open market payment and other conditions; (8) 'preferential conditions` means conditions that have a value lower than commercial conditions; (9) 'transfer conditions` means conditions that have a value lower than preferential conditions, normally the cost of making licences and user rights available.