Imagine that you've paid the construction company after it finished building your house. You then go and live in it. One year later you get an invoice because you're living in the house they built.
That's what doesn't happen and what (I think) GP means with indefinite royalties: the person who owns the house has to keep paying the company which built the house.
The problem with that analogy is of course that royalties are based off profits, but there are ways to consider a home to have its own sense of profit (like the Belgian legal term 'cadastral income':
> Cadastral income is not an actual income. It is a notional value that we determine for an immovable property (building or land). This corresponds to the average annual net rental income you would receive in 1975 for your leased out property.
Imagine that you've paid the construction company after it finished building your house. You then go and live in it. One year later you get an invoice because you're living in the house they built.
That's what doesn't happen and what (I think) GP means with indefinite royalties: the person who owns the house has to keep paying the company which built the house.
The problem with that analogy is of course that royalties are based off profits, but there are ways to consider a home to have its own sense of profit (like the Belgian legal term 'cadastral income':
> Cadastral income is not an actual income. It is a notional value that we determine for an immovable property (building or land). This corresponds to the average annual net rental income you would receive in 1975 for your leased out property.
).