Ensure royalty policy propagation is made only to children

contracts/modules/royalty/RoyaltyModule.sol

@@ -497,24 +497,35 @@ contract RoyaltyModule is IRoyaltyModule, VaultController, ReentrancyGuardUpgrad
         for (uint256 i = 0; i < parentIpIds.length; i++) {
             if (parentIpIds[i] == address(0)) revert Errors.RoyaltyModule__ZeroParentIpId();
             if (licenseRoyaltyPolicies[i] == address(0)) revert Errors.RoyaltyModule__ZeroRoyaltyPolicy();
-            _addToAccumulatedRoyaltyPolicies(parentIpIds[i], licenseRoyaltyPolicies[i]);
-            address[] memory accParentRoyaltyPolicies = $.accumulatedRoyaltyPolicies[parentIpIds[i]].values();
 
+            // transfer the royalty tokens and add royalty policy to child if it's not contained in the parent
+            // since if it's already contained then it will be transferred in the next loop already
+            if (!$.accumulatedRoyaltyPolicies[parentIpIds[i]].contains(licenseRoyaltyPolicies[i])) {
+                _addToAccumulatedRoyaltyPolicies(ipId, licenseRoyaltyPolicies[i]);
+                totalRtsRequiredToLink += _transferRoyaltyTokensToPolicy(
+                    parentIpIds[i],
+                    licenseRoyaltyPolicies[i],
+                    licensesPercent[i],
+                    ipRoyaltyVault
+                );
+            }
+
+            // transfer the royalty tokens and add all the parent royalty policies to the child
             // this loop is limited to accumulatedRoyaltyPoliciesLimit
+            address[] memory accParentRoyaltyPolicies = $.accumulatedRoyaltyPolicies[parentIpIds[i]].values();
             for (uint256 j = 0; j < accParentRoyaltyPolicies.length; j++) {
                 // add the parent ancestor royalty policies to the child
                 _addToAccumulatedRoyaltyPolicies(ipId, accParentRoyaltyPolicies[j]);
                 // transfer the required royalty tokens to each policy
                 uint32 licensePercent = accParentRoyaltyPolicies[j] == licenseRoyaltyPolicies[i]
                     ? licensesPercent[i]
                     : 0;
-                uint32 rtsRequiredToLink = IRoyaltyPolicy(accParentRoyaltyPolicies[j]).getPolicyRtsRequiredToLink(
+                totalRtsRequiredToLink += _transferRoyaltyTokensToPolicy(
                     parentIpIds[i],
-                    licensePercent
+                    accParentRoyaltyPolicies[j],
+                    licensePercent,
+                    ipRoyaltyVault
                 );
-                totalRtsRequiredToLink += rtsRequiredToLink;
-                if (totalRtsRequiredToLink > MAX_PERCENT) revert Errors.RoyaltyModule__AboveMaxPercent();
-                IERC20(ipRoyaltyVault).safeTransfer(accParentRoyaltyPolicies[j], rtsRequiredToLink);
             }
         }
 
@@ -537,6 +548,23 @@ contract RoyaltyModule is IRoyaltyModule, VaultController, ReentrancyGuardUpgrad
         _getRoyaltyModuleStorage().accumulatedRoyaltyPolicies[ipId].add(royaltyPolicy);
     }
 
+    /// @notice Transfers the royalty tokens to the royalty policy
+    /// @param parentIpId The parent IP asset
+    /// @param royaltyPolicy The address of the royalty policy
+    /// @param licensePercent The license percentage
+    /// @param ipRoyaltyVault The address of the ipRoyaltyVault
+    /// @return rtsRequiredToLink The required royalty tokens to link
+    function _transferRoyaltyTokensToPolicy(
+        address parentIpId,
+        address royaltyPolicy,
+        uint32 licensePercent,
+        address ipRoyaltyVault
+    ) internal returns (uint32) {
+        uint32 rtsRequiredToLink = IRoyaltyPolicy(royaltyPolicy).getPolicyRtsRequiredToLink(parentIpId, licensePercent);
+        if (rtsRequiredToLink > 0) IERC20(ipRoyaltyVault).safeTransfer(royaltyPolicy, rtsRequiredToLink);
+        return rtsRequiredToLink;
+    }
+
     /// @notice Handles the payment of royalties
     /// @param receiverIpId The ipId that receives the royalties
     /// @param payerAddress The address that pays the royalties

test/foundry/modules/royalty/RoyaltyModule.t.sol

@@ -630,41 +630,6 @@ contract TestRoyaltyModule is BaseTest {
         royaltyModule.onLinkToParents(address(80), parents, licenseRoyaltyPolicies, parentRoyalties, "");
     }
 
-    function test_RoyaltyModule_onLinkToParents_revert_AboveMaxPercent() public {
-        address[] memory parents = new address[](3);
-        address[] memory licenseRoyaltyPolicies = new address[](3);
-        uint32[] memory parentRoyalties = new uint32[](3);
-
-        // link 80 to 10 + 60 + 70
-        parents = new address[](3);
-        licenseRoyaltyPolicies = new address[](3);
-        parentRoyalties = new uint32[](3);
-        parents[0] = address(10);
-        parents[1] = address(60);
-        parents[2] = address(70);
-        licenseRoyaltyPolicies[0] = address(royaltyPolicyLAP);
-        licenseRoyaltyPolicies[1] = address(royaltyPolicyLRP);
-        licenseRoyaltyPolicies[2] = address(mockExternalRoyaltyPolicy1);
-        parentRoyalties[0] = uint32(500 * 10 ** 6);
-        parentRoyalties[1] = uint32(17 * 10 ** 6);
-        parentRoyalties[2] = uint32(24 * 10 ** 6);
-
-        vm.startPrank(address(licensingModule));
-        ipGraph.addParentIp(address(80), parents);
-
-        // tests royalty stack above 100%
-        vm.expectRevert(Errors.RoyaltyModule__AboveMaxPercent.selector);
-        royaltyModule.onLinkToParents(address(80), parents, licenseRoyaltyPolicies, parentRoyalties, "");
-
-        parentRoyalties[0] = uint32(50 * 10 ** 6);
-        parentRoyalties[1] = uint32(17 * 10 ** 6);
-        parentRoyalties[2] = uint32(240 * 10 ** 6);
-
-        // tests royalty token supply above 100%
-        vm.expectRevert(Errors.RoyaltyModule__AboveMaxPercent.selector);
-        royaltyModule.onLinkToParents(address(80), parents, licenseRoyaltyPolicies, parentRoyalties, "");
-    }
-
     function test_RoyaltyModule_onLinkToParents_revert_RoyaltyModule_NotWhitelistedOrRegisteredRoyaltyPolicy() public {
         address[] memory parents = new address[](3);
         address[] memory licenseRoyaltyPolicies = new address[](3);
@@ -774,22 +739,22 @@ contract TestRoyaltyModule is BaseTest {
         address[] memory accRoyaltyPolicies80After = royaltyModule.accumulatedRoyaltyPolicies(address(80));
         assertEq(accRoyaltyPolicies80After[0], address(royaltyPolicyLAP));
         assertEq(accRoyaltyPolicies80After[1], address(royaltyPolicyLRP));
-        assertEq(accRoyaltyPolicies80After[2], address(mockExternalRoyaltyPolicy1));
-        assertEq(accRoyaltyPolicies80After[3], address(mockExternalRoyaltyPolicy2));
+        assertEq(accRoyaltyPolicies80After[2], address(mockExternalRoyaltyPolicy2));
+        assertEq(accRoyaltyPolicies80After[3], address(mockExternalRoyaltyPolicy1));
 
         address[] memory accRoyaltyPolicies10After = royaltyModule.accumulatedRoyaltyPolicies(address(10));
-        assertEq(accRoyaltyPolicies10After[0], address(royaltyPolicyLAP));
+        assertEq(accRoyaltyPolicies10After.length, 0);
 
         address[] memory accRoyaltyPolicies60After = royaltyModule.accumulatedRoyaltyPolicies(address(60));
         assertEq(accRoyaltyPolicies60After[0], address(royaltyPolicyLAP));
         assertEq(accRoyaltyPolicies60After[1], address(royaltyPolicyLRP));
-        assertEq(accRoyaltyPolicies60After[2], address(mockExternalRoyaltyPolicy1));
+        assertEq(accRoyaltyPolicies60After.length, 2);
 
         address[] memory accRoyaltyPolicies70After = royaltyModule.accumulatedRoyaltyPolicies(address(70));
-        assertEq(accRoyaltyPolicies70After[0], address(royaltyPolicyLAP));
-        assertEq(accRoyaltyPolicies70After[1], address(royaltyPolicyLRP));
-        assertEq(accRoyaltyPolicies70After[2], address(mockExternalRoyaltyPolicy1));
-        assertEq(accRoyaltyPolicies70After[3], address(mockExternalRoyaltyPolicy2));
+        assertEq(accRoyaltyPolicies70After[0], address(mockExternalRoyaltyPolicy1));
+        assertEq(accRoyaltyPolicies70After[1], address(royaltyPolicyLAP));
+        assertEq(accRoyaltyPolicies70After[2], address(royaltyPolicyLRP));
+        assertEq(accRoyaltyPolicies70After.length, 3);
     }
 
     function test_RoyaltyModule_onLinkToParents_group() public {