The licensing agreement should contain a language dealing with the issue of property disputes. What happens, for example, if someone challenges ownership of a trademark you have licensed? Or, what happens if someone plagiarizes the copyrighted work that is licensed? Both parties to the licensing agreement should agree on how to deal with these issues. Licensing your company`s assets certainly has advantages, but be sure to take these factors into account when creating a licensing agreement: the benefits of licensing can be viewed from two angles: the licensee and the licensee. Confidentiality agreement. Both parties agree not to disclose trade secrets. Most licensing agreements also deal with the issue of quality. For example, the licensee may enter into the contract conditions that require the purchaser to provide prototypes of the product, mockups of the packaging and even occasional samples for the duration of the contract. Of course, the best form of quality control is usually achieved before the fact – by carefully checking the reputation of the licensee. Another common quality provision in licensing agreements is the method of disposing of unsold products.
If stock items are sold as cheap knockoffs, this can damage the licensee`s reputation in the market. Exclusive and territory. The licensee is granted the exclusive right to manufacture and sell the product in a given territory. The licensee agrees that others are not allowed to sell the product in this area. This part of the agreement is usually accompanied by a clause. Do your due diligence before the agreement. Both parties should carefully consider the other party. Check business credits and continuous management. Ask for a degree.
Visit the offices and production sites of the other company. Try to do it. goal. The parties are referred to by derin name names, the following referred to as “licensees” and “licensees” or short names. A licensing agreement is a contract between two parties (conedenters and licensees) in which the donor grants the purchaser the right to use the mark, brand, patented technology or the ability to manufacture and sell goods in the licensee`s possession.