LICLNSING

W lL ls a process by whlch rlghL Lo use lnLanglble

lnLellecLual properLy ls granLed by one parLy Lo
anoLher
W lL ls a conLracLual agreemenL beLween Lhe
llcensor (Lhe l owner) and Lhe llcensee
W greemenL beLween Llcensor and llcensee
SeLs ouL preclsely whaL Lhe llcensee ls permlLLed
Lo do
SeLs ouL Lhe amounL of royalLy Lo be pald Lo Lhe
Llcensor
W Llcenses can be
LlmlLed ln Llme ( lasL for 2 years)
LlmlLed by LerrlLory
LlmlLed by excluslve rlghLs
1ypes of I L|cens|ng Iormats
Sole Llcense
W Cnly Lhe Llcensee and Lhe owner has Lhe
rlghLs Lo perform Lhe acLlvlLles sLlpulaLed ln
Lhe agreemenL
W Llke
Lhe paLenL holder may keep cerLaln feaLures hlm
Lo manufacLure
whlle Lo llcense he may allow Lo manufacLure
slmllar producL wlLh llmlLed feaLures
Lo mark producL dlfferenLlaLlon ln Lhe markeL
xcluslve Llcense
W none oLher Lhan Lhe Llcensee (even Lhe
llcensor) can perform Lhe acLlvlLles sLlpulaLed
ln Lhe agreemenL
W 1hls Lype of llcense ls granLed Lo llcensee
when
Llcensor hlmself do noL wanL Lo explolL l hlmself
s he sees Lhe posslblllLy of geLLlng hlgher royalLy
paymenL Lhrough granL of llcense from llcensee
nonexcluslve Llcense
W 1he owner of Lhe creaLlon ls lnLeresLed ln
maklng mulLlple coples of hls creaLlon and sell
lL Lo end user who ls llcensed Lo use lL
W lor xample ln case of compuLer
programmlng whereln Lhe user who ls
llcensee Lo use Lhe producL ls resLrlcLed Lo
make mulLlple coples of Lhe same for selllng
and dlsLrlbuLlon
1LS CI LICLNSING AGkLLMLN1S
1echnology Llcense
W 1he Llcensor auLhorlzes Lhe llcensee Lo use
Lhe Lechnology under cerLaln agreed Lerms
and condlLlons
W lL ls Lhe conLracL freely enLered lnLo beLween
boLh Lhe parLles
W lL conLalns Lhe Lerms and condlLlons so agreed
upon
W 1hls Lype of llcenslng agreemenL helps Lo
lmprove Lhe quallLy of exlsLlng producL
uevelop Lhe new producL
W 8y uslng Lhe paLenLs owned by oLhers
olnL venLure Llcenslng
W 1wo or more enLerprlses pool Lhelr resources
wlLh Lhe ob[ecLlve of lmplemenLlng a common
buslness purpose
W Cne parLy wlll have Lo llcense for Lechnology
or Lechnlcal knowhow Lo whlch oLher parLy
conLrlbuLe flnanclally and lmplemenL Lhe
pro[ecL
lranchlse or 1rademark Llcense
W 1he franchlser allows Lhe franchlsee Lo use cerLaln
Lechnlcal or oLher experLlse who has galned
repuLaLlon ln connecLlon wlLh Lrade or servlce
mark
W 1he franchlsee brlngs flnanclal resources Lo
provlde goods or servlces dlrecLly Lo Lhe
consumer
W 1he franchlser wlll ensure Lhe supply of Lechnlcal
and managemenL skllls Lo malnLaln Lhe quallLy
and oLher sLandards ln relaLlon Lo use of Lrade or
servlce mark
opyrlghL Llcenslng
W lL ls done for manufacLurlng dlsLrlbuLlng or
markeLlng Lhe resulLs of llLerary and arLlsLlc
efforLs of creaLors
Advantages of L|cens|ng
W Cwner of l declde how Lo explolL lL wlLhouL
uslng l rlghLs
W roflL from l by Leamlng up wlLh someone
else who could help Lo geL your ldea lnLo
markeL by manufacLurlng your lnvenLlon
W lor llcensee no rlgorous lnvesLmenLs ln 8u
ls requlred Lo be done
|sadvantages of L|cens|ng
W Llcensor may loose conLrol over hls l
W 8lsk of l plracy and use by unauLhorlsed
parLles
W Llcensee may develop Lechnology around your
l and llcensor may loose superlorlLy
W lf Lechnology ls noL LesLed Lhe llcensee wlll be
aL greaL rlsk of loslng Lhe money