With so many areas of negotiation for a licensing agreement, anything can cause problems. This is particularly the case when the lawyer who writes the license agreement uses too broad a language. Nevertheless, four areas are the most likely causes of a licensing dispute: exclusivity 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. Harvard also offers options agreements for companies considering licensing Harvard technology. An option agreement allows a company to “keep” a technology for a short period of time during which the company can continue to assess its potential or find funds for product development without committing or harvard to comply with the obligations of a licensing agreement. Options are typically six months to a year and generally require both overcharging fees and a refund of patent tracking for the duration of the option.

A non-compete clause. The licensee agrees not to allow anyone to compete with the licence in the area and period defined in the agreement. The licensing agreement allowed Starbucks to promote brand awareness outside of its North American operations through Nestlé`s distribution networks. For Nestlé, the company has accessed Starbucks products and a strong brand image. The value of the brand can be positive or. Each licensing agreement is unique and these agreements vary by type (copyright, trademark, patent, etc.). In general, you will find these sections in most licensing agreements: to view confidentiality agreements, transfer of materials or research cooperation, please return to our Sample Agreements page. 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 agreements are often used for the commercialization of technologies. Start and end of the agreement.