Licensing Agreements & Intellectual Property

If you have created or own intellectual property that others may want to use, a licensing agreement can be a useful tool to protect your rights while allowing others to use your IP and generating an income for you from this. Situations where this may be necessary include:

• You have created a product or service that uses patented technology or copyrighted materials, but you do not have the resources or expertise to exploit this and you want to license that technology or materials to others in exchange for a fee or royalty

• You have developed a brand, logo, or trademark that others want to use to market their products or services, and you want to control how it’s used

• You have developed a software application or other digital product that others want to use, and you want to ensure that your product is used only in accordance with your terms

• You have developed a trade secret or confidential information that you want to share, perhaps as part of negotiations for a joint venyture, and you want to protect your competitive advantage.

It is important to consult with an experienced lawyer to determine the specific terms and conditions of the licensing agreement that will work best for your situation and to have these properly documented.

If someone infringes on your licensed intellectual property, there are several steps you can take to protect your rights and seek compensation for any damages you have suffered, including:

• Contacting the infringing party to instruct they stop, e.g. cease-and-desist letters

• Consider alternative dispute resolution: if the infringing party is willing to negotiate, you can use mediation or arbitration

• Issuing a claim: you may be able to seek an injunction and/or damages for losses or to require the infringer to hand over any undeserved profits

The duration of a licensing agreement varies depending on the terms negotiated between the licensor and the licensee and the duration of the intellectual property. Typically, a licensing agreement will include a clause that specifies how long the license is valid, whether it can be renewed at the end of this term and on what conditions, and provisions of early termination such as in the event of a breach by the licensee.

In some cases, a licensing agreement may have a fixed term, such as one year. In other cases, the agreement may be indefinite, meaning that it continues unless and until some defined termination event occurs. It's important to note that the duration of a licensing agreement can have significant implications for both the licensor and the licensee, and the parties should carefully consider the duration of the license when negotiating the terms of the agreement and how the licence fee is determined and whether it is subject to periodic review.