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A license and distribution agreement is a legal, written contract between two parties who wish to share the rights to a brand, patent, or trademark. Under this agreement, a property, brand, patent, or trademark holder gives a third party permission to use their property.
What is a Licensing Agreement? A licensing agreement is a contract between two parties (the licensor and licensee) in which the licensor grants the licensee the right to use the brand name, trademark, patented technology, or ability to produce and sell goods owned by the licensor.
Begin your license agreement by defining who all parties are. From there, add information about license grants, charges, licensee's obligations, intellectual property rights, limitation of liability, confidentiality, governing law, waivers, etc. End the template with an agreement form to sign.
A distribution agreement is a legal contract between your company and distributors, defining the guidelines to market and sell your products. A distribution agreement grants a distributor the rights to market and sell your company products.
In a licence agreement, the business owner, the Licensor, grants a Licensee the right to use the Licensor's brand name and other intellectual property rights such as copyrights and trade secrets. The main difference between a distributorship and licensing is that the Licensee is responsible for any manufacturing.
Key Takeaways. A licensing agreement allows one party (the licensee) to use and/or earn revenue from the property of the owner (the licensor). Licensing agreements generate revenues, called royalties, earned by a company for allowing its copyrighted or patented material to be used by another company.
In addition to detailing all parties involved, licensing agreements need to specify in granular detail how licensed parties may use properties, including the following parameters: The geographical regions within which the property may be utilized. The time period parties are allotted to use the property.
A license and distribution agreement is a legal, written contract between two parties who wish to share the rights to a brand, patent, or trademark.