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Exclusive License Agreement for Patent with Schedule of Royalties

With Royalties

Name: Exclusive License Agreement for Patent with Schedule of Royalties
Brand: US Legal Forms
Price: 59.00 USD
Rating: 4.8 (340 reviews)

Category:

Copyrights Patents and Trademarks - Licensing

State:

Multi-State

Control #:

US-0564BG

Format:

Instant download

Description Patent Royalties

This form is for an exclusive license agreement for patent with schedule of royalties.

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License Patent Licensee FAQ

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.

Exclusive or non-exclusive. In an exclusive license, the intellectual property holder is licensing the work only to one person, for that particular use/territory. Territory. Use. Attribution. Derivative works. Confidentiality. Time frame. Termination.

A holder of a patent can license his patent in exchange for royalties by executing a licensing agreement between himself and the third party for an agreed-upon royalty. The agreement would allow a third party to use or sell the patented invention for a limited period of time.

When it comes to setting patent licensing royalty rates, there's no room for guesswork you need to calculate fair royalties based on income, costs or comparable market rates. Royalty rates can be anything from 0.1% to 25%, and they can differ from product to product and industry to industry.

An exclusive license agreement covers a license that is limited to a specific field or subject, such as a market, territory, length of time, or context.The licensor can issue an unlimited number of licenses that have different rights within the same field, or licenses with the same rights in a different field.

The royalties typically are a percentage of the gross sales of the products using your patent. Although each situation must be evaluated separately, royalties from patent licenses are usually 3 to 6 percent of gross sales. However, some patent license royalties are set by law.

Locate Manufacturers. Identify potential licensees. Sign a Confidentiality Agreement. Ask potential licensees to sign a confidentiality agreement to protect rights to your intellectual property. Negotiate Patent License. Complete a Patent License Agreement.

Royalties are usage-based payments from one party (a licensee) to another (the licensor). Licensing fees are paid as part of an agreement that defines the terms under which a tangible property is licensed for use by one party (a licensor) to another (the licensee).

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