The cross-border nature of a substantial proportion of the firm’s activities means that we have genuine expertise in the various methodologies by which businesses in one country or area might seek to expand its activities into another, in co-operation with an established partner in that other territory.
For example, the owner of intellectual property rights can licence another party to manufacture and sell products under licence in the agreed territory. Such licence agreements must be properly tailored to the nature of the rights being licensed and the needs of the parties, and therefore a proper commercial understanding of the business background to the transaction is required in order for your legal adviser to help you set up a contract which will maximise the prospects of success for the venture.
A licence agreement will typically cover at least the following main aspects:
- Define the rights to be licensed and their permitted use
- The duration of the agreement
- Any set-up, installation or testing process
- Payment terms
- Warranties and indemnities given by the licensor as to ownership of rights, fitness for purpose etc, plus any support obligations of the licensor
- Indemnities and insurance requirements of the licensee as to the consequences of its actions in the territory, including product liability
- Termination and remedies
- Choice of jurisdiction and dispute resolution.
Ian Baker - Partner