License Agreement


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License Agreement

 

an agreement according to which one party (the licenser) gives the right to use an invention or other technical advance (license) to another party (the licensee), who pays an appropriate compensation. License agreements deal with technical concepts that are recognized as inventions according to the law of the country of citizenship of the license purchaser. They may also involve other technical advances, including production secrets (”know-how”).

The substantive features of a license agreement are the grant of the right to use the object of the agreement and the non-material nature of this object, which is defined in terms of specific characteristics (as a scientific and technical achievement). The scope of the rights given in the license agreement depends on the type of license. The conditions of the license agreement may establish the territory where the license applies (part of a country, one or several countries), the form in which the object of the license is used (including production and/or sale of articles, the employment of a certain technology), the quantitative scope of the license, and the term (usually from five to ten years). The license agreement also includes the conditions for transmitting technical documentation to the license purchaser and rendering him technical assistance by the exchange of specialists. These conditions also provide for the delivery of machinery and equipment prototypes, the mutual exchange of information between the parties on technical improvements made in the design, the participation of the parties in defending the rights of the license owner against infringement of these rights by third parties, and the procedure for resolving disputes involving the license agreement. The license agreement also determines the amount of license compensation, the manner of determining the amount, and the method of payment.

In the USSR, license agreements are used in trade relations with foreign organizations and are considered one of the forms of foreign trade transactions. Such agreements may be concluded only by the foreign trade organizations, that is, by the specialized all-Union association Litsenzintorg and other foreign trade associations.

Outside the Soviet Union, license agreements are also used by capitalist and some socialist countries in relations among organizations within the particular country.

References in periodicals archive ?
This license agreement includes an upfront of USD1m where Alligator receives USD0.5m upon signing of the agreement and USD0.5m after six months of scientific-technical evaluation.
The Tax Court concluded that the 1998 license agreement was, in fact, the relevant instrument of transfer because it set forth the terms of Hygrosol and Mutual's agreement.
Termination: The Kardashians may terminate the license agreement immediately if (1) the licensee fails to make timely payments and fails to cure or (2) the licensee commits a material breach, and fails to cure.
Section 365(n) of the Bankruptcy Code says that if the licensor rejects an IP license agreement, the licensee has two options: (1) it may treat the license as terminated, return the IP, and file a claim for damages; or (2) it may waive its claim for damages and retain the right to use the IP for the duration of the license for the stated royalties or other payments required by the license agreement.
00 per player effective on or after the later of (i) the effective date of the New DVD6C License Agreement and (ii) January 1, 2011.
Baxter will owe no further royalty or milestone obligations to Angiotech relating to the existing formulation of COSEAL or any future products under the terms of the Amended and Restated Distribution and License Agreement.
Pete Canalichio, director of Rubbermaid's global licensing division, says the license agreement with Whitney Design will expand Rubbermaid's product offering into the laundry care category.
Medivir AB (STO:MVIRB), Stockholm, Sweden, has signed two new pharmaceutical license agreements and an extension of the ongoing research collaboration in hepatitis C (HCV) with Tibotec Pharmaceuticals Ltd.
The site license agreement authorizes instructors to reproduce the material from the site in electronic or print course packs or otherwise distribute for classroom use without contacting ASAE for approval.
Last year, the International Municipal Lawyers Association and the American Society of Composers, Authors and Publishers (ASCAP) reached agreement on the terms of a model performance license for local governments--the ASCAP License Agreement for Local Governments.
Law Bulletin Publishing also charges LRP with engaging in "deceptive acts" and giving "false and misleading information." However, if the court decides that the publisher was not entitled to protect its information with a license agreement, wouldn't this render moot allegations of what a subscriber did to evade the terms of the agreement?
The newer issues relating to technological concerns and license agreement limitations are discussed in terms of users and access, deliberately avoiding the related pricing models.