How much do you know about intellectual property licensing?
If you’ve invented a product or developed trade secrets such as a specialized marketing method or innovative software solution, you may need to navigate the complex world of IP licensing. You’ll certainly want an experienced business attorney to guide you along, but getting familiar ahead of time with the basics on licensing intellectual property rights is a good idea.
What Is Intellectual Property Licensing?
If you own intangible property, including copyrighted works, patented inventions, trade secrets and trademark names or symbols, you can give others the right of use in exchange for an agreed-upon fee. This is what intellectual property licensing is all about.
Why Consider Licensing Your Intellectual Property?
As an IP rights owner, licensing can bring you an additional source of revenue. Also, IP licensing can boost your business growth, as the approach may make your property and brand more visible to a greater range of consumers.
How to Secure Your Intellectual Property Rights
If you’re approached by someone who wants to enter into an IP licensing agreement, your first step should be to contact an experienced business attorney. This area of law is quite complex, and an attorney with expertise in licensing IP rights will know how to protect your interests.
Drafting an IP licensing agreement is no easy task. You will need to consider several factors, including:
- License scope — Do you want to limit the amount of time or the ways in which the licensee can use your property? You want to satisfy the licensee, but giving out permanent, unrestricted control may not be a smart strategy.
- License fee — Do you prefer a one-time fee, paid for upon signing the IP licensing agreement? Or would you rather receive recurring royalties or monthly payments? An experienced business attorney can help you weigh the pros and cons of each option.
- Licensee rights — Do you want the licensee to have the right to modify your property? Should they have access to source code, if any software is involved? If you’re not sure, a qualified business attorney can offer advice.
This is by no means a complete list. Your IP licensing agreement must also address confidentiality, indemnity for infringement, contract termination rights and a host of other equally important issues. To protect your rights and interests, you need to find an experienced business attorney — such as the professionals at The Franchise & Business Law Group.
Our award-winning legal team has decades of experience in IP law, and you can rely on us for expert guidance in achieving all your business goals. To learn more about The Franchise & Business Law Group, or to schedule a confidential business attorney consultation to discuss intellectual property licensing, contact our office in Salt Lake City, Utah, today.