What are licensing agreements?

What are licensing agreements?

Licensing agreements can be made to protect the intellectual property of individuals. Through this form of protection, it can ensure that the individual’s idea is not used by other people. If others want to use it, they will have to pay for the right to use it. If you have made an invention or have come up with a theory, you may wish to call this your legal possession by using intellectual property claims to do so. Since intellectual property is not a tangible item that can be protected by physical means through security measures, it can be hard to protect. Licensing agreements can help protect your property in a way that stops others from using intellectual property that is not theirs. This property should be kept private so that only you can benefit from your property.

How are they enforced?

By gaining a license for a concept, it is a way for you to have ownership of an idea while being able to make a profit from selling it. This gives you the ability to grant others the right to utilize, market, manufacture, distribute or sell your work with your expressed permission. Your intellectual property needs to be protected, which includes monitoring to make sure it is not being abused or used without permission. Through a licensing agreement, it can plan for a set of standards that are supposed to be followed. These standards can include confidentiality, exclusivity, sub-licensing opportunities, territory, time frame, indemnification and royalty specifications. This agreement can include a report of what to expect. To make the best decision, consider all aspects of the agreement to ensure you are protecting what is yours.

When you own something as your intellectual property, you have to monitor to make sure it is not being used. If someone approaches you about using your intellectual property, you can create an agreement that details the extent of their use. In return, they can pay you for your property and the right to use it. A licensing agreement needs to be monitored so that these individuals are not going against the rules that you set forth. If you believe they are using your property wrongfully and not adhering to the agreement, you may be able to file a legal action against them to seek damages. These damages may be able to make up fo the royalties that they owed you. Those who agreed to the original plan may face possible infringement, pirating or exploitation. By following up on their actions, you can ensure that your property is not being abused.

Stone Crosby, P.C. has proudly served clients in Alabama for over 100 years. Our firm has experience handling matters including divorce and family law, estate planning and administration, business law, employment law, class actions, consumer protection, business law, real estate law, among many others. If you require quality legal representation, contact our firm today to schedule a consultation.

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