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Label License Template for United Arab Emirates

A Label License agreement under UAE law is a comprehensive legal document that establishes the terms and conditions under which a licensee may use specific labels, marks, or branding elements owned by the licensor. This agreement is structured to comply with UAE Federal laws, particularly UAE Federal Law No. 36 of 2021 on Trademarks and related commercial regulations. It covers essential elements including license scope, quality control requirements, compliance with UAE labeling standards, usage restrictions, and commercial terms, while ensuring adherence to local regulatory requirements including consumer protection and industry-specific regulations.

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What is a Label License?

The Label License agreement is essential for businesses operating in the UAE who need to authorize third parties to use their labels, marks, or branding elements. This document is particularly crucial in the UAE market where strict regulatory compliance is required for product labeling, especially in regulated industries such as food and beverages, pharmaceuticals, and consumer goods. The agreement ensures that label usage meets both commercial objectives and regulatory requirements, including compliance with UAE Federal Law No. 36 of 2021 on Trademarks, consumer protection laws, and industry-specific regulations. The Label License includes detailed provisions for quality control, approval processes, and compliance with local standards, making it suitable for both domestic UAE operations and international businesses operating in the UAE market.

What sections should be included in a Label License?

1. Parties: Identification of the licensor and licensee, including full legal names, registration numbers, and registered addresses

2. Background: Context of the agreement, including ownership of the label and purpose of the license

3. Definitions: Key terms used throughout the agreement, including 'Label', 'Territory', 'Licensed Products', and 'Quality Standards'

4. Grant of License: Scope of the license granted, including territory, exclusivity/non-exclusivity, and permitted uses

5. Term and Renewal: Duration of the license and conditions for renewal

6. Quality Control: Requirements for maintaining quality standards and approval processes for label usage

7. Compliance with Laws: Obligations to comply with UAE laws, including consumer protection and labeling regulations

8. License Fees and Payments: Financial terms, including licensing fees, royalties, and payment schedules

9. Intellectual Property Rights: Protection of IP rights, ownership declarations, and handling of infringement

10. Termination: Grounds for termination and post-termination obligations

11. Governing Law and Jurisdiction: Specification of UAE law as governing law and jurisdiction for dispute resolution

What sections are optional to include in a Label License?

1. Sub-licensing Rights: Include when licensee is permitted to grant sub-licenses to third parties

2. Marketing and Promotion: Include when specific marketing requirements or restrictions apply to label usage

3. Export Controls: Include when licensed products may be exported outside the UAE

4. Environmental Compliance: Include when environmental standards or certifications are relevant to the label usage

5. Halal Compliance: Include when products must meet Halal requirements

6. Change of Control: Include when restrictions on change of control are needed

7. Non-Competition: Include when restricting licensee from competing activities

What schedules should be included in a Label License?

1. Schedule 1 - Label Specifications: Detailed technical specifications of the label, including dimensions, colors, and design elements

2. Schedule 2 - Licensed Products: List of products approved for label usage

3. Schedule 3 - Quality Standards: Detailed quality control requirements and procedures

4. Schedule 4 - Fee Schedule: Detailed breakdown of all fees, royalties, and payment terms

5. Schedule 5 - Approval Process: Step-by-step process for obtaining approval for label usage

6. Appendix A - Label Artwork: Visual representations of the licensed label in all approved formats

7. Appendix B - Compliance Checklist: Checklist of regulatory requirements and standards to be maintained

Authors

Alex Denne

Head of Growth (Open Source Law) @ tiktok成人版 | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents

Document Type

License Agreement

Sector

IP

Cost

Free to use

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