The Royalty Non-Exclusive License Agreement is a crucial document for businesses seeking to monetize their intellectual property while maintaining control over its use and distribution. This agreement type is particularly relevant when the intellectual property owner (licensor) wishes to retain the right to license the same IP to multiple parties while generating revenue through royalty payments. Under Swiss law, this agreement must comply with specific requirements from the Swiss Code of Obligations and intellectual property legislation. The document typically includes detailed provisions on royalty calculations, payment terms, quality control, and usage restrictions, while maintaining flexibility for the licensor to enter into similar arrangements with other parties. This agreement structure is commonly used in various industries where technology transfer, brand licensing, or content distribution is required, while ensuring proper protection of the intellectual property rights and establishing clear commercial terms.
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Key Requirements PROMPT example:
Royalty Non Exclusive License
"I need a Royalty Non-Exclusive License Agreement under Swiss law for licensing our patented clean energy technology to multiple manufacturers in the EU, with quarterly royalty payments of 5% of net sales and strict quality control requirements to be implemented by March 2025."
1. Parties: Identification of the licensor and licensee with full legal names and addresses
2. Background: Context of the agreement, description of the licensed property, and parties' objectives
3. Definitions: Detailed definitions of key terms used throughout the agreement
4. Grant of License: Scope of the non-exclusive license, permitted uses, and territorial restrictions
5. Royalty Payments: Royalty rates, calculation methods, payment terms, and reporting requirements
6. Payment Terms: Details of payment mechanics, currency, timing, and late payment consequences
7. Intellectual Property Rights: Confirmation of ownership, protection of IP rights, and handling of improvements
8. Quality Control: Quality standards, inspection rights, and approval procedures
9. Representations and Warranties: Standard warranties regarding ownership, right to license, and non-infringement
10. Term and Termination: Duration of the agreement, renewal provisions, and termination rights
11. Confidentiality: Protection of confidential information exchanged during the relationship
12. Governing Law and Jurisdiction: Swiss law as governing law and jurisdiction for dispute resolution
13. General Provisions: Standard boilerplate clauses including notices, amendments, and assignment
1. Minimum Royalty Guarantee: Include when requiring minimum royalty payments regardless of actual sales
2. Sub-licensing Rights: Include if licensee is permitted to grant sub-licenses
3. Marketing and Promotion: Include when specific marketing obligations or restrictions apply
4. Technical Support: Include if licensor provides technical support or training
5. Export Control: Include for international licensing dealing with controlled technologies
6. Source Code Escrow: Include for software licenses where source code protection is needed
7. Data Protection: Include when personal data processing is involved
8. Insurance: Include when specific insurance requirements are needed
9. Change of Control: Include to address consequences of ownership changes
10. Audit Rights: Include for detailed audit provisions beyond basic reporting requirements
1. Schedule 1 - Licensed Property: Detailed description of the intellectual property being licensed
2. Schedule 2 - Royalty Rates: Detailed breakdown of royalty rates, tiers, and calculation methods
3. Schedule 3 - Technical Specifications: Technical requirements and standards for using the licensed property
4. Schedule 4 - Quality Control Standards: Detailed quality control procedures and requirements
5. Schedule 5 - Reporting Template: Template for regular royalty reports and sales information
6. Schedule 6 - Approved Sub-licensees: List of pre-approved sub-licensees if applicable
7. Schedule 7 - Territory Definition: Detailed description of authorized territories and any restrictions
8. Appendix A - Brand Guidelines: Guidelines for using licensed trademarks or branding
9. Appendix B - Support Services: Details of any technical support or maintenance services
Authors
Relevant legal definitions
Clauses
Relevant Industries
Technology and Software
Manufacturing
Media and Entertainment
Pharmaceuticals and Biotechnology
Consumer Goods
Fashion and Luxury
Research and Development
Gaming
Publishing
Music Industry
Industrial Technology
Clean Technology
Relevant Teams
Legal
Intellectual Property
Finance
Business Development
Commercial
Research and Development
Product Management
Compliance
Technology Transfer
Licensing Operations
Relevant Roles
Chief Legal Officer
Intellectual Property Counsel
Licensing Manager
Business Development Director
Chief Financial Officer
Commercial Director
IP Portfolio Manager
Contract Manager
Technology Transfer Officer
Royalty Manager
Legal Counsel
Chief Technology Officer
Product Manager
Finance Director
Compliance Officer
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