Third Party Licence Agreements are essential when businesses need to extend licensed rights beyond the primary licensee. This document type is commonly used in situations where a licensee requires the ability to sublicense or grant access to licensed properties to specific third parties, such as subsidiaries, contractors, or customers. The agreement, governed by English and Welsh law, typically includes detailed provisions on the scope of third-party rights, usage limitations, quality control measures, and liability allocation. It's particularly important in complex commercial arrangements where multiple parties need access to licensed intellectual property or other assets.
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1. Parties: Identification of all contracting parties including licensor, licensee, and relevant third parties
2. Background: Context of the agreement and relationship between parties
3. Definitions: Key terms used throughout the agreement
4. Grant of Licence: Scope and nature of the licence being granted
5. Term and Termination: Duration of agreement and termination provisions
6. Payment Terms: Financial arrangements including fees and payment schedule
7. Intellectual Property Rights: Ownership and protection of IP rights
8. Warranties and Representations: Promises and statements made by each party
9. Indemnification: Protection against third-party claims and losses
10. Confidentiality: Protection of confidential information
11. General Provisions: Standard boilerplate clauses including governing law, notices, and assignment
1. Territory Restrictions: Geographic limitations on licence use - include when licence is geographically restricted
2. Sublicencing Rights: Rights to grant sublicences to others - include when sublicencing may be permitted
3. Quality Control: Standards maintenance requirements - include for brand-sensitive licences
4. Data Protection: Specific provisions for handling personal data - include when personal data processing is involved
5. Export Control: Compliance with export regulations - include for international licensing
1. Schedule 1 - Licensed Properties: Detailed list and description of licensed items/properties
2. Schedule 2 - Royalty Calculations: Detailed breakdown of payment calculations and reporting requirements
3. Schedule 3 - Technical Specifications: Technical requirements and standards for licensed properties
4. Schedule 4 - Approved Third Parties: List of approved third party users or sublicencees
5. Schedule 5 - Service Levels: Performance standards and metrics if applicable
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