The Technical License Agreement serves as a crucial legal instrument in Malaysia for companies and organizations seeking to formalize technology transfer arrangements. This document is essential when one party (licensor) wishes to grant another party (licensee) the right to use specific technical intellectual property, patents, know-how, or proprietary technology while maintaining ownership rights. The agreement is structured to comply with Malaysian intellectual property laws, technology transfer regulations, and contract law, making it particularly suitable for cross-border technology transactions involving Malaysian entities. It includes comprehensive provisions for technical implementation, support services, quality control, and protection of intellectual property rights. The document is commonly used in scenarios involving software licensing, manufacturing processes, industrial designs, or specialized technical knowledge transfer, and can be customized to address specific technical requirements while maintaining legal compliance with Malaysian regulations.
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1. Parties: Identification of the licensor and licensee, including full legal names, registration numbers, and registered addresses
2. Background: Context of the agreement, including brief description of the technology and purpose of the license
3. Definitions: Detailed definitions of technical terms, licensed technology, and other key terms used throughout the agreement
4. Grant of License: Scope of the license, including territory, exclusivity/non-exclusivity, and permitted uses
5. Technical Support and Implementation: Details of technical assistance, training, and implementation support provided by the licensor
6. License Fees and Payment Terms: Financial terms including license fees, royalties, payment schedules, and calculation methods
7. Intellectual Property Rights: Ownership of IP, protection measures, and handling of improvements or modifications
8. Confidentiality: Protection of confidential information and trade secrets
9. Quality Control: Standards and specifications that must be maintained in using the licensed technology
10. Term and Termination: Duration of the agreement and circumstances for termination
11. Post-Termination Obligations: Obligations of parties after agreement termination
12. Governing Law and Jurisdiction: Specification of Malaysian law as governing law and jurisdiction for disputes
1. Export Control: Required when the licensed technology is subject to export control regulations
2. Source Code Escrow: Used when software source code is involved and needs to be held in escrow
3. Performance Guarantees: Include when specific performance metrics or standards are guaranteed
4. Localization Requirements: Required when the technology needs to be adapted for local use
5. Research and Development: Include when ongoing R&D collaboration is part of the agreement
6. Competition Restrictions: Used when including non-compete or market restriction clauses
7. Insurance: Required when specific insurance coverage is needed for high-risk technologies
8. Government Approvals: Include when specific regulatory approvals are required
1. Technical Specifications: Detailed technical specifications of the licensed technology
2. Implementation Timeline: Milestone schedule for technology implementation and deployment
3. Service Level Agreement: Specific performance metrics and support levels
4. Fee Schedule: Detailed breakdown of all fees, royalties, and payment terms
5. Training Program: Details of training to be provided by licensor
6. Maintenance Requirements: Technical maintenance and update procedures
7. Acceptance Testing Criteria: Criteria and procedures for acceptance testing
8. Approved Sub-licensees: List of approved sub-licensees if sub-licensing is permitted
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