Your Intellectual Property is a valuable asset and can extend to a number of intellectual properties including but not limited to copyright works, trade marks, patents, designs, business know how, confidential information, inventions, plant breeders rights, and other intangible rights.
Commercialisation means to commercially exploit your Intellectual Property. The most common form of commercialisation is licensing. A Licence Agreement is commonly used to licence Intellectual Property for the purpose of commercialisation.
Common provisions found in a Licence Agreement include:
1. A licensing clause, setting out the conditions of the licence (including all restrictions and territory);
2. Term, setting out the term of the Licence Agreement (commencement and end date);
3. Ownership of Intellectual Property (including ownership of any adaptations or extensions of the subject matter);
4. Fee, Payment, and Royalty clause;
5. Ancillary commercial arrangements (including purchase of ancillary goods and services);
6. Confidentiality; and
7. Termination and Effect of Termination.
For effective commercialisation it is critical that the licensor’s commercial objectives are understood and clearly drafted in the Licence Agreement. Just as important is drafting clauses providing for adequate protection of Intellectual Property, including termination of the Licence Agreement due to breaches caused by the licensee.
Prepared by Angelo Karamanis on 1 November 2012
Disclaimer: This article has been prepared as an informative paper only and is not in any way, shape or form legal advice.
Please contact Angelo Karamanis for assistance with commercialisation, Intellectual Property protection and advice.
For more information on our services relating to Intellectual Property, see Intellectual Property.