Which Of The Following Is A Characteristic Of A Licensing Agreement

The licensing agreement gave Starbucks the opportunity to increase brand awareness outside of its North American operations through Nestlé`s distribution channels. For Nestlé, the company had access to Starbucks products and a strong brand image Brand equityIn marketing, brand equity refers to the value of a brand and is determined by the consumer`s perception of the brand. Brand value can be positive or positive. These are usually the most complex types of licensing agreements, as everything involves obtaining and maintaining a patent. Licensing agreements cover a wide range of known situations. For example, a retailer may enter into an agreement with a professional sports team to develop, produce and sell products bearing the sports team logo. Or a small manufacturer licenses a large company`s proprietary production technology to gain a competitive advantage instead of having to spend time and money developing its own technology. Or a greeting card company could reach an agreement with a movie distributor to produce a series of greeting cards in the image of a popular animated character. Most licensing agreements also address the issue of quality. For example, Licensor may include terms in the Agreement that require Licensee to provide prototypes of the Product, packaging models, and even occasional samples throughout the term of the Agreement. Of course, the best form of quality control is usually obtained before the fact – by carefully checking the reputation of the licensee.

Another common quality regulation in licensing agreements concerns the method of disposal of unsold goods. If the items that remain in stock are sold as cheap imitations, it can damage the licensor`s reputation in the market. Patents are about science and innovation. Patent licensing agreements are the documents by which a patent holder allows another person to use their patent. Examples of licensing can be found in many different industries. An example of a license agreement is an agreement between software copyright holders and a company that allows them to use the computer software for their day-to-day business operations. A license agreement is a legal agreement by which a party that owns a particular intellectual property allows another party to use that intellectual property. The party that owns the intellectual property (the Licensor) receives a payment (a royalty) if the other party (the Licensee) uses the intellectual property. Trademarks are signifiers of commercial origin, namely brand names and logos or slogans.

Trademark licensing agreements allow trademark owners to allow others to use their intellectual property. Those entering into a licensing agreement should consult a lawyer as there are complexities that are difficult to understand for those who do not have a thorough understanding of intellectual property law. In May 2018, Nestlé and Starbucks entered into a $7.15 billion coffee license agreement. Nestlé (licensee) has agreed to pay $7.15 billion in cash to Starbucks (the Licensor) for the exclusive rights to sell Starbucks products (single-use coffee, tea, bean bags, etc.) worldwide through Nestlé`s global distribution network. In addition, Starbucks receives royalties on packaged coffees and teas sold by Nestlé. There are also two different types of license terms. Are you planning to license something you own, but you`re not sure about the different types of licensing agreements? There are several ways to obtain an intellectual property (or „IP“). To do this, you must first understand the different types of license agreements. Copyright licensing agreements are often used for consumer goods, as are trademark licenses. .