A Licensing or IP Attorney will serve to work for you as the intermediary between you and potential buyers of your proprietary ownership (patent).
They also work with us to introduce new product ideas at both national and international invention trade shows, and negotiate licensing agreements for our clients.
Negotiating a successful licensing agreement is a Licensing Attorney’s major objectives.
So what does all that really mean to you?, well, to start with, there are numerous areas for negotiations of which the most important are:
1. COMPENSATION:
This is what the inventor will expect to receive in the form of compensation from a manufacturer or other company who expresses interest in the invention.
Negotiations can include items such as up front payments, a complete buyout of proprietary rights, the payment of royalties, or any combination of the three.
The net result is to obtain a compromise or win-win situation for both the inventors and the interested party.
2. DURATION:
This establishes how long the licensing agreement will remain in force. Some agreements are preliminary in the sense that the company wants to obtain the rights, however, they wish to test market the product first.
This agreement usually lasts about one year, with the right to renegotiate or cancel after the term expires. Some agreements can be negotiated for 3, 5, 7, or 10 years.
Many times, a company wants to have the agreement in effect for the term of the patent.
3. TERRITORIAL RIGHTS and EXCLUSIVITY:
This provision determines whether a company has the sole right for use, and/or what geographic region they may want. Some companies want worldwide rights and total exclusivity. That means they have the sole rights to the product and other companies cannot make, use or sell it.
Others may only want certain territories such as Australia, or Asia Pacific, United States, or Europe, etc.
That would allow the inventor to be free to negotiate with other companies, however, not within the territory originally negotiated with the first company. This is often negotiated for Distribution Rights of a certain product or range of products.
As you can see there are many options and opportunities available to negotiate a successful license agreement.
INVENTConnect provide professional services and support in the following areas:
 | Referrals to Licensing Attorneys where considered appropriate. | | Attendance at Licensing Negotiations, Direct Visits and Presentation meetings. | | Assistance with pitch preparation & presentation at Investor Forums. | | Referrals to Independent IP Protection and Advisory Services. | | Referrals for possible Venture Capital or Development Grant Service Providers. | | Assistance with the preparation of documentation for Grant Submissions. | | Assistance with Venture Capital development and referrals. | | Assistance with Government R&D Subsidies or Tax concessions. |
To find out how we can possibly help you further, please call our office 61 3 53855518 or Click Here to email us. |
