License Grant
A license grant is a contractual provision that allows the licensee to use the licensor’s intellectual property rights in specified ways that would otherwise be infringing.
Key Information to Include:
- Identity of licensor and licensee
- Exact intellectual property covered – patents, copyrights, trademarks, etc.
- Scope of permitted use
- Exclusivity – whether license is exclusive or non-exclusive
- Geographical territory or jurisdiction
- Term and termination conditions
- Payment terms – one-time fees, recurring royalties, etc.
- Limitations on use
- Whether sublicensing is allowed
Implications of Patent-Granting Open Source License
The implications of a "patent-granting" open source license is that it grants users rights not only to the copyrighted software code, but also to any patents the licensor holds on the software.
Example of Licensing Fee
A licensing fee is money paid to buy specific rights from another party. For example, this fee may be paid to a government agency by people or companies for the privilege of offering professional services or engaging in a specific type of business.
Things that can be licensed include software, patents, and copyrighted works. Other types of fees include those required for certain professions, such as cosmetologists.