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Patent License Agreement for United Arab Emirates

Patent License Agreement Template for United Arab Emirates

A Patent License Agreement under UAE law is a legally binding contract that allows the transfer of patent rights from a patent owner (licensor) to another party (licensee) while retaining ownership of the patent. This agreement is governed by UAE Federal Law No. 11 of 2021 on Industrial Property Rights and related legislation, ensuring compliance with local intellectual property laws and regulations. The document outlines the scope of the license, payment terms, quality control requirements, and parties' obligations, while incorporating specific provisions required under UAE law for the protection and commercial exploitation of patent rights.

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What is a Patent License Agreement?

The Patent License Agreement is a crucial document used when a patent owner wishes to grant rights to another party to use, manufacture, sell, or distribute products or services covered by their patent rights in the UAE and potentially other territories. This agreement type is particularly important in the UAE's developing innovation ecosystem, where technology transfer and commercialization of intellectual property are key drivers of economic growth. The agreement must comply with UAE Federal Law No. 11 of 2021 on Industrial Property Rights and related regulations, which provide the framework for patent protection and licensing in the UAE. It typically includes detailed provisions on license scope, territorial restrictions, royalty payments, quality control, and compliance with local laws, making it essential for businesses engaging in technology transfer or patent commercialization in the UAE market.

What sections should be included in a Patent License Agreement?

1. Parties: Identification of the licensor and licensee, including full legal names, registration details, and addresses

2. Background: Context of the agreement, including brief description of the patent(s) and the parties' intentions

3. Definitions: Detailed definitions of key terms used throughout the agreement, including technical terms specific to the patent(s)

4. Grant of License: Specific details of the license granted, including scope, territory, and whether exclusive or non-exclusive

5. License Fees and Royalties: Payment terms, including upfront fees, ongoing royalties, calculation methods, and payment schedules

6. Protection of Patent Rights: Obligations regarding maintenance of the patent(s) and handling of infringement

7. Quality Control: Standards and specifications for licensed products/processes and quality assurance requirements

8. Records and Audit Rights: Requirements for maintaining records and the licensor's audit rights

9. Confidentiality: Provisions for protecting confidential information exchanged under the agreement

10. Term and Termination: Duration of the agreement and circumstances for termination

11. Post-Termination Obligations: Obligations and rights of parties after agreement termination

12. Governing Law and Jurisdiction: Specification of UAE law as governing law and jurisdiction for disputes

13. General Provisions: Standard clauses including force majeure, notices, and amendment procedures

What sections are optional to include in a Patent License Agreement?

1. Sublicensing Rights: Include when licensee is permitted to sublicense the patent rights to third parties

2. Improvements: Include when parties want to address ownership and licensing of improvements to the patented technology

3. Technology Transfer: Include when technical assistance or know-how transfer is part of the agreement

4. Export Control: Include when licensed technology is subject to export control regulations

5. Competition Law Compliance: Include when license terms could have competition law implications

6. Patent Marking: Include when specific requirements for marking licensed products with patent information are needed

7. Insurance: Include when specific insurance requirements are needed for product liability or other risks

What schedules should be included in a Patent License Agreement?

1. Schedule 1 - Licensed Patents: Detailed list of licensed patents including registration numbers, jurisdictions, and status

2. Schedule 2 - Technical Specifications: Detailed technical specifications for the licensed technology and quality standards

3. Schedule 3 - Royalty Calculations: Detailed methodology for calculating royalties, including examples if needed

4. Schedule 4 - Approved Sublicensees: List of pre-approved sublicensees if applicable

5. Schedule 5 - Technology Transfer Plan: Detailed plan for any technology transfer or training to be provided

6. Appendix A - Form of Royalty Report: Template for periodic royalty reporting

7. Appendix B - Quality Control Procedures: Detailed procedures for quality control and testing

Authors

Alex Denne

Head of Growth (Open Source Law) @ Ƶ | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Publisher

Ƶ

Document Type

License Agreement

Sector

IP

Cost

Free to use
Relevant legal definitions








































Clauses








































Relevant Industries

Technology

Manufacturing

Pharmaceuticals

Biotechnology

Electronics

Automotive

Healthcare

Telecommunications

Chemical Industry

Energy

Clean Technology

Industrial Engineering

Consumer Products

Medical Devices

Software Development

Relevant Teams

Legal

Intellectual Property

Research and Development

Business Development

Commercial

Technology Transfer

Innovation

Patent Administration

Corporate Strategy

Compliance

Technical Operations

Relevant Roles

Intellectual Property Manager

Legal Counsel

Patent Attorney

Chief Technology Officer

Research and Development Director

Licensing Manager

Business Development Manager

Innovation Director

Chief Legal Officer

Commercial Director

Technology Transfer Officer

Patent Portfolio Manager

Intellectual Property Strategist

General Counsel

Chief Executive Officer

Industries







Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

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