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Corporate License Agreement for Indonesia

Corporate License Agreement Template for Indonesia

A comprehensive legal document governed by Indonesian law that establishes the terms and conditions under which a licensor grants specific rights to a corporate licensee to use intellectual property, technology, or proprietary assets. This agreement addresses key aspects including license scope, payment terms, usage rights, and obligations while ensuring compliance with Indonesian regulations, particularly the Civil Code, Intellectual Property Law, and relevant corporate regulations. The document includes provisions for technology transfer, protection of intellectual property rights, dispute resolution mechanisms, and specific requirements under Indonesian jurisdiction.

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Corporate License Agreement

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What is a Corporate License Agreement?

The Corporate License Agreement serves as a crucial legal instrument for businesses operating in Indonesia who need to formalize licensing arrangements for intellectual property, technology, or other proprietary assets. This document is essential when a company (licensor) wishes to grant another corporate entity (licensee) the right to use its intellectual property or technology while maintaining ownership and control. The agreement must comply with Indonesian legal requirements, including the Civil Code (KUHPer), Law No. 28 of 2014 on Copyright, and Law No. 40 of 2007 on Limited Liability Companies. It is particularly relevant for technology transfers, software licensing, patent licensing, and other corporate intellectual property transactions within Indonesian jurisdiction. The document includes comprehensive terms covering license scope, territorial restrictions, payment structures, compliance requirements, and dispute resolution mechanisms tailored to Indonesian legal framework.

What sections should be included in a Corporate License Agreement?

1. Parties: Identification of the licensor and licensee, including their complete legal names, registration numbers, and addresses as required under Indonesian law

2. Background: Context of the agreement, relationship between parties, and general purpose of the licensing arrangement

3. Definitions: Comprehensive definitions of terms used throughout the agreement, including specific Indonesian legal terms where applicable

4. Grant of License: Scope and nature of the license, including territory, exclusivity, and permitted uses

5. License Fees and Payment Terms: Financial terms, payment schedule, currency specifications (as per Indonesian regulations), and tax considerations

6. Intellectual Property Rights: Ownership declarations, IP protection measures, and compliance with Indonesian IP laws

7. Term and Termination: Duration of agreement, renewal terms, and termination circumstances and procedures

8. Obligations of the Licensor: Licensor's commitments, including support, maintenance, and updates

9. Obligations of the Licensee: Licensee's responsibilities, usage restrictions, and compliance requirements

10. Confidentiality: Protection of confidential information and trade secrets

11. Warranties and Representations: Standard warranties and specific representations required under Indonesian law

12. Limitation of Liability: Liability limitations and indemnification provisions

13. Dispute Resolution: Dispute resolution procedures, governing law, and jurisdiction clauses compliant with Indonesian law

14. General Provisions: Standard boilerplate clauses including force majeure, notices, and assignment rights

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

1. Source Code Escrow: Required when software source code protection is needed; includes escrow terms and release conditions

2. Technology Transfer: Needed when agreement involves transfer of technology to Indonesian entities, ensuring compliance with local regulations

3. Export Control: Required for international licensing arrangements involving controlled technology or data

4. Local Content Requirements: Necessary when license involves manufacturing or production in Indonesia

5. Training and Support: Optional section detailing training and technical support provisions

6. Quality Control: Required for licenses involving manufacturing or product development

7. Compliance with Data Protection Laws: Necessary when license involves processing of personal data

8. Anti-Corruption Compliance: Recommended for international licensing arrangements

What schedules should be included in a Corporate License Agreement?

1. Schedule 1 - Licensed Products/Technology: Detailed description of licensed products, technology, or software

2. Schedule 2 - License Fees and Payment Terms: Detailed breakdown of fees, payment schedules, and calculation methods

3. Schedule 3 - Technical Specifications: Technical details and performance requirements of licensed technology

4. Schedule 4 - Service Level Agreement: Specific service levels and support requirements

5. Schedule 5 - Approved Sub-licensees: List of approved sub-licensees if sub-licensing is permitted

6. Appendix A - Form of Report: Template for required periodic reports

7. Appendix B - Security Requirements: Security protocols and requirements for handling licensed technology

8. Appendix C - Compliance Certificates: Required compliance and regulatory certificates under Indonesian law

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

Jurisdiction

Indonesia

Publisher

Ƶ

Document Type

License Agreement

Sector

IP

Cost

Free to use
Relevant legal definitions





















































Clauses












































Relevant Industries

Technology

Software Development

Manufacturing

Telecommunications

Healthcare

Financial Services

Automotive

Energy

Consumer Goods

Industrial Products

Pharmaceuticals

Electronics

Media and Entertainment

E-commerce

Relevant Teams

Legal

Intellectual Property

Corporate Affairs

Compliance

Technology

Business Development

Finance

Operations

Risk Management

Commercial

Relevant Roles

Chief Legal Officer

Legal Director

Intellectual Property Manager

Corporate Counsel

Licensing Manager

Contract Manager

Chief Technology Officer

Business Development Director

Commercial Director

Chief Executive Officer

Chief Financial Officer

Compliance Officer

Technology Transfer Manager

General Counsel

Legal Operations Manager

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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