The Third Party License Agreement is a crucial document for businesses operating in Indonesia that need to formally license intellectual property rights to third parties. This agreement is essential when companies want to monetize their intellectual property, expand their market reach, or establish strategic partnerships while maintaining control over their IP assets. The document must comply with Indonesian legal requirements, including the Civil Code (Kitab Undang-undang Hukum Perdata), Law No. 28 of 2014 on Copyright, and other relevant IP regulations. It is particularly important in scenarios involving technology transfer, software licensing, content distribution, or manufacturing rights, where clear terms of use, quality control, and protection of intellectual property rights are paramount. The agreement helps establish clear boundaries for IP usage while ensuring proper compensation for the rights holder and compliance with local regulatory requirements.
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1. Parties: Identification of the licensor and licensee with full legal names and addresses
2. Background: Context of the agreement, ownership of intellectual property, and purpose of the license
3. Definitions: Detailed definitions of key terms used throughout the agreement
4. Grant of License: Scope of the license, including type (exclusive/non-exclusive), territory, and permitted uses
5. License Fees and Payment Terms: Financial terms, payment schedule, and calculation of royalties if applicable
6. Intellectual Property Rights: Confirmation of ownership and protection of IP rights
7. Obligations of the Licensee: Specific duties, restrictions, and requirements for the licensee
8. Quality Control: Standards and requirements for maintaining quality in the use of licensed material
9. Confidentiality: Protection of confidential information and trade secrets
10. Term and Termination: Duration of agreement and circumstances for termination
11. Post-Termination Obligations: Obligations and rights of parties after agreement ends
12. Warranties and Representations: Guarantees made by each party regarding their rights and capabilities
13. Indemnification: Protection against third-party claims and allocation of risks
14. Dispute Resolution: Process for resolving disputes including jurisdiction and venue
15. General Provisions: Standard boilerplate clauses including notices, assignment, and amendment procedures
1. Sublicensing Rights: Include when licensee is permitted to sublicense to third parties
2. Technology Transfer: Include when agreement involves transfer of technical knowledge or training
3. Source Code Escrow: Include for software licenses where source code access may be needed
4. Performance Requirements: Include when license is contingent on meeting specific performance targets
5. Export Control: Include when licensed material is subject to export regulations
6. Localization Rights: Include when licensed material needs to be adapted for local market
7. Marketing and Promotion: Include when agreement covers promotional rights and obligations
8. Competition Restrictions: Include non-compete provisions where relevant and legally permissible
9. Insurance Requirements: Include when specific insurance coverage is required for licensed activities
1. Schedule 1: Licensed Material: Detailed description of the intellectual property being licensed
2. Schedule 2: Territory: Specific geographical areas covered by the license
3. Schedule 3: License Fees and Royalties: Detailed breakdown of all financial terms and calculations
4. Schedule 4: Technical Specifications: Technical requirements and standards for using licensed material
5. Schedule 5: Quality Control Procedures: Detailed quality control processes and requirements
6. Appendix A: Approved Form of Sublicense: Template for sublicense agreements if permitted
7. Appendix B: Trademark Usage Guidelines: Guidelines for proper use of licensed trademarks
8. Appendix C: Service Level Requirements: Performance metrics and service standards if applicable
Relevant legal definitions
Clauses
Relevant Industries
Technology
Software Development
Manufacturing
Media and Entertainment
Telecommunications
Pharmaceuticals
Consumer Goods
Industrial Products
Automotive
Electronics
Fashion and Retail
Gaming and Interactive Entertainment
Biotechnology
Research and Development
Creative Industries
Relevant Teams
Legal
Intellectual Property
Business Development
Commercial
Compliance
Operations
Technology
Research and Development
Product Management
Partnerships
Strategy
Corporate Affairs
Risk Management
Innovation
Relevant Roles
Legal Counsel
Intellectual Property Manager
Licensing Director
Business Development Manager
Contract Manager
Commercial Director
Chief Legal Officer
Technology Transfer Officer
IP Rights Administrator
Compliance Officer
General Counsel
Partnership Manager
Operations Director
Chief Technology Officer
Product Manager
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