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Sublicensable License for Malaysia

Sublicensable License Template for Malaysia

A comprehensive legal agreement governed by Malaysian law that grants a licensee the right to not only use specific intellectual property but also to sublicense it to third parties under defined conditions. The document addresses key aspects including license scope, territory restrictions, quality control measures, royalty structures, and compliance with Malaysian intellectual property laws. It includes specific provisions for managing sublicensing relationships, ensuring proper IP protection, and maintaining quality standards throughout the licensing chain while complying with Malaysian regulatory requirements and competition laws.

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Sublicensable License

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What is a Sublicensable License?

This Sublicensable License agreement template is designed for use under Malaysian law when an intellectual property owner wishes to grant licensing rights that include the ability to sublicense to third parties. It is particularly valuable in situations where a business model involves multiple tiers of licensing or when the licensee needs flexibility to extend rights to affiliated companies or business partners. The document incorporates provisions compliant with Malaysian intellectual property laws, including the Patents Act 1983, Copyright Act 1987, and relevant commercial legislation. It includes comprehensive sections on quality control, royalty structures, and compliance requirements to protect the IP owner's interests throughout the licensing chain. This type of agreement is commonly used in technology transfer, software licensing, franchise arrangements, and other commercial scenarios where downstream licensing is anticipated.

What sections should be included in a Sublicensable License?

1. Parties: Identification of licensor and licensee with full legal names and registered addresses

2. Background: Context of the agreement, ownership of intellectual property, and purpose of the license

3. Definitions: Defined terms used throughout the agreement

4. Grant of License: Scope of license, territory, exclusivity, and explicit sublicensing rights

5. Sublicensing Rights and Obligations: Terms and conditions for sublicensing, approval process, and licensee's obligations regarding sublicensees

6. Payment Terms: License fees, royalties, payment schedule, and reporting requirements

7. Quality Control: Quality standards, inspection rights, and approval requirements

8. Intellectual Property Protection: IP ownership, protection measures, and handling of improvements

9. Confidentiality: Protection of confidential information and trade secrets

10. Representations and Warranties: Parties' representations regarding IP ownership, authority to license, and standard warranties

11. Term and Termination: Duration, renewal terms, termination triggers, and consequences of termination

12. General Provisions: Standard boilerplate clauses including governing law, dispute resolution, and notices

What sections are optional to include in a Sublicensable License?

1. Technical Support and Maintenance: Include when the license involves software or technical products requiring ongoing support

2. Training and Documentation: Include when the licensed technology requires specific training or documentation for proper use

3. Marketing and Promotion: Include when the agreement requires specific marketing obligations or restrictions

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

5. Source Code Escrow: Include for software licenses where source code access might be needed in specific circumstances

6. Data Protection: Include when the licensed product involves processing personal data

7. Insurance: Include when specific insurance requirements are needed for high-risk or high-value licenses

8. Change Control: Include when the licensed technology may need updates or modifications during the term

What schedules should be included in a Sublicensable License?

1. Schedule 1 - Licensed Intellectual Property: Detailed description of all IP being licensed, including registration numbers

2. Schedule 2 - Territory: Detailed description of geographic territories where license is valid

3. Schedule 3 - Payment Terms: Detailed breakdown of fees, royalties, and payment calculations

4. Schedule 4 - Technical Specifications: Technical details and specifications of licensed technology

5. Schedule 5 - Quality Standards: Detailed quality control requirements and procedures

6. Schedule 6 - Approved Sublicensees: List of pre-approved sublicensees (if any) and approval criteria

7. Schedule 7 - Support Services: Details of any technical support or maintenance services

8. Appendix A - Reporting Templates: Standard forms for royalty reporting and other required reports

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

Malaysia

Publisher

Ƶ

Document Type

Use Agreement

Cost

Free to use
Relevant legal definitions

























Clauses



























Relevant Industries

Technology

Software Development

Pharmaceuticals

Biotechnology

Manufacturing

Entertainment

Media

Telecommunications

Consumer Products

Industrial Products

Research & Development

Education

Relevant Teams

Legal

Intellectual Property

Commercial

Business Development

Research & Development

Technology

Compliance

Operations

Innovation

Strategy

Product Development

Licensing

Relevant Roles

Legal Counsel

Intellectual Property Manager

Licensing Director

Commercial Director

Chief Technology Officer

Business Development Manager

Compliance Officer

Contract Manager

IP Rights Manager

Technology Transfer Officer

General Counsel

Chief Legal Officer

Licensing Executive

Patent Attorney

Innovation 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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