The Trade Secret License Agreement is essential in Malaysia's business landscape where companies increasingly need to share valuable proprietary information while maintaining legal protection. This document type is particularly relevant when a business wants to monetize its trade secrets without selling them outright, or when collaborative business relationships require the sharing of confidential processes, formulas, or methods. The agreement, structured under Malaysian law, includes detailed provisions for protecting the confidentiality of the licensed trade secrets, specific permitted uses, security measures, and enforcement mechanisms. It's commonly used in technology transfers, manufacturing partnerships, and other business arrangements where proprietary knowledge needs to be shared under controlled conditions.
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1. Parties: Identification of the trade secret owner (licensor) and the licensee, including full legal names and registration details
2. Background: Context of the agreement, brief description of the trade secret(s), and the business relationship between the parties
3. Definitions: Detailed definitions of key terms including 'Trade Secrets', 'Confidential Information', 'Licensed Use', and other relevant terminology
4. Grant of License: Scope and nature of the license granted, including permitted uses and territorial restrictions
5. Confidentiality Obligations: Detailed obligations regarding the protection and non-disclosure of trade secrets
6. Security Measures: Specific measures required to protect the trade secrets, including physical, technical, and administrative controls
7. Term and Termination: Duration of the agreement and circumstances under which it can be terminated
8. Post-Termination Obligations: Obligations that survive termination, including ongoing confidentiality requirements
9. Warranties and Representations: Warranties regarding ownership and right to license the trade secrets
10. Breach and Remedies: Consequences of breach and available remedies, including injunctive relief
11. Governing Law and Jurisdiction: Specification of Malaysian law as governing law and jurisdiction for disputes
1. Sublicensing Rights: Include when licensee may need to share trade secrets with third parties or subsidiaries
2. Improvements and Modifications: Include when licensee might develop improvements to the trade secrets
3. Audit Rights: Include when licensor requires right to audit licensee's compliance
4. Insurance Requirements: Include when specific insurance coverage is required for the licensed trade secrets
5. Export Control: Include when trade secrets might be subject to export control regulations
6. Employee Training: Include when specific training requirements are needed for licensee's employees
7. Alternative Dispute Resolution: Include when parties prefer mediation or arbitration over court proceedings
1. Schedule 1: Description of Trade Secrets: Detailed description of the licensed trade secrets and technical information
2. Schedule 2: Authorized Personnel: List of authorized personnel who may access the trade secrets
3. Schedule 3: Security Protocols: Detailed security measures and protocols for protecting trade secrets
4. Schedule 4: License Fees: Details of any applicable license fees and payment terms
5. Schedule 5: Reporting Requirements: Format and frequency of required reports on trade secret usage
6. Appendix A: Non-Disclosure Agreement: Template NDA for additional parties who may need access
7. Appendix B: Security Breach Protocol: Procedures to follow in case of security breach or unauthorized disclosure
Relevant legal definitions
Clauses
Relevant Industries
Technology
Manufacturing
Pharmaceuticals
Chemical Industry
Food and Beverage
Automotive
Electronics
Software Development
Biotechnology
Industrial Processing
Research and Development
Consumer Goods
Energy
Relevant Teams
Legal
Research and Development
Intellectual Property
Operations
Technology
Innovation
Compliance
Business Development
Manufacturing
Quality Control
Technical Operations
Commercial
Relevant Roles
Chief Executive Officer
Chief Technology Officer
Chief Legal Officer
Intellectual Property Counsel
Legal Director
Research and Development Director
Innovation Manager
Technology Transfer Officer
Business Development Manager
Compliance Officer
Operations Director
Manufacturing Manager
Quality Control Manager
Process Engineer
Technical Director
Commercial Director
Licensing Manager
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