Document background
The License Option Agreement is a strategic document used when parties wish to establish a framework for a potential future licensing relationship while allowing the potential licensee to evaluate the intellectual property or technology. This agreement type is particularly valuable in situations where due diligence is required, or where the technology is still under development. Under Dutch law, this document provides a legally secure way to reserve rights while performing evaluation or development work. The agreement typically includes option exercise conditions, fees, timelines, and outlines the key terms of the eventual license agreement. It's commonly used in technology transfer, research commercialization, and industrial partnerships where parties need time to assess the commercial viability of intellectual property before committing to a full license.
