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Patent knowhow licence
I need a patent knowhow licence agreement that grants a New Zealand-based company the rights to use specific patented technology and associated knowhow for a period of 5 years, with provisions for confidentiality, sublicensing, and royalty payments based on net sales. The agreement should include clauses for termination, dispute resolution, and compliance with local intellectual property laws.
What is a Patent knowhow licence?
A Patent knowhow licence combines two key elements: permission to use a patented invention and access to the practical knowledge needed to make it work effectively. It's particularly valuable in New Zealand's manufacturing and technology sectors, where technical expertise often matters as much as the patent rights themselves.
These licenses help Kiwi businesses share both formal intellectual property and the unpatented technical secrets, operational methods, and industry experience that make the technology truly useful. Unlike standard patent licenses, they include detailed guidance on implementation, training requirements, and specific technical processes - making them essential tools for successful technology transfer under NZ's Patents Act 2013.
When should you use a Patent knowhow licence?
Use a Patent knowhow licence when transferring complex technical innovations that require specialized expertise to implement successfully. This is especially important for NZ businesses licensing advanced manufacturing processes, software systems, or industrial technologies where the patent alone isn't enough to make the innovation work properly.
The licence becomes essential when your technology needs hands-on training, detailed technical documentation, or ongoing support to operate effectively. For example, biotech companies often need these licenses when sharing proprietary manufacturing methods, or engineering firms licensing sophisticated industrial processes where practical know-how makes the difference between success and failure.
What are the different types of Patent knowhow licence?
- Exclusive Patent knowhow licences give the licensee sole rights to use both the patent and associated knowledge in a specific territory or field
- Non-exclusive licences allow multiple companies to use the same patent and knowhow, common in manufacturing and software sectors
- Limited-field licences restrict use to specific industries or applications while protecting the technology in other markets
- Time-limited variations set specific periods for knowledge transfer and support, ideal for technology deployment projects
- Hybrid licences combine patent knowhow with other IP rights like trademarks or design rights for comprehensive technology transfer
Who should typically use a Patent knowhow licence?
- Technology Companies: Create and license innovative patented technologies along with their implementation expertise to other businesses
- Patent Attorneys: Draft and review Patent knowhow licences, ensuring protection of both patent rights and confidential technical information
- R&D Teams: Provide detailed technical specifications and training requirements for the knowhow component
- Legal Departments: Oversee compliance with NZ patent laws and maintain confidentiality provisions
- Technical Experts: Deliver training and support specified in the licence agreement
- Manufacturing Partners: Implement licensed technologies using provided knowhow and technical guidance
How do you write a Patent knowhow licence?
- Patent Details: Gather complete patent information, including registration numbers and technical specifications
- Knowhow Scope: Document all technical processes, trade secrets, and operational methods being shared
- Territory Rights: Define geographical areas where the licence applies under NZ law
- Training Requirements: Outline specific knowledge transfer methods, timelines, and support provisions
- Commercial Terms: Determine royalty structures, payment schedules, and performance metrics
- Confidentiality Measures: Specify protection methods for sensitive technical information
- Quality Controls: Establish standards and monitoring processes for technology implementation
What should be included in a Patent knowhow licence?
- Patent Identification: Full details of the licensed patent, including registration numbers and technical scope
- Knowhow Definition: Clear description of technical information, trade secrets, and operational methods covered
- Grant Clause: Specific rights being licensed and any territorial or field-of-use limitations
- Confidentiality Terms: Protection measures for sensitive technical information and trade secrets
- Payment Structure: Royalty rates, payment schedules, and reporting requirements
- Training Provisions: Detailed requirements for knowledge transfer and ongoing support
- Quality Control: Standards and monitoring processes for technology implementation
- Term and Termination: Duration, renewal options, and grounds for early termination
What's the difference between a Patent knowhow licence and a Patent assignment agreement?
A Patent knowhow licence differs significantly from a Patent assignment agreement in both scope and purpose. While both deal with patent rights, they serve fundamentally different business needs in New Zealand's IP landscape.
- Ownership Transfer: A Patent assignment agreement permanently transfers ownership of the patent, while a Patent knowhow licence only grants usage rights while retaining ownership
- Knowledge Sharing: Patent knowhow licences include detailed technical information and implementation support, which assignment agreements typically don't cover
- Duration: Licences are typically time-limited with renewal options, while assignments are permanent transfers
- Commercial Structure: Licences often involve ongoing royalties and support obligations, whereas assignments usually involve a one-time payment
- Risk Allocation: Knowhow licences include specific provisions for maintaining trade secrets and technical support, which aren't needed in straightforward assignments
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