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Patent knowhow licence Template for Singapore

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Key Requirements PROMPT example:

Patent knowhow licence

I need a patent knowhow licence agreement that grants a non-exclusive licence to use specific patented technology and associated knowhow for manufacturing purposes in Singapore, with a term of 5 years, including provisions for confidentiality, sublicensing, and royalty payments based on net sales.

What is a Patent knowhow licence?

A Patent knowhow licence combines two valuable elements: the right to use a patented invention and access to the practical expertise needed to implement it effectively. This dual-purpose agreement lets businesses in Singapore not just legally use patented technology, but also gain the technical knowledge, trade secrets, and hands-on experience required to make it work.

Under Singapore's Patents Act, these licenses help local companies maximize the value of licensed innovations. They're particularly useful in manufacturing, technology, and pharmaceutical sectors, where technical implementation details often matter as much as the patent rights themselves. The knowhow portion typically includes training, documentation, and ongoing technical support.

When should you use a Patent knowhow licence?

Consider a Patent knowhow licence when acquiring rights to use patented technology isn't enough on its own—you need the practical expertise to implement it successfully. This is especially relevant for Singapore companies in complex technical fields like biotech, semiconductors, or specialized manufacturing, where patents alone don't reveal all the crucial implementation details.

The agreement becomes essential when entering technology transfer deals where your team needs training, technical documentation, or hands-on guidance to properly utilize the innovation. It's particularly valuable when dealing with sophisticated manufacturing processes, quality control procedures, or when local regulatory compliance depends on precise technical implementation.

What are the different types of Patent knowhow licence?

  • Exclusive Patent knowhow licences grant full rights and technical knowledge to a single licensee, often including territory-wide protection across Singapore
  • Non-exclusive licences allow multiple companies to use the same patent and knowhow, common in standardized technologies
  • Limited-field licences restrict use to specific industries or applications while providing targeted technical support
  • Hybrid licences combine patent rights with partial knowhow transfer, useful when protecting some trade secrets
  • Cross-border licences adapt to both Singapore and international technical standards, with region-specific implementation guidance

Who should typically use a Patent knowhow licence?

  • Technology Companies: Patent owners who license both their innovations and technical expertise to others, often partnering with Singapore-based manufacturers
  • Manufacturing Firms: Licensees seeking both patent rights and practical implementation knowledge to produce patented products
  • IP Lawyers: Draft and negotiate Patent knowhow licence terms, ensuring comprehensive coverage of both patent and technical knowledge transfer
  • Technical Experts: Provide the practical knowhow component through training, documentation, and ongoing support
  • IPOS Officers: May review these agreements when recording them in Singapore's patent registry

How do you write a Patent knowhow licence?

  • Patent Details: Gather complete patent specifications, registration numbers, and current ownership documentation
  • Technical Scope: Define exactly what knowhow will be transferred, including training methods, documentation, and support levels
  • Usage Rights: Specify territorial limits, permitted applications, and any industry restrictions for Singapore
  • Payment Structure: Determine upfront fees, ongoing royalties, and separate charges for technical support
  • Implementation Plan: Outline training schedules, milestones, and quality control measures
  • Confidentiality Terms: List which technical details must remain protected as trade secrets

What should be included in a Patent knowhow licence?

  • Patent Identification: Full details of the patent, including registration numbers and ownership verification
  • Knowhow Definition: Clear description of technical knowledge, trade secrets, and implementation methods being transferred
  • Licence Scope: Territorial limits, permitted uses, and any restrictions under Singapore's Patents Act
  • Technical Support: Training obligations, documentation requirements, and ongoing assistance terms
  • Confidentiality Terms: Protection measures for sensitive technical information and trade secrets
  • Payment Structure: Detailed royalty calculations, technical support fees, and payment schedules
  • Quality Control: Standards, inspection rights, and implementation milestones

What's the difference between a Patent knowhow licence and a Patent?

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 Singapore's intellectual property landscape.

  • Ownership Transfer: A Patent assignment agreement permanently transfers ownership of the patent, while a Patent knowhow licence only grants usage rights while maintaining original ownership
  • Technical Support: Patent knowhow licences include detailed provisions for training, documentation, and ongoing technical support - elements typically absent in assignment agreements
  • Duration: Licences are typically time-limited with renewal options, whereas assignments are permanent, one-time transfers
  • Payment Structure: Knowhow licences often involve ongoing royalties and support fees, while assignments usually require a single lump-sum payment
  • Confidentiality Scope: Knowhow licences contain extensive trade secret protections and usage restrictions that aren't necessary in straightforward assignments

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