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Why we picked it A clean, plain-language breakdown of the ten terms that make up any license deal, so you can read the scope, exclusivity, territory, royalties, and termination levers before a lawyer bills you to explain them. It treats the grant clause as the whole game: what IP, what geography, what exclusivity, whether sublicensing is allowed, which is exactly where founders accidentally give away too much.
10 Key Intellectual Property (IP) Licensing Agreement Terms
From McInnes Cooper by Michael J. Melvin and Patrick Kerr 12 min read
- The grant clause defines everything: IP, territory, field of use, exclusivity, and sublicensing rights, so narrow each one deliberately.
- Royalty terms should include your audit rights and who bears taxes, not just the headline percentage.
- Non-challenge and change-of-control clauses decide what happens if your licensee gets acquired, so read them before signing.