Trademark licensing allows you to permit third parties (licensees) to use your trademark commercially while you retain ownership. This is a powerful way to generate royalty income from your brand without selling it. All licences must be properly documented and recorded at the Trade Marks Registry to be legally effective.
Types of Trademark Licences
- Exclusive Licence — Only the licensee can use the mark in the specified territory/class
- Non-exclusive Licence — You can grant the same rights to multiple licensees
- Sole Licence — Only the licensee and the owner can use the mark
- Registered User Agreement — Statutory recording at IP India (Form TM-U)
What Our Licensing Agreement Covers
- Scope of use — goods/services, territory, duration
- Quality control provisions (critical for brand protection)
- Royalty structure and payment terms
- Sub-licensing rights and restrictions
- Termination clauses and post-termination obligations
- Indemnity and dispute resolution