Grant of license clause: Copy, customize, and use instantly
Introduction
A grant of license clause defines the scope, rights, and limitations related to the use of intellectual property. This clause is essential to clarify the specific permissions given by the owner of intellectual property (IP) to another party, allowing them to use, distribute, or modify the IP under certain conditions. It helps prevent any misunderstandings about the extent of the rights and ensures both parties understand their legal obligations regarding the IP.
Below are templates for grant of license clauses tailored to different scenarios. Copy, customize, and insert them into your agreement.
Standard grant of license clause
This version provides a general grant of license for use of intellectual property.
The Licensor hereby grants to the Licensee a non-exclusive, non-transferable, and revocable license to use [describe the intellectual property] solely for the purpose of [describe purpose] and in accordance with the terms and conditions set forth in this Agreement.
Exclusive grant of license clause
This version provides an exclusive license to the Licensee, prohibiting the Licensor from granting the same rights to others.
The Licensor hereby grants to the Licensee an exclusive, non-transferable, and revocable license to use [describe the intellectual property], solely for the purpose of [describe purpose]. The Licensor shall not grant similar rights to any other party during the term of this Agreement.
Grant of license with territorial limitations
This version specifies geographic limitations for the license.
The Licensor hereby grants to the Licensee a non-exclusive, non-transferable, and revocable license to use [describe the intellectual property] in the territory of [describe the territory] solely for [describe purpose]. The Licensee shall not use the intellectual property outside the specified territory.
Grant of license with sublicensing rights
This version includes sublicensing rights for the Licensee.
The Licensor hereby grants to the Licensee a non-exclusive, non-transferable, and revocable license to use [describe the intellectual property], including the right to sublicense to third parties, subject to the terms and conditions set forth in this Agreement.
Grant of license with duration
This version specifies the duration of the license.
The Licensor hereby grants to the Licensee a non-exclusive, non-transferable, and revocable license to use [describe the intellectual property] for a period of [specify duration], unless earlier terminated in accordance with the provisions of this Agreement.
Grant of license with scope of use
This version defines the specific scope of use for the license.
The Licensor hereby grants to the Licensee a non-exclusive, non-transferable, and revocable license to use [describe the intellectual property] solely for the purpose of [describe specific use]. The Licensee shall not use the intellectual property for any other purpose without the prior written consent of the Licensor.
Grant of license with modification rights
This version includes the rights to modify or create derivative works.
The Licensor hereby grants to the Licensee a non-exclusive, non-transferable, and revocable license to use, modify, and create derivative works based on [describe the intellectual property], solely for the purpose of [describe purpose] and subject to the terms and conditions of this Agreement.
Grant of license with quality control provisions
This version includes quality control provisions to maintain the integrity of the intellectual property.
The Licensor hereby grants to the Licensee a non-exclusive, non-transferable, and revocable license to use [describe the intellectual property], with the right to sublicense to third parties, provided that the Licensee maintains the quality standards set by the Licensor and subject to the Licensor’s ongoing review and approval.
Grant of license with no transferability
This version restricts the transferability of the license.
The Licensor hereby grants to the Licensee a non-exclusive, non-transferable, and revocable license to use [describe the intellectual property] solely for [describe purpose]. The Licensee shall not assign, transfer, or sublicense the license to any third party without the prior written consent of the Licensor.
Grant of license with reservation of rights
This version reserves certain rights for the Licensor while granting the license.
The Licensor hereby grants to the Licensee a non-exclusive, non-transferable, and revocable license to use [describe the intellectual property] solely for [describe purpose]. The Licensor reserves all rights not expressly granted to the Licensee under this Agreement, including but not limited to the right to exploit the intellectual property in other markets and applications.
Grant of license clause with specific field of use
This version limits the use of the license to a specific field.
The Licensor hereby grants to the Licensee a non-exclusive, non-transferable, and revocable license to use [describe intellectual property] solely within the field of [describe field], and not for any other purpose.
Grant of license with exclusive distribution rights
This version grants exclusive distribution rights to the Licensee.
The Licensor hereby grants to the Licensee an exclusive, non-transferable license to distribute [describe intellectual property] within [territory], subject to the terms and conditions of this Agreement.
Grant of license with right of first refusal
This version provides a right of first refusal for the Licensee.
The Licensor hereby grants to the Licensee a non-exclusive license to use [describe intellectual property] with a right of first refusal for any additional licenses in the future, subject to the terms set forth in this Agreement.
Grant of license with royalty payments
This version specifies that the license is subject to royalty payments.
The Licensor grants to the Licensee a non-exclusive, non-transferable, and revocable license to use [describe intellectual property] in exchange for royalty payments of [percentage] of gross revenues, payable quarterly.
Grant of license with modifications and improvements
This version includes rights for modifications and improvements.
The Licensor grants to the Licensee a non-exclusive, non-transferable license to use and modify [describe intellectual property], including the right to improve or develop derivative works based on the original intellectual property.
Grant of license with no right to sublicense
This version restricts sublicensing rights.
The Licensor hereby grants to the Licensee a non-exclusive, non-transferable, and revocable license to use [describe intellectual property], with no right to sublicense to any third party without the prior written consent of the Licensor.
Grant of license with right to modify source code
This version includes the right to modify source code.
The Licensor hereby grants to the Licensee a non-exclusive, non-transferable license to use, modify, and distribute the source code of [describe intellectual property], subject to the terms and conditions of this Agreement.
Grant of license with no exclusivity for digital content
This version specifies that the license is non-exclusive for digital content.
The Licensor grants to the Licensee a non-exclusive, non-transferable license to use and distribute [describe digital content], provided that the Licensee does not assert exclusivity or restrict access to other potential licensees.
Grant of license with sublicensing restrictions
This version includes restrictions on sublicensing.
The Licensor grants the Licensee a non-exclusive license to use [describe intellectual property], but the Licensee may not sublicense, distribute, or assign its rights to any third party without the Licensor’s express written consent.
Grant of license with territorial exclusivity
This version grants territorial exclusivity.
The Licensor grants to the Licensee an exclusive, non-transferable license to use [describe intellectual property] within the territory of [specify geographic region], with the understanding that no other licensee shall be granted similar rights within that territory during the term of this Agreement.
Grant of license with non-compete clause
This version includes a non-compete provision with the license.
The Licensor grants to the Licensee a non-exclusive, non-transferable license to use [describe intellectual property], provided that the Licensee agrees not to use the intellectual property for any competing products within the same market for the term of this Agreement.
Grant of license with limited term
This version specifies the duration of the license.
The Licensor grants to the Licensee a non-exclusive, non-transferable license to use [describe intellectual property] for a term of [specified period], subject to the terms of this Agreement and automatic renewal unless terminated in writing by either party.
Grant of license with limited modifications
This version restricts the ability to modify the intellectual property.
The Licensor grants to the Licensee a non-exclusive license to use [describe intellectual property], with the right to make only those modifications necessary for the Licensee’s specific use case, subject to Licensor’s prior approval.
Grant of license with ongoing payments
This version includes ongoing payment obligations for the Licensee.
The Licensor grants to the Licensee a non-exclusive license to use [describe intellectual property] in exchange for ongoing payments of [specified amount], due annually, based on usage.
Grant of license with right to audit use
This version includes the right to audit the Licensee's use of the intellectual property.
The Licensor grants to the Licensee a non-exclusive license to use [describe intellectual property] and reserves the right to audit the Licensee’s use of the intellectual property to ensure compliance with the terms of this Agreement.
Grant of license with sublicensing for limited purposes
This version allows sublicensing for limited purposes.
The Licensor grants to the Licensee a non-exclusive license to use [describe intellectual property], with the right to sublicense to third parties only for the purpose of [specific purpose], subject to the terms of this Agreement.
Grant of license with modification rights but no exclusivity
This version allows modification rights but does not grant exclusivity.
The Licensor grants to the Licensee a non-exclusive, non-transferable license to modify [describe intellectual property], with the right to create derivative works, but the Licensor retains the right to license the same intellectual property to others.
Grant of license with resale rights
This version allows the Licensee to resell the intellectual property.
The Licensor grants to the Licensee a non-exclusive, non-transferable license to use and resell [describe intellectual property], provided that the Licensee complies with the resale terms set forth in this Agreement.
Grant of license with limitation on distribution
This version restricts the distribution rights of the Licensee.
The Licensor grants to the Licensee a non-exclusive license to use [describe intellectual property], with the right to distribute the intellectual property only within [specified region or market], and subject to the terms of this Agreement.
Grant of license with termination clause
This version includes termination provisions for the license.
The Licensor grants to the Licensee a non-exclusive, non-transferable license to use [describe intellectual property], with the understanding that this license may be terminated by the Licensor upon [specified events], subject to the terms of this Agreement.
Grant of license with no sublicensing rights
This version does not allow sublicensing.
The Licensor grants to the Licensee a non-exclusive, non-transferable license to use [describe intellectual property], with no rights to sublicense, assign, or transfer the license to any third party without the prior written consent of the Licensor.
Grant of license for research purposes only
This version limits the use of the license to research.
The Licensor grants to the Licensee a non-exclusive license to use [describe intellectual property] solely for research and development purposes, and not for commercial exploitation or resale.
Grant of license with quality control
This version includes quality control terms.
The Licensor grants to the Licensee a non-exclusive license to use [describe intellectual property], subject to the Licensor’s right to impose quality control standards to ensure the intellectual property is used in a manner consistent with the Licensor’s brand.
Grant of license with no modifications allowed
This version restricts modifications.
The Licensor grants to the Licensee a non-exclusive, non-transferable license to use [describe intellectual property], with no right to modify, reverse engineer, or create derivative works based on the intellectual property.
Grant of license with geographic exclusivity for a limited term
This version grants exclusive rights in a geographic area for a limited term.
The Licensor grants to the Licensee an exclusive license to use [describe intellectual property] within [specified geographic territory] for a term of [specified duration], subject to the conditions in this Agreement.
Grant of license for educational use only
This version limits the use of the intellectual property to educational purposes.
The Licensor grants to the Licensee a non-exclusive license to use [describe intellectual property] solely for educational purposes and not for any commercial or business activity.
Grant of license for non-profit use only
This version restricts the use of the intellectual property to non-profit use.
The Licensor grants to the Licensee a non-exclusive, non-transferable license to use [describe intellectual property] solely for non-profit purposes and subject to the restrictions outlined in this Agreement.
Grant of license with performance-based terms
This version includes performance-based terms for the license.
The Licensor grants to the Licensee a non-exclusive license to use [describe intellectual property] based on the Licensee meeting certain performance metrics, as specified in [section name], and subject to ongoing review.
Grant of license with review and approval rights
This version provides the Licensor with review and approval rights.
The Licensor grants to the Licensee a non-exclusive license to use [describe intellectual property], subject to the Licensor’s right to review and approve the Licensee’s use of the intellectual property on a regular basis.
Grant of license with additional rights upon renewal
This version includes additional rights if the license is renewed.
Upon renewal of this Agreement, the Licensee may gain additional rights to [expand use of intellectual property], as mutually agreed upon by the Licensor and Licensee at the time of renewal.
This article contains general legal information and does not contain legal advice. Cobrief is not a law firm or a substitute for an attorney or law firm. The law is complex and changes often. For legal advice, please ask a lawyer.