Copyright or patent licence agreement

This agreement licenses a patent or work under copyright to someone who will exploit it through sub-licences in return for a cash payment or a royalty, or both.
Suitable for use in: England & Wales and Scotland
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About this document

This agreement allows the creator of a work of intellectual property to license use of it to another person who in turn will sub-license use of it to third parties. It can be be used with any patent or other work under copyright.

It is likely that you are the creator of the work, for example, an inventor of a device. The device is not an end product, but rather something that is required to be used with other parts, or incorporated into another product.

Using this agreement, you "sell" the right to use the device to someone or a business that in turn "sells" the right on to manufacturers. You might be paid a fixed fee, or a royalty or both.

You can also choose to limit the geographical areas in which your intellectual property can be used, as well as the time period.

As examples, your IP might be a design for a device, such as an electronic switching mechanism, or software code.

You can use this agreement for a one-off deal or for multiple agreements, each for a different territory.

The document is written to protect primarily the creator of the intellectual property. However, we do not invite problems for you by ignoring the likely requirements of your counter-party. There are many provisions in this document that will satisfy the concerns of a fair minded licensee.

Similar agreements

If you want to license the work to a person or a business that will exploit it themselves, then you should use this licensing agreement for an invention, or this one for copyright in a created work.


The main subjects covered in the contract are:

  • Definitions, interpretation and legal matters
  • Selected warranties and understandings by both sides
  • The licence deal
  • Terms of sub-licences
  • Further protection of rights of creator
  • Infringement of copyright
  • Confidentiality
  • Other matters relating to enforcement and other legal issues

This document was written by a solicitor for Net Lawman. It complies with current English law.

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