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What is a License Agreement?

A License Agreement sets legal terms for using someone else's property - like software, technology, or intellectual property. It spells out what the user can and cannot do with the licensed asset, much like a rental contract for intangible items. Under Belgian law, these agreements must follow strict consumer protection rules and align with EU intellectual property regulations.

These contracts typically cover payment terms, usage limits, and confidentiality requirements. Belgian businesses often use them to protect their innovations while generating revenue through controlled sharing. The agreement becomes legally binding once both parties sign it, and Belgian courts will enforce its terms as long as they comply with local contract law and fair trade practices.

When should you use a License Agreement?

Use a License Agreement any time you plan to let others use your intellectual property or when you need permission to use someone else's assets. This includes software distribution, technology transfers, brand licensing, or sharing proprietary methods. Belgian companies particularly need these agreements when working with EU partners or expanding into international markets.

The agreement becomes essential before sharing valuable IP, starting a franchise operation, or launching co-branded products. It protects both parties by clearly defining usage rights, payment terms, and liability limits. For Belgian businesses, having this document in place helps comply with local commercial laws and EU regulations while preventing costly disputes.

What are the different types of License Agreement?

Who should typically use a License Agreement?

  • Software Companies: Create License Agreements to protect their intellectual property while allowing customers to use their products under specific terms
  • Content Creators: Use these agreements to monetize and control the distribution of their creative works across Belgian and EU markets
  • Legal Counsel: Draft and review agreements to ensure compliance with Belgian intellectual property laws and EU regulations
  • Business Owners: Sign agreements to acquire rights to use necessary software, content, or technology for their operations
  • Franchisors: Establish licensing terms for brand usage, operational procedures, and quality standards with Belgian franchisees

How do you write a License Agreement?

  • Asset Details: Document exactly what's being licensed - software, content, brand elements, or technology specifications
  • Usage Scope: Define permitted uses, territorial limits, and duration of the license under Belgian law
  • Party Information: Gather complete legal details of both licensor and licensee, including registration numbers
  • Payment Terms: Specify fees, royalty rates, payment schedules, and accepted payment methods
  • Compliance Points: List relevant EU and Belgian regulations affecting the licensed asset
  • Quality Controls: Outline monitoring procedures and performance standards
  • Template Selection: Use our platform to generate a legally-sound agreement that includes all required elements

What should be included in a License Agreement?

  • Party Identification: Full legal names, addresses, and registration numbers of licensor and licensee
  • License Scope: Clear description of licensed material and permitted usage rights under Belgian law
  • Term and Territory: Duration of agreement and geographical limitations within EU framework
  • Payment Terms: Detailed fee structure, payment schedule, and currency specifications
  • Quality Control: Standards for using licensed material and monitoring procedures
  • Termination Rights: Conditions for ending the agreement and post-termination obligations
  • Data Protection: GDPR compliance measures and data handling procedures
  • Dispute Resolution: Belgian court jurisdiction and applicable conflict resolution methods

What's the difference between a License Agreement and an Assignment Agreement?

A License Agreement differs significantly from an Assignment Agreement in several key aspects. While both deal with intellectual property rights, they serve fundamentally different purposes under Belgian law.

  • Ownership Transfer: License Agreements maintain the original owner's rights while granting usage permissions; Assignment Agreements permanently transfer ownership rights
  • Duration: Licenses typically have specific time limits and renewal options; Assignments are permanent and irreversible
  • Control Rights: Licensors retain control over how their IP is used; Assignors surrender all future control rights
  • Payment Structure: Licenses often involve ongoing royalties or periodic fees; Assignments usually require one-time payment
  • Legal Obligations: License Agreements require ongoing relationship management and compliance monitoring; Assignments conclude once the transfer is complete

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