Document background
The Royalty Bearing License agreement is essential for businesses and individuals seeking to monetize their intellectual property rights while maintaining control over their usage in the Philippine market. This document type is particularly relevant when the IP owner (licensor) grants rights to another party (licensee) in exchange for ongoing royalty payments, typically calculated as a percentage of revenue or units sold. The agreement must comply with Philippine intellectual property laws, particularly the Intellectual Property Code (Republic Act No. 8293) and related regulations. It's commonly used in technology transfers, brand licensing, patent licensing, and similar arrangements where continuous commercial exploitation of IP rights is intended. The document includes crucial elements such as payment terms, quality control measures, reporting requirements, and compliance with local tax regulations on royalty payments.
