The Patent License Agreement is a crucial document used when a patent owner wishes to authorize another party to use, manufacture, sell, or otherwise exploit their patented invention in Indonesia. This agreement type is governed by Indonesian Patent Law (Law No. 13 of 2016) and must be registered with the Directorate General of Intellectual Property (DGIP). The document typically includes detailed provisions about the scope of the license, territorial restrictions, financial terms, quality control measures, and compliance with local regulations. It's particularly important for technology transfer transactions and cross-border intellectual property arrangements, requiring careful consideration of Indonesian competition law and foreign investment regulations. The Patent License should address both technical and commercial aspects of the licensing relationship while ensuring compliance with mandatory provisions of Indonesian law regarding patent licensing.
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1. Parties: Identification of the Licensor and Licensee, including full legal names, registration details, and addresses
2. Background: Context of the agreement, including brief description of the patent(s) and the parties' intentions
3. Definitions: Definitions of key terms used throughout the agreement, including technical terms and specified terms
4. Grant of License: Scope of the license granted, including whether exclusive or non-exclusive, territory, and field of use
5. Patent Rights: Detailed description of the licensed patent rights, including patent numbers and jurisdictions
6. License Fee and Royalties: Financial terms including upfront payments, ongoing royalties, calculation methods, and payment terms
7. Records and Audit Rights: Licensee's obligations to maintain records and Licensor's audit rights
8. Quality Control: Standards and specifications for products manufactured under the license
9. Improvements: Rights and obligations regarding improvements to the patented technology
10. Representations and Warranties: Basic warranties regarding patent ownership, right to license, and non-infringement
11. Protection of Patent Rights: Obligations regarding patent maintenance, infringement actions, and cooperation
12. Confidentiality: Protection of confidential information exchanged under the agreement
13. Term and Termination: Duration of the agreement and circumstances for termination
14. Post-Termination Obligations: Obligations that survive termination of the agreement
15. General Provisions: Standard clauses including notices, assignment, governing law, and dispute resolution
1. Manufacturing Rights: Include when the license includes rights to manufacture products using the patent
2. Sublicensing Rights: Include when the Licensee is permitted to sublicense the patent rights
3. Technology Transfer: Include when technical assistance or know-how transfer is part of the agreement
4. Export Controls: Include for cross-border licenses involving controlled technology
5. Minimum Performance Requirements: Include when the license requires minimum sales or usage levels
6. Government Approvals: Include when specific regulatory approvals are required
7. Patent Marking: Include when specific patent marking requirements apply
8. Competition Law Compliance: Include specific provisions to ensure compliance with Indonesian competition law
9. Force Majeure: Include when parties want specific provisions for unforeseen circumstances
1. Schedule 1 - Licensed Patents: Detailed list of all licensed patents including registration numbers, jurisdictions, and status
2. Schedule 2 - Technical Specifications: Technical details and specifications for licensed products or processes
3. Schedule 3 - Royalty Calculations: Detailed methodology for calculating royalties, including examples
4. Schedule 4 - Quality Control Standards: Specific quality standards and testing procedures
5. Schedule 5 - Approved Sublicensees: List of pre-approved sublicensees (if applicable)
6. Appendix A - Form of Royalty Report: Template for regular royalty reporting
7. Appendix B - Technology Transfer Plan: Detailed plan for any required technology transfer
8. Appendix C - Patent Marking Requirements: Specific requirements for marking products with patent information
Relevant legal definitions
Clauses
Relevant Industries
Technology
Pharmaceuticals
Manufacturing
Biotechnology
Electronics
Telecommunications
Automotive
Chemical Industry
Medical Devices
Agriculture
Energy
Consumer Goods
Relevant Teams
Legal
Intellectual Property
Research and Development
Technology Transfer
Business Development
Compliance
Technical Operations
Innovation
Corporate Strategy
Commercial Operations
Relevant Roles
Chief Technology Officer
Intellectual Property Manager
Patent Attorney
Legal Counsel
R&D Director
Licensing Manager
Business Development Manager
Technology Transfer Officer
Innovation Director
Commercial Director
Patent Administrator
Compliance Officer
Technical Director
Chief Legal Officer
Chief Innovation Officer
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