Document background
The License Option Agreement is a crucial document used when parties need a formal arrangement to explore a potential licensing relationship while maintaining legal certainty and protecting both parties' interests. It is particularly valuable in situations where due diligence is required before committing to a full license agreement, or when the licensed technology is still under development. Under Belgian law, this agreement must address specific requirements of the Belgian Civil Code and the Code of Economic Law, especially regarding intellectual property rights and contract formation. The document typically includes detailed provisions about the option period, exercise conditions, fees, and the fundamental terms of the potential license agreement. It serves as a bridge between initial interest and a full licensing commitment, providing structure and protection for both the IP owner and the potential licensee while ensuring compliance with Belgian and EU regulatory requirements.
