Commercial Copyright License Template for Indonesia

A Commercial Copyright License agreement governed by Indonesian law, specifically Law No. 28 of 2014 on Copyright, that establishes the terms and conditions under which copyrighted material can be commercially used, reproduced, or distributed. The agreement provides a comprehensive framework for protecting intellectual property rights while enabling commercial exploitation, incorporating specific provisions required under Indonesian law including moral rights protection and local content requirements. It addresses both digital and traditional copyright matters, ensuring compliance with Indonesia's evolving intellectual property landscape and international copyright standards.

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What is a Commercial Copyright License?

A Commercial Copyright License is essential for businesses seeking to legally utilize copyrighted materials in Indonesia's rapidly growing digital and creative economy. This document is used when a copyright owner wishes to grant another party the right to commercially exploit their intellectual property while retaining ownership. It must comply with Indonesian Law No. 28 of 2014 on Copyright, which provides strong protection for both economic and moral rights. The agreement is particularly relevant given Indonesia's increasing focus on digital transformation and creative industry development, requiring careful consideration of both local and international copyright standards. The document includes comprehensive terms covering usage rights, territorial restrictions, payment structures, and quality control measures, while incorporating specific Indonesian legal requirements such as mandatory registration of certain licenses and moral rights provisions.

What sections should be included in a Commercial Copyright License?

1. Parties: Identifies and provides full details of the licensor and licensee

2. Background: Establishes the context, including ownership of the copyright and purpose of the license

3. Definitions: Defines key terms used throughout the agreement

4. Grant of License: Specifies the exact rights being licensed, including scope, territory, and exclusivity

5. License Fee and Payment Terms: Details the commercial terms, payment schedule, and any royalty calculations

6. Duration and Term: Specifies the commencement date and duration of the license

7. Licensee Obligations: Sets out the licensee's responsibilities in using the copyrighted material

8. Quality Control: Establishes standards for the use of the copyrighted material

9. Intellectual Property Protection: Addresses protection of the copyrighted material and handling of infringement

10. Warranties and Representations: States the parties' warranties, particularly regarding ownership and right to license

11. Termination: Specifies grounds and procedures for termination

12. Post-Termination Obligations: Details obligations after the agreement ends

13. Governing Law and Dispute Resolution: Specifies Indonesian law as governing law and outlines dispute resolution procedures

14. General Provisions: Includes standard boilerplate clauses like notices, assignment, and entire agreement

What sections are optional to include in a Commercial Copyright License?

1. Sub-licensing Rights: Include when the licensee is permitted to sub-license the copyrighted material

2. Moral Rights: Include for creative works where attribution and integrity rights need specific attention

3. Digital Rights Management: Include for digital content requiring technical protection measures

4. Localization Rights: Include when the licensed material may be translated or adapted for local markets

5. Audit Rights: Include when the license involves royalty payments based on licensee's usage or sales

6. Marketing and Promotion: Include when specific marketing requirements or restrictions apply

7. Source Code Escrow: Include for software copyright licenses where source code access may be needed

8. Data Protection: Include when personal data processing is involved in the licensed content

What schedules should be included in a Commercial Copyright License?

1. Schedule 1 - Licensed Works: Detailed description and specification of the copyrighted works being licensed

2. Schedule 2 - Territory: Detailed list of geographic territories where the license applies

3. Schedule 3 - Fee Schedule: Detailed breakdown of license fees, royalty rates, and payment terms

4. Schedule 4 - Technical Specifications: Technical requirements for using or reproducing the copyrighted work

5. Schedule 5 - Quality Control Guidelines: Specific quality standards and approval procedures

6. Appendix A - Approved Use Examples: Examples of permitted uses of the copyrighted material

7. Appendix B - Reporting Templates: Templates for usage reports and royalty calculations

Authors

Alex Denne

Head of Growth (Open Source Law) @ Genie AI | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents

Jurisdiction

Indonesia

Publisher

Genie AI

Document Type

License Agreement

Sector

IP

Cost

Free to use

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