Document background
A Trade Mark License Agreement is essential when a trademark owner wishes to grant rights to use their registered trademark(s) to another party in Indonesia. This document is particularly relevant for businesses expanding their presence in the Indonesian market through licensing arrangements, whether for manufacturing, distribution, or service provision. The agreement must comply with Indonesian trademark law, particularly Law No. 20 of 2016 on Marks and Geographical Indications, and requires mandatory recordal with the Directorate General of Intellectual Property. It typically includes detailed provisions on quality control, territory restrictions, royalty payments, and usage guidelines, while addressing specific Indonesian regulatory requirements and business practices. This agreement type is commonly used in franchise arrangements, brand expansions, and manufacturing licenses in Indonesia.
