Pharmaceutical License Agreement for Philippines

Pharmaceutical License Agreement Template for Philippines

A comprehensive legal agreement governed by Philippine law that establishes the terms and conditions under which a pharmaceutical patent holder or company (Licensor) grants rights to another entity (Licensee) to develop, manufacture, distribute, and/or sell specific pharmaceutical products. The agreement must comply with Philippine FDA regulations, the Intellectual Property Code of the Philippines, and other relevant local healthcare laws. It includes detailed provisions for quality control, regulatory compliance, royalty payments, and intellectual property protection, while ensuring adherence to both international pharmaceutical standards and specific Filipino regulatory requirements.

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What is a Pharmaceutical License Agreement?

The Pharmaceutical License Agreement is a crucial document used when a pharmaceutical company or patent holder wishes to grant rights to another entity to utilize their pharmaceutical intellectual property within the Philippines. This agreement type is essential for pharmaceutical companies expanding their market presence in the Philippines while ensuring compliance with local regulations, particularly the Food, Drug and Cosmetic Act (as amended by the FDA Act of 2009) and the Intellectual Property Code of the Philippines. The document covers various aspects including regulatory compliance, quality standards, technology transfer, and commercial terms, while addressing specific requirements of the Philippine FDA and other relevant authorities. It's particularly important for foreign pharmaceutical companies entering the Philippine market through local partners, or for technology transfer arrangements in the pharmaceutical sector.

What sections should be included in a Pharmaceutical License Agreement?

1. Parties: Identification and details of the Licensor and Licensee, including their legal status and registered addresses

2. Background: Context of the agreement, including brief description of the pharmaceutical product(s) and the parties' business relationship

3. Definitions: Detailed definitions of technical terms, regulatory references, and key concepts used throughout the agreement

4. Grant of License: Scope and nature of the license granted, including territory, exclusivity, and any field-of-use restrictions

5. Regulatory Compliance: Obligations regarding FDA Philippines compliance, permits, and maintenance of regulatory approvals

6. Financial Terms: License fees, royalties, payment terms, audit rights, and financial reporting requirements

7. Quality Control: Manufacturing standards, quality assurance requirements, and compliance with GMP

8. Intellectual Property Rights: IP ownership, protection measures, and handling of improvements or modifications

9. Confidentiality: Protection of trade secrets and confidential information exchanged during the agreement

10. Term and Termination: Duration of the agreement, renewal provisions, and grounds for termination

11. Post-Termination Obligations: Rights and obligations that survive termination of the agreement

12. Governing Law and Dispute Resolution: Application of Philippine law and mechanisms for resolving disputes

13. General Provisions: Standard clauses including force majeure, entire agreement, and amendment procedures

What sections are optional to include in a Pharmaceutical License Agreement?

1. Sub-licensing Rights: Include when the Licensee is permitted to grant sub-licenses to third parties

2. Technology Transfer: Include when technical knowledge transfer is part of the licensing arrangement

3. Manufacturing Rights: Include when the license includes rights to manufacture the pharmaceutical products

4. Export Rights: Include when the Licensee is granted rights to export to specific territories

5. Clinical Trials: Include when ongoing or future clinical trials are part of the agreement

6. Marketing and Promotion: Include when specific marketing rights and obligations are granted

7. Supply Agreement Provisions: Include when the Licensor will supply raw materials or finished products

8. Development Collaboration: Include when parties will collaborate on product development or improvements

What schedules should be included in a Pharmaceutical License Agreement?

1. Schedule A - Licensed Products: Detailed specification of pharmaceutical products covered by the license

2. Schedule B - Territory: Detailed description of geographic territories where license applies

3. Schedule C - Patents and Trademarks: List of all relevant IP rights covered by the agreement

4. Schedule D - Quality Standards: Detailed quality control requirements and specifications

5. Schedule E - Royalty Calculations: Detailed methodology for calculating royalties and other payments

6. Schedule F - Technical Documentation: List of technical documents to be provided by Licensor

7. Appendix 1 - FDA Permits: Copies of relevant FDA permits and licenses

8. Appendix 2 - Manufacturing Standards: Detailed GMP and manufacturing requirements

9. Appendix 3 - Reporting Templates: Standard forms for required reports and notifications

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 | Serial Founder & Legal AI Author

Jurisdiction

Philippines

Publisher

Genie AI

Document Type

License Agreement

Sector

IP

Cost

Free to use
Relevant legal definitions
Clauses
Relevant Industries

Pharmaceuticals

Healthcare

Biotechnology

Medical Research

Chemical Manufacturing

Healthcare Distribution

Life Sciences

Clinical Research

Drug Manufacturing

Medical Technology

Relevant Teams

Legal

Regulatory Affairs

Business Development

Research and Development

Quality Assurance

Intellectual Property

Finance

Compliance

Manufacturing

Commercial Operations

Scientific Affairs

Contract Management

Relevant Roles

Chief Executive Officer

Legal Counsel

Regulatory Affairs Director

Business Development Manager

Intellectual Property Manager

Quality Assurance Manager

Commercial Director

Licensing Manager

Chief Scientific Officer

Research and Development Director

Compliance Officer

Manufacturing Director

Chief Financial Officer

Contract Manager

Patent Attorney

Industries
Republic Act No. 3720 (Food, Drug and Cosmetic Act), as amended by RA 9711 (FDA Act of 2009): Primary legislation governing pharmaceutical products in the Philippines, establishing the Food and Drug Administration (FDA) and setting requirements for drug registration, licensing, and regulation
Republic Act No. 8293 (Intellectual Property Code of the Philippines): Governs intellectual property rights, including pharmaceutical patents, trademarks, and trade secrets protection essential for pharmaceutical licensing
Republic Act No. 7394 (Consumer Act of the Philippines): Provides consumer protection regulations relevant to pharmaceutical products, including labeling requirements and safety standards
Administrative Order No. 2013-0021 (Licensing of Pharmaceutical Establishments): Details specific requirements for licensing pharmaceutical establishments and operations in the Philippines
Republic Act No. 10918 (Philippine Pharmacy Act): Regulates the practice of pharmacy and the operations of pharmaceutical establishments
Republic Act No. 10667 (Philippine Competition Act): Ensures fair competition and regulates anti-competitive practices in business agreements, including pharmaceutical licensing
Civil Code of the Philippines: Provides the general framework for contracts and obligations, including requirements for valid contracts and remedies for breach
FDA Circular No. 2014-008: Guidelines on the implementation of new drug registration requirements, affecting pharmaceutical licensing arrangements
Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

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