A Trade Mark Licence Agreement is essential when a trademark owner wishes to permit another party to use their registered trademark(s) in the Philippines while maintaining control over their intellectual property. This agreement type is commonly used in various commercial arrangements including franchising, manufacturing partnerships, and brand expansions. The document must comply with Philippine intellectual property laws, particularly the Intellectual Property Code (RA 8293), and typically includes detailed provisions on quality control, royalty structures, territorial limitations, and usage guidelines. It's particularly important in protecting the trademark owner's rights while enabling commercial exploitation of the brand through authorized third parties. The agreement should address specific requirements of Philippine law regarding trademark licensing, including mandatory quality control provisions and registration requirements with the Intellectual Property Office of the Philippines (IPOPHL).
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1. Parties: Identification of the licensor and licensee with full legal names and addresses
2. Background: Context of the agreement, including trademark ownership details and business purpose
3. Definitions: Definitions of key terms used throughout the agreement
4. Grant of License: Scope of the license granted, including territory, exclusivity, and permitted uses
5. Term and Renewal: Duration of the license and conditions for renewal
6. Quality Control: Standards for trademark usage and licensor's right to monitor quality
7. Royalties and Payments: Financial terms, payment schedules, and calculation methods
8. Protection of the Trade Mark: Obligations regarding trademark protection and infringement actions
9. Use of the Trade Mark: Specific requirements and restrictions for trademark usage
10. Representations and Warranties: Parties' assertions about their rights and authority
11. Termination: Grounds and procedures for termination and post-termination obligations
12. Confidentiality: Protection of confidential information exchanged during the agreement
13. Governing Law and Jurisdiction: Specification of Philippine law and jurisdiction
14. General Provisions: Standard boilerplate clauses including notices, amendments, and severability
1. Sub-licensing Rights: Include when licensee is permitted to grant sub-licenses
2. Manufacturing Standards: Include for licenses involving product manufacturing
3. Marketing and Promotion: Include when specific marketing requirements or restrictions apply
4. Export Restrictions: Include when there are territorial restrictions on export
5. Insurance Requirements: Include when specific insurance coverage is required
6. Change of Control: Include when agreement should address ownership changes
7. Dispute Resolution: Include when specific arbitration or mediation procedures are preferred
8. Force Majeure: Include when specific force majeure provisions are needed beyond standard provisions
1. Schedule 1 - Licensed Trade Marks: Details of all licensed trademarks including registration numbers
2. Schedule 2 - Licensed Products/Services: Comprehensive list of products/services covered by the license
3. Schedule 3 - Quality Standards: Detailed quality control specifications and requirements
4. Schedule 4 - Royalty Calculations: Detailed formula and examples for calculating royalties
5. Schedule 5 - Brand Guidelines: Specific requirements for trademark usage and presentation
6. Schedule 6 - Territory: Detailed description of geographic territories covered
7. Appendix A - Approval Procedures: Procedures for obtaining licensor approval for trademark use
8. Appendix B - Reporting Templates: Standard forms for required periodic reports
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