Licensing offers the owner several advantages, unlike the complete transfer or allocation of the IP. By retaining the property, the seller (contestant) reserves the property and usually has an easier time to cancel the transfer of rights if the buyer (the taker) is not up to the end of his good deal. In many cases, the party that wants to acquire the intellectual property rights does not have sufficient financial resources to pay the full value in advance – or may feel the IP as highly speculative, but be willing to pay more if the technology can be successfully marketed. As a result, a well-developed licensing agreement not only makes it easier for the licensee to terminate the contract if future payments are not made, but also allows the parties to “participate in the bottom-up party.” Licensing agreements can also determine each party`s responsibilities in maintaining or executing patent rights. Licensing thus allows for greater flexibility and reduces the risk of overvaluation or undervaluation of IP value. If the desired revenue strategy is a revenue stream, i.e. royalties or contingency payments, licensing is often the most appropriate choice. Even if the owner practices IP, there may be benefits to sharing ip with others, for example. B as part of a dispute settlement or cross-sectional license that can resolve a standoff in which two or more parties can mutually block the IP address. As a general rule, royalty provisions are not included in research agreements.

10 If this is the case, the proponent will often accept a certain number of royalties, which will delay the determination of the actual rate. Pre-specification of the licence rate – or a series of sentences – does not preclu her discussion of other financial considerations during the licensing negotiations. Ownership of the ip company resulting from state-subsidized research must be approved by the Bundesferderstelle. 6 A licence gives one party the power to act on another party`s land if, as a general rule, such an act would amount to an offence without that licence. An important difference between licences and leases is that a licence confers a revocable and non-transferable privilege on the licensee`s land without granting interest to the property of the country. [4] Once a licence has been agreed, the licensee can occupy the country only to the extent necessary to carry out the facts. Another important difference between a licence and a lease agreement is that, as a general rule, leases must be written when fraud laws require it, whereas licences can be made orally. Licensing agreements may include negotiated provisions that define the terms and reasons why the agreement can be terminated. For example, the agreement may explicitly provide for termination in the event of a breach of certain contractual conditions.