Before I get into Licensing, I should explain more about Intellectual Property Law in general. You see, Intellectual Property is essentially a “bundle” of exclusive rights. What those rights are depends on the type of Intellectual Property. For example, owning a copyright gives one the rights to reproduce, create derivative works, distribute, publicly perform, publicly display, and distribute digitally (this applies more to music and movies). Owning a trademark gives one the rights to use that trademark in connection with goods or services.
Licensing then allows the owner of those rights to allow others to use their copyright or trademark and not sue them for doing so.
Licensing in General:
There are many purposes to licensing. Some of these include: 1. Maintaining control of the IP, 2. Maximizing Potential Revenues, and 3. Allocating risk carefully. In addition, licensing can allow one to prevent distortions of one’s work and to prevent others from unfairly profiting from the work.
Trademark Licensing is the licensing of one’s trademark rights. Trademark licensing allows a Trademark owner to expand its mark into new areas with little to no cost or risk. This is especially useful if the trademark owner wishes to try new services or products and selling these in new territories.
Copyright licensing is similar to trademark licensing but is constantly evolving due to our changing technology and mediums. Copyright licenses can be limited in rights granted, exclusivity, duration, territory, type of new works created, media of distribution, etc.
Licensing is a great way for an intellectual property owner to continuously make money off of that ownership. Licensing agreements often contain provisions regarding percentages based on sales, etc.
Talk to Nicole if you are interested in licensing. You can also read more about licensing by visiting these websites: