Design Licence Agreement

A design licence agreement should define the commercial use of the protected design without leaving key questions of product scope, territory or quality to implication.

Back to Design Law.

Licensed products and territory

The contract should identify the design rights and products covered, the territory, duration and whether the licence is exclusive. Online sales and cross-border distribution may require additional detail.

Remuneration and reporting

Royalties may be fixed, turnover-based or mixed. Reporting periods, audit rights, taxes and treatment of returns or discounts should be addressed where relevant.

Quality, enforcement and exit

The parties can regulate approvals, quality standards, infringement handling, sublicensing and what happens to stock and marketing materials after termination.

Preparing a design-law review

For design matters, useful documents include registration numbers, the official representations, earlier design material, product photographs or samples, launch dates and sales listings. In infringement or imitation disputes, a side-by-side record of the protected design and challenged product, together with market and chronology evidence, can support a focused initial assessment.

Licence terms should be tailored to the actual distribution model and design portfolio.