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Non Exclusive Trademark License Agreement

Non Exclusive Trademark License Agreement Template for Malaysia

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Key Requirements PROMPT example:

Non Exclusive Trademark License Agreement

"I need a Non-Exclusive Trademark License Agreement for my Malaysian clothing manufacturing company to license our registered fashion brand to a manufacturer in Singapore, starting January 2025, with quality control provisions and quarterly royalty payments based on net sales."

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Document background
The Non-Exclusive Trademark License Agreement is essential for businesses seeking to grant or obtain rights to use registered trademarks in Malaysia while maintaining the licensor's ability to license the same marks to others. This document is commonly used when a trademark owner wishes to monetize their intellectual property through licensing while retaining control over their marks and the flexibility to enter into additional licensing arrangements. The agreement must comply with Malaysian trademark law, particularly the Trademarks Act 2019, and includes provisions for quality control, territory restrictions, royalty payments, and trademark usage guidelines. It's particularly relevant for businesses expanding their brand presence through strategic partnerships or entering new markets in Malaysia and the surrounding region.
Suggested Sections

1. Parties: Identifies and provides full details of the licensor and licensee, including registration numbers and registered addresses

2. Background: Sets out the ownership of the trademark(s), their registration status, and the context of the licensing arrangement

3. Definitions: Defines key terms used throughout the agreement, including 'Licensed Marks', 'Territory', 'Licensed Products', and 'Effective Date'

4. Grant of License: Specifies the non-exclusive nature of the license, its scope, and permitted uses of the trademark

5. Territory and Term: Defines the geographical area where the license applies and the duration of the agreement

6. Quality Control: Outlines the licensor's quality control rights and the licensee's obligations to maintain standards

7. Usage Guidelines: Specifies how the trademark must be used, including format, presentation, and any restrictions

8. License Fees and Payment Terms: Details the financial terms, including royalties, payment schedule, and reporting requirements

9. Representations and Warranties: Contains standard warranties about trademark ownership, right to license, and non-infringement

10. Protection of Rights: Addresses trademark protection, infringement actions, and cooperation between parties

11. Term and Termination: Sets out the duration of the agreement and circumstances for termination

12. Post-Termination Obligations: Specifies obligations and rights of parties after agreement termination

13. Governing Law and Jurisdiction: Confirms Malaysian law as governing law and specifies jurisdiction for disputes

Optional Sections

1. Sub-licensing Rights: Include when the licensee may be permitted to sub-license the trademark to third parties

2. Marketing and Promotion: Include when specific marketing requirements or restrictions need to be imposed

3. Product Development: Include when the license involves new product development or modifications

4. Export Restrictions: Include when there are specific restrictions on export of licensed products

5. Minimum Performance Requirements: Include when the license is contingent on meeting specific sales or performance targets

6. Change of Control: Include when restrictions on change of ownership or control are necessary

7. Insurance Requirements: Include when specific insurance coverage is required for the licensee

8. Alternative Dispute Resolution: Include when parties prefer mediation or arbitration before litigation

Suggested Schedules

1. Schedule 1 - Licensed Trademarks: Detailed list of all licensed trademarks, including registration numbers and classes

2. Schedule 2 - Licensed Products/Services: Comprehensive list of products or services covered by the license

3. Schedule 3 - Quality Standards: Detailed quality control requirements and specifications

4. Schedule 4 - Brand Guidelines: Visual guidelines and requirements for trademark usage

5. Schedule 5 - Fee Structure: Detailed breakdown of licensing fees, royalty calculations, and payment terms

6. Schedule 6 - Approved Sub-contractors: List of approved manufacturers or service providers, if applicable

7. Appendix A - Trademark Specimens: Visual representations of the licensed trademarks

8. Appendix B - Reporting Templates: Standard forms for sales reports and royalty calculations

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

Linkedin in social icon imageX social icon image
alex.den.21@genieai.co
Clauses
Grant of License
Territory and Exclusivity
Term and Renewal
License Fees and Royalties
Payment Terms
Quality Control
Trademark Usage
Inspection Rights
Confidentiality
Representations and Warranties
Protection of Rights
Infringement
Record Keeping
Audit Rights
Assignment and Sub-licensing
Termination
Post-Termination Obligations
Force Majeure
Indemnification
Insurance
Dispute Resolution
Governing Law
Notices
Entire Agreement
Severability
Amendment
Waiver
Relationship of Parties
Survival
Costs and Expenses
Relevant Industries

Retail

Consumer Goods

Fashion and Apparel

Food and Beverage

Technology

Manufacturing

Entertainment

Sports and Recreation

Pharmaceuticals

Cosmetics

Automotive

Electronics

Hospitality

Education

Media and Publishing

Relevant Teams

Legal

Intellectual Property

Commercial

Business Development

Marketing

Brand Management

Compliance

Finance

Corporate Affairs

International Business

Relevant Roles

Chief Executive Officer

Chief Legal Officer

Intellectual Property Counsel

Legal Director

Commercial Director

Brand Manager

Licensing Manager

Business Development Manager

Contract Manager

Compliance Officer

General Counsel

Trademark Attorney

Corporate Lawyer

Commercial Manager

Marketing Director

Industries
Trademarks Act 2019: The primary legislation governing trademark registration, protection, and licensing in Malaysia. It provides the legal framework for trademark rights, including provisions for licensing agreements and the obligations of licensors and licensees.
Contracts Act 1950: Provides the fundamental legal framework for contract formation, validity, and enforcement in Malaysia. This act governs the basic contractual aspects of the license agreement including offer, acceptance, consideration, and contractual obligations.
Competition Act 2010: Ensures that licensing agreements do not contain anti-competitive provisions or abuse market position. Particularly relevant for non-exclusive licensing arrangements to ensure fair competition.
Trade Descriptions Act 2011: Regulates the use of trade descriptions and marks in the course of trade, ensuring proper use of trademarks and preventing false trade descriptions.
Control of Supplies Act 1961: May be relevant if the licensed trademark is used in connection with controlled goods or services in Malaysia, requiring additional compliance measures.
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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