Exclusive vs. Non-Exclusive Rights

May 2, 20130 Comments
Licensing Agreement

When should you consider licensing Exclusive rights vs. Non Exclusive rights?  The answer is it depends.  There are no “standard” business terms…each deal differs by the variety of different terms and the development stage of the intellectual property. Exclusivity grants the licensee (IP renter) exclusive rights to commercialize the IP.  If there is still some IP or market development required, then Exclusive rights to the IP may be the best option.  On the other hand, if the IP is a breakthrough technology or there are multiple market ready opportunities, then non-exclusive may be the best approach.  Or there may be an opportunity for a hybrid Exclusive/Non-Exclusive situation based on achieving certain milestones.

Would you like to learn more about structuring a licensing deal?  Licensing Consulting Group offers a 4 hour Licensing Mastery audio seminar that will teach you about negotiating and structuring licensing deals as well as provide you with sample licensing agreements.  Please visit our online store at www.shop.licensingcg.com.

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About the Author ()

Rand Brenner is President / CEO of Licensing Consulting Group, an intellectual property management and licensing company specializing in assisting clients in IP Management, Strategic Consulting, Acquisition of Licensing Rights, and Property Representation. Rand has licensed some of the biggest Hollywood blockbusters, including “Batman” and the “Mighty Morphin Power Rangers”, both of which generated billions of dollars in worldwide merchandise sales. He has lead various international licensing programs as both licensee and licensor, and through consulting projects focused on licensing strategy, brand development, sponsorship sales and property representation.

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