The License To Use Agreement is essential in today's business environment where the sharing and monetization of intellectual property, software, and digital assets are increasingly common. This document type is particularly relevant in Malaysia, where businesses must navigate both local and international licensing requirements while ensuring compliance with Malaysian law, including the Contracts Act 1950, Copyright Act 1987, and other relevant legislation. The agreement typically covers critical aspects such as scope of use, territorial restrictions, payment terms, intellectual property protection, and termination conditions. It's commonly used when companies or individuals need to formalize the terms under which intellectual property or other assets can be used, whether for software deployment, content distribution, or technology implementation. The License To Use Agreement serves as a crucial tool for protecting intellectual property rights while enabling business growth through controlled asset sharing.
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1. Parties: Identification of the Licensor and Licensee with complete legal names and addresses
2. Background: Context of the agreement, including brief description of the licensed material/property and the purpose of the license
3. Definitions: Detailed definitions of key terms used throughout the agreement
4. Grant of License: Specific details of the license being granted, including scope, territory, and whether exclusive or non-exclusive
5. License Fee and Payment Terms: Details of payment obligations, including amount, payment schedule, and payment methods
6. Term and Termination: Duration of the license and circumstances under which it can be terminated
7. Licensee Obligations: Specific responsibilities and restrictions on the licensee's use of the licensed material
8. Intellectual Property Rights: Confirmation of ownership and protection of intellectual property rights
9. Warranties and Representations: Promises and guarantees made by both parties regarding the licensed material and their authority
10. Limitation of Liability: Extent and limitations of each party's liability under the agreement
11. Confidentiality: Obligations regarding confidential information shared during the license period
12. Governing Law and Jurisdiction: Specification of Malaysian law as governing law and jurisdiction for dispute resolution
13. General Provisions: Standard boilerplate clauses including notices, entire agreement, and amendment procedures
1. Technical Support and Maintenance: Include when the license involves software or technical products requiring ongoing support
2. Quality Control: Include when the licensed material requires maintaining certain quality standards
3. Sub-licensing Rights: Include when the licensee may be granted rights to sub-license
4. Source Code Escrow: Include for software licenses where source code access might be necessary
5. Data Protection: Include when personal data processing is involved in the licensed usage
6. Export Control: Include when the licensed material may be subject to export regulations
7. Insurance: Include when specific insurance coverage is required for the licensed usage
8. Training and Implementation: Include when the license requires specific training or implementation support
1. Schedule 1 - Licensed Material: Detailed description of the licensed material, including technical specifications if applicable
2. Schedule 2 - License Fee Structure: Detailed breakdown of fees, including any variable components or royalty calculations
3. Schedule 3 - Technical Requirements: Technical specifications or requirements for using the licensed material
4. Schedule 4 - Service Level Agreement: Details of support services and performance standards if applicable
5. Schedule 5 - Approved Use Cases: Specific approved uses and examples of prohibited uses of the licensed material
6. Appendix A - Form of Report: Template for any required usage or royalty reports
7. Appendix B - Support Procedures: Detailed procedures for accessing technical support or maintenance services
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