A product license contract is a legal and formal document which is drafted when one party agrees to grant license of using a product to the other for a fixed period of time and in return of a certain amount of money. This contract contains mutually agreed upon terms and conditions.
Sample product license contract
This contract has been made effective as on 25th July 2011
This contract is made by and between two parties with the following details:
Name: Mr. Kevin Peter
Address: 34-H, first floor, mains west road, Liverpool
Name: Mr. Robert Young
Address: D-56, fourth floor, Dale yard lane, Liverpool
The following are the details of the product for which license is granted:
Name: Young code machine
Total cost of license: $50000
License code number: 109-/K
The entire payment must be made on the effective date of contract as mentioned above.
The licensor agrees to grant license for the usage of the product to the licensee.
Length of contract: 24 months
The following are the terms and conditions which have to be agreed by both the partied on mutual understanding basis.
- · TERMINATION
This contract shall terminate on 25th July 2013
- · The licensee agrees to keep the product for his use and not grant license or sublease the product to any third party.
- · The product must be kept in proper condition and shape by the licensee.
- · The licensor shall hold the right to inspect the working of the product without giving any prior notice to the licensee.