Creativity is essential to your success in the hospitality industry. However, there are times when partnerships with larger businesses can lend some additional profit to your bottom line. These partnerships, or the sharing of intellectual property between two businesses, are formalized through licensing agreements.

Establishing these agreements requires a significant amount of forethought and the legal knowledge that a business formation attorney holds. Rather than drafting a contract alone, a New Jersey licensing agreements lawyer could assist you through the process.

What is a Licensing Agreement?

Licensing agreements allow both larger and smaller businesses to share their marketing material with other interested parties. More specifically, licensing agreements are legal and binding documents regarding a business’s brand. Two parties can create and sign a leasing contract to share the use of a brand, trademark, or patent.

There is more than one type of contract that can appear during two hospitality businesses’ conversations about licensing agreements. These contracts will vary based on the intellectual property in question, the duration of the contract, and other applicable details. In New Jersey, interested parties can track existing licensing agreements courtesy of the New Jersey Division of Consumer Affairs.

Contributing Factors in Licensing Contracts

Licensing agreements hold significant potential for both the licensor and licensee. Because each party stands to turn a profit from the agreement, both must provide their expectations of one another in writing. With that in mind, some of the most important factors to consider when crafting a licensing agreement include:

Exclusivity

While the licensee may negotiate the use of a particular piece of intellectual property, the licensor can also restrict the released item’s general use. Exclusivity, in this way, determines how the shared intellectual property is presented to the general public. This prevents certain businesses from lambasting their competition or bringing what the licensor believes to be an inappropriate critique forward with their property use.

Quality Assurance

When releasing a physical product or service, the licensor should ensure that their property is not being put to ill-use. Quality assurance conversations, in turn, prevent the inappropriate use or modification of their intellectual property.

A steadfast lawyer could assist New Jersey parties in verifying that their licensing agreement is meeting their expectations.

Enforcing Business Contracts in New Jersey

Once the agreement is signed, licensees and licensors are held to specific legal standards. If either party believes that their rights have been violated through the course of their partnership, they do have options to take legal action. An attorney in New Jersey can help the interested party file their complaint and identify any licensing agreement lapses that may net them damages.

Work with a New Jersey Licensing Agreements Attorney Today

Licensing agreements protect your intellectual property. To thrive as a business, you need to not only create your own licenses but also work with those who have these legal protections in place.

A New Jersey licensing agreements lawyer may be able to make this process simpler. Sit down for an initial consultation today to learn more about the work that goes into crafting a licensing agreement. A member of the firm could make sure that you have the tools on hand to protect your legal interests.