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For example, if a joint venture is 50-50 owned by two parties, they will split the costs and profits equally. In contrast, in a franchising relationship, the franchisee pays an initial fee and a royalty fee to the franchisor, in return for the right to use the franchisor's brand name, products, systems, and support.
An agreement granting a third party a license to use trademarks, service marks, copyrights, or other intellectual property (IP) rights in a character, film, television program, video game, or other artistic property for the creation of consumer products for distribution, marketing, and sale.
These are some common types of licensing agreements: Trademark license - outlines how you may use a trademark Patent license - outlines your right to sell, use, make distribute and export a product that is patented Copyright license - outlines your right to reproduce and sell copyrighted assets.
In a joint venture, two or more companies agree to work together and share resources and profits in order to achieve a common goal. Similarly, in a licensing agreement, one company grants another company the right to use its intellectual property (such as trademarks or patents) in exchange for compensation.
Profit and Loss Sharing: If the parties want to share profits and losses beyond the scope of a specific project, a joint venture may be more appropriate. However, if the parties only want to share profits or benefits from a specific project or property, a joint development agreement may be a better fit.
Licensing is a relationship between Licensor and Licensee, an arrangement between them to use the intellectual property of the former whereas a Joint venture means an agreement between two companies to share resources or provide assistance for a set period of time in exchange for payment.
With a commercial license, the artist retains ownership and copyright of the work, and can continue to use it for other purposes or license it to other clients. An exclusive license, on the other hand, grants permission to use the artist's work exclusively to one particular client or licensee.