When you enter into a licensing agreement, it`s always helpful to see a typical company licensing agreement so you know what to expect. If you are designing a licensing agreement for a customer or your own organization, it is also helpful to create an example of licensing agreements that can be used as a start-up guide. Patent rights can be divided and granted in different ways, on an exclusive or non-exclusive basis. The license may be subject to time or territorial restrictions. A license may include an entire technology or a simple component or improvement of a technology. In the United States, “reasonable” licensing fees may be imposed by a court as a patent infringement remedy, both after the facts and prospectively. In infringement actions in which the court finds that an injunction is inappropriate in the circumstances of the case, the court may grant “ongoing” licence or royalties on the basis of the likely use of the offender`s patented technology as an alternative.  At least one study that analyzed a sample of 35 cases in which a court granted an ongoing royalty found that the current royalties “go beyond a statistically significant amount that the jury duly set.”  While the focus here is on music royalties, marketed in print or “notes,” their discussion is a prelude to the larger and larger sources of licensing revenues that today come from music sold in media such as CDs, television and the Internet. If you are considering granting your intellectual property or becoming a licensee, you must be familiar with licensing agreements. A company`s licensing agreement is a central element of any licensing agreement and ensures that both parties are properly compensated for their contributions. In this article, we explain what a licensing agreement is and give you an example of when it could be used. At the end of this page, you can download a license agreement so you can see an example of what is included in a license agreement and how it is designed.