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PLAYBOOK TEMPLATES

Technology Transfer Agreement

A Technology Transfer Agreement facilitates the sharing or commercialization of proprietary technology between parties. This playbook provides guidance on ownership rights, confidentiality, and obligations to support the transfer process.

Exclusivity and Territory

Why This Matters: Overbroad exclusivity or territory can impede future business opportunities and create enforcement challenges, while overly narrow terms can undermine licensee value.

Negotiation strategy

If you're the Licensor:

Ensure the exclusivity and territory terms align with your strategic goals. Avoid overly broad grants that could limit future opportunities.

If you're the Licensee:

Negotiate for terms that maximize market potential and value. Consider requesting flexibility for expansion in key regions.

Essential elements

1

License Type

Defines exclusivity status.
2

Geographic Scope

Specifies covered regions.
3

Market Area

Defines market territories.

Action framework

ACCEPT

Propose edits when terms do not align with strategic objectives.

EDIT

Reject if terms overly restrict future opportunities.

ADD

Add language if terms are absent or unclear.

PRO TIP

Always align exclusivity and territory terms with long-term business strategies.

Real-world examples

FAVORABLE

Preferred Exclusivity

"The license granted herein is an exclusive license within the territory of [specified region], subject to the terms and conditions of this Agreement."
NEUTRAL

Fallback Non-Exclusivity

"The license is non-exclusive and covers the territory of [specified region], allowing for potential expansion upon mutual agreement."
UNFAVORABLE

Overly Broad Exclusivity

"The license is exclusive worldwide, with no provisions for review or adjustment."

Alternative scenarios & positions

Emerging Markets

In emerging markets, exclusivity may need to be more flexible to adapt to rapid changes and opportunities.

Highly Competitive Regions

In competitive regions, consider non-exclusive terms to allow for multiple partnerships and collaborations.

Regulated Industries

In regulated industries, ensure compliance with local laws when defining exclusivity and territory.

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