Cross License Agreement Meaning

Some examples of cross-licensing of intellectual property are a number of identifiable companies: cross-licensing agreements have often been negotiated under antitrust legislation. The Tribunal will analyze cases in which these are cross-licensing agreements according to the rule of reason, in which the anti-competitive effect of the agreement is taken into account. In general, these agreements are pro-competitive. Because of these potential drawbacks, it is considered unwise for a company to add its critical technology patents to cross-licensing agreements. It is possible to add clauses that reduce direct competition between cross-licensing partners. For example, Microsoft and JVC entered into a cross-licensing agreement in January 2008. [3] Each party is therefore in a position to practice the inventions covered by the patents contained in the agreement. [4] This benefits competition, as each offers more freedom in the design of products covered by the other`s patents, without provoking infringement action. For these reasons, it is generally considered unwise for a company to take its critical and critical technology patents in cross-licensing agreements.

It is also possible to introduce clauses limiting direct competition between the two cross-licensing partners. For example, in the Microsoft-Apple agreement mentioned above, there are anti-cloning provisions to protect against literal copying of products. Companies that opt for cross-licensing contracts, sometimes referred to as “patent pools,” can benefit from a number of advantages: in addition, I find it hard to believe that the government would actively seek to prevent cross-licensing. Cross-licensing appears to promote competition rather than be anti-competitive; But I think a specific cross-licensing could create requirements not to deal with others, and that could actually be anti-competitive. Other non-patented intellectual property rights, such as copyrights and trademarks, may also be cross-licensed. For example, a literary work and an anthology containing this literary work can be conceded between two publishers. A cross-licensing for computer software may include a combination of patent, copyright and trademark licenses. Cross Licensing refers to the cross-licensing agreement between patent holders to avoid conflicting patent litigation. It helps preserve the financial incentives of inventors to commercialize their existing innovations and to carry out new research that can be patented. Parties entering into cross-licensing agreements must be careful not to violate cartel and abuse of dominance laws and regulations.

This can easily become a complex subject that includes (for the European Union) art. 101 and 102 of the Treaty on the Functioning of the European Union (TFUE), formerly art. 81 and 82 of the EC Treaty (abuse of dominant position, etc.), as well as guidelines on licences, agreements, etc. With so many benefits of cross-licensing agreements, you may be wondering what the negatives are. There are several drawbacks: cross-licensing contracts create a number of essential advantages: in patent law, a cross-licensing agreement is an agreement under which two or more parties license the purpose claimed in one or more of the patents. [1] As a general rule, this type of agreement takes place between two parties in order to avoid litigation or to settle infringement proceedings. [2] Very often, the patents held by each party cover different essential aspects of a given commercial product.


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