Intellectual property of all kinds, including patents, trademarks, copyrights, industrial designs, and trade secrets, is legally protected in Latvia. The Latvian Patent Law, Trademark Law, Copyright Law, and Industrial Design Law are to a great extent liable for implementing these privileges. ” Permitting your IP” is the method involved with conceding use freedoms to a different legal entity if you have protected innovation. Moreover, you could need to offer it to bring in cash; this is known as “assigning” or “transferring” your IP.
Before engaging in license or assignment negotiations
In specific situations, maintaining confidentiality is beneficial for certain information, like unpublished technology without a patent application or other trade secrets. Additionally, the license or assignment agreement should be kept private, particularly its financial details. You should reach a non-disclosure agreement with the prospective licensee or assignee for this reason. You may also collect and evaluate data about your IP by subjecting it to a due diligence investigation, which is a comprehensive review of all elements of your IP.
Latvian intellectual property licensing
To provide another organization (the licensee) permission to use your intellectual property, you, as the IP owner, may create a licensing agreement with them. You may have a single licensee (‘exclusive license’) or several licensees. Several licenses may be open or restricted to certain economic sectors or geographical regions (like franchising). You (the licensor) get compensated for granting permission in return, sometimes in the form of “royalties” that are calculated as a portion of sales. The boundaries for IP usage (such as its geographic scope and application areas) may also be established. You, the licensor, in this instance:
- retain IP ownership, since there is no transfer of ownership, and
- you are still in charge of maintaining and enforcing the relevant rights.
Even though license agreements must be drafted with the aid of attorneys and experts, several crucial terms must be agreed upon and included before the agreement is signed.
Creating a license agreement
To create a license agreement, you must at the very least:
- Put the agreement in writing.
- Clarify whose IP rights are really at issue.
- Negotiate and incorporate the licensee’s financial compensation to the licensor in the agreement e.g., royalties.
- Communicate the start date, end date, and length of the contract.
- Specify whether the licensing agreement is exclusive or not
- Mention all of the terms and restrictions for using your IP.
- Specify the regions in which the licensee may make use of your IP
Latvian intellectual property commercialization
By assigning or transferring your IP, you may change who owns your intellectual property rights (patents, trade names, copyrights, etc.). You give up any ownership rights you have in the intellectual property in question when you assign it. You won’t be responsible for maintaining the IP once it has been assigned (such as paying renewal costs). You would also not gain anything from any potential economic success of the product or service. Additionally, you won’t be able to continue using it (invention, trademark, etc.), as long as it is protected unless it is expressly permitted in the assignment contract.
Assigning IP
The important things to do are:
- Create a written assignment that you both need to sign.
- In your clear specification and identification of the IP, include the registration number if it’s registered.
- Negotiate the monetary compensation that the assignee will pay, and include it in the agreement.
- Discuss and add any potential guarantees for certain aspects of the agreement.
- Specify the governing law and venue for dispute resolution, like an arbitration panel or court.
- Make sure the Latvian Patent Office receives notification of the assignment.
You can also find these articles helpful
Required licenses for financial and insurance activities business in Latvia
Company car taxes in Latvia
Taxation in free ports and Special Economic Zones in Latvia
