The key legal document required is a License Agreement.
Depending on the arrangements, the agreement may sometimes be referred to as a Distributor Agreement, Agency Agreement or Reseller Agreement. These are all forms of Licenses.
In addition to the License Agreement, properly planned and structured License arrangements may also require additional documentation relating to:
- Establishment of new companies or trusts
- Shareholder / Partnership agreements
- Licences for use of intellectual property or assets owned by other entities in the group
- ACCC notifications regarding exclusive dealings (mandatory purchase of goods from specific parties)
- Certificates of independent advice
Working out how your License model should be constructed and the commercial and operational terms to include in the legal documents is critical before Lawyers start drafting agreements. Many businesses that skip this step end up with generic agreements that do not serve them well in changing markets or as the business grows. Often it is what is left out of the document that hurts more than what is in it.