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Exclusive Trademark License Template for Canada

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Key Requirements PROMPT example:

Exclusive Trademark License

"I need an Exclusive Trademark License Agreement for my fashion retail company to license our registered clothing brand to a manufacturer in Western Canada, with strict quality control provisions and quarterly royalty payments starting March 2025."

Document background
An Exclusive Trademark License Agreement is used when a trademark owner wishes to grant another party the exclusive right to use their trademark(s) in a specified territory or for specific products/services, while maintaining ultimate control over the trademark's integrity. This document is essential in Canadian business transactions where brand licensing is involved, ensuring compliance with the Canadian Trademarks Act and related regulations. The agreement typically includes detailed provisions about quality control, royalty payments, territory restrictions, and enforcement rights. It's particularly important as it creates a sole licensing relationship, preventing the licensor from granting similar rights to other parties within the specified scope. The document helps protect both the licensor's trademark rights and the licensee's exclusive market position while ensuring proper trademark usage and maintenance of brand value.
Suggested Sections

1. Parties: Identification of the licensor and licensee, including full legal names and addresses

2. Background: Context of the agreement, including trademark ownership details and registration numbers

3. Definitions: Key terms used throughout the agreement, including 'Licensed Marks', 'Territory', 'Licensed Products', and 'Net Sales'

4. Grant of License: Scope of the exclusive license, including territory, field of use, and any reserved rights

5. Quality Control: Standards for product/service quality, inspection rights, and approval processes for trademark usage

6. Use of the Trademark: Requirements for proper trademark usage, marking requirements, and format specifications

7. Royalties and Payments: Payment terms, calculation methods, reporting requirements, and audit rights

8. Term and Termination: Duration of the agreement, renewal terms, and grounds for termination

9. Representations and Warranties: Statements regarding trademark ownership, validity, and authority to license

10. Protection and Enforcement: Rights and obligations regarding trademark protection and infringement actions

11. Confidentiality: Protection of confidential information exchanged during the license relationship

12. General Provisions: Standard clauses including governing law, dispute resolution, and notice requirements

Optional Sections

1. Sublicensing Rights: Include when licensee is permitted to sublicense the trademark to third parties

2. Minimum Performance Requirements: Include when there are specific sales targets or market penetration requirements

3. Manufacturing Requirements: Include when the license involves manufactured products with specific production standards

4. Marketing and Promotion: Include when specific marketing obligations or restrictions apply

5. Insurance Requirements: Include when specific insurance coverage is required for the licensed activities

6. Export Control: Include when the license involves international trade or restricted territories

7. Post-Termination Obligations: Include when specific wind-down provisions are needed

Suggested Schedules

1. Schedule A - Licensed Trademarks: Detailed list of all licensed trademarks, including registration numbers and status

2. Schedule B - Licensed Products/Services: Comprehensive description of products/services covered by the license

3. Schedule C - Quality Control Standards: Detailed quality control specifications and procedures

4. Schedule D - Royalty Calculations: Detailed formulas and examples for calculating royalties

5. Schedule E - Trademark Usage Guidelines: Specific requirements for trademark display and usage

6. Schedule F - Territory Definition: Detailed description of geographic territories covered by the license

7. Schedule G - Approved Manufacturers: List of approved manufacturers if applicable to the license

Authors

Alex Denne

Head of Growth (Open Source Law) @ tiktok³ÉÈ˰æ | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Relevant legal definitions








































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Relevant Industries

Retail

Consumer Goods

Fashion and Apparel

Technology

Food and Beverage

Pharmaceuticals

Automotive

Entertainment

Sports and Recreation

Franchising

Manufacturing

Software and Digital Products

Healthcare

Professional Services

Relevant Teams

Legal

Intellectual Property

Brand Management

Commercial

Business Development

Marketing

Corporate Development

Compliance

Operations

Finance

Relevant Roles

Chief Legal Officer

Intellectual Property Counsel

Brand Manager

Licensing Director

Commercial Director

Business Development Manager

Chief Executive Officer

General Counsel

Trademark Attorney

Contract Manager

Legal Operations Manager

Chief Commercial Officer

Chief Marketing Officer

Intellectual Property Manager

Industries






Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

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