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Character License Agreement

Character License Agreement Template for United States

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Key Requirements PROMPT example:

Character License Agreement

"I need a Character License Agreement for licensing an animated superhero character to a mobile game developer for use in iOS and Android games, with worldwide rights starting March 2025, including character modification rights and in-app purchase capabilities."

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Document background
The Character License Agreement is a crucial document in the entertainment and merchandising industries, used when a character owner wishes to grant another party the right to use their intellectual property for specific purposes. This agreement, governed by United States law, establishes the framework for character licensing across various media and products while protecting the rights holder's interests. It includes detailed provisions for usage rights, quality control, royalties, and compliance with U.S. federal and state regulations. The agreement is particularly relevant in today's multi-platform entertainment landscape, where characters may be used across different media formats, merchandise, and digital platforms. It serves as a comprehensive legal framework that ensures proper commercialization while maintaining the character's integrity and the owner's creative control.
Suggested Sections

1. Parties: Identification of the licensor (character owner) and licensee with full legal names and addresses

2. Background: Context of the agreement, brief description of the character(s), and parties' intentions

3. Definitions: Detailed definitions of key terms including Licensed Character, Licensed Products, Territory, Term, Net Sales, etc.

4. Grant of Rights: Scope of the license, including specific rights granted and any restrictions

5. Term and Territory: Duration of the agreement and geographical areas where rights are granted

6. Royalties and Payments: Payment terms, royalty rates, minimum guarantees, and reporting requirements

7. Quality Control: Standards for character representation, approval processes, and quality requirements

8. Protection of Rights: Obligations regarding IP protection, registration, and infringement actions

9. Representations and Warranties: Parties' assertions about ownership, authority to license, and non-infringement

10. Termination: Conditions for termination, consequences, and post-termination obligations

11. General Provisions: Standard legal clauses including notices, assignment, governing law, etc.

Optional Sections

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

2. Digital Rights: Include for specific provisions regarding online, mobile, or digital usage of the character

3. Merchandising Rights: Include detailed provisions for product manufacturing and distribution when relevant

4. Character Development: Include when licensee has rights to develop or modify the character

5. Marketing and Promotion: Include specific requirements for marketing activities and brand guidelines

6. Exclusivity Provisions: Include when granting exclusive rights in certain territories or product categories

7. Moral Rights: Include specific provisions about creator's moral rights, particularly relevant for artistic characters

Suggested Schedules

1. Schedule A - Character Description: Detailed description and visual representation of the licensed character(s)

2. Schedule B - Licensed Products: List of approved products or categories for character usage

3. Schedule C - Style Guide: Visual guidelines for character usage, including approved colors, poses, and contexts

4. Schedule D - Royalty Rates: Detailed breakdown of royalty rates by product category or territory

5. Schedule E - Approval Procedures: Step-by-step process for obtaining approvals for character usage

6. Schedule F - Territory Restrictions: Specific territorial restrictions or requirements by region

7. Appendix 1 - Quality Standards: Detailed quality control requirements for licensed products

8. Appendix 2 - Reporting Templates: Standard forms for sales reports and royalty calculations

Authors

Alex Denne

Head of Growth (Open Source Law) @ tiktok³ÉÈË°æ | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

alex.den.21@genieai.co
Relevant legal definitions





















































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Relevant Industries

Entertainment

Media

Publishing

Gaming

Toys and Games

Consumer Products

Retail

Digital Media

Fashion and Apparel

Education

Relevant Teams

Legal

Intellectual Property

Licensing

Brand Management

Business Development

Product Development

Marketing

Creative

Commercial

Compliance

Contract Administration

Relevant Roles

Licensing Manager

Intellectual Property Lawyer

Brand Manager

Creative Director

Business Development Manager

Commercial Director

Rights Manager

Merchandising Director

Product Development Manager

Legal Counsel

Contract Administrator

Content Strategy Director

Franchise Development Manager

Marketing Director

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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