Licensing Agreement #16 Applicable Law and Disputes
10-05-09
For the next few posts I will be breaking down a general Licensing Agreement clause-by-clause and giving brief explanations on what it all means. For the beginning of this series of posts, start at the first one dated Sept 14, 2009 (scroll down).
This is the next clause in a Licensing contract:
15. APPLICABLE LAW AND DISPUTES
15.1 This Agreement shall be governed by the laws of the State of Florida and that any claims or disputes between the parties shall be resolved by arbitration in Orlando, Florida.
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This clause describes where any legal proceedings and disputes will take place and is usually in the district or territory where the Licensor resides. Note that the laws of the United States of America and specifically the state of Florida prevails over the Canadian and Provincial law of British Columbia where the Licensee resided.
Since the Licensee is the one that wants something from the Licensor, the Licensor usually requires any legal matters or disputes take place near them so it limits the Licensor’s future possible legal cost.
Another point to notice is that Arbitration is to be the first way to resolve any disputes or legal proceedings. If the arbitration does not resolve the matter where both parties are satisfied, then nothing stops either party from taking this further in a court of law. The outcome of the Arbitration may affect the judge’s decision if this matter makes it through to a court decision or appeal.
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As most of you know, I am not a lawyer or an accountant and I recommend everyone seek their own legal counsel, accounting and tax advice in all contractual matters.
I provide consulting which is detailed on the ‘services’ page of this website.
Hope this contract breakdown helps you understand the intricacies of a Licensing Agreement. Should you have any questions contact me at info@Playdigm.com – please put ‘Your name & Licensing’ in the subject line of your email.
Thank you.
Sandford Tuey
Tags: Applicable Law and Disputes, Licensing Agreement, Licensing contrac, Sandford Tuey, Tuey