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Perform your due diligence before the agreement. Both parties should conduct a thorough review of the other party. Check trade credits and management resumes. Ask for financial statements. Visit the offices and production sites of the other company. Everything you need. End-user license agreements are usually lengthy and written in a very specific legal language, making it difficult for the average user to give informed consent. [3] If the company designs the end-user license agreement in such a way as to deliberately deter users from reading it and to use language that is difficult to understand, many users may not give informed consent. Due to the legal basis they must cover, some licensing agreements are quite long and complex. But most of these agreements cover the same fundamental points. These include the scope of the agreement, including exclusivity or territorial restrictions; financial aspects, including necessary advances, royalties and the calculation of royalties; guarantees for minimum sales; calendars with "to market" dates, contract duration and renewal options; the rights of the lessor to monitoring and quality control, including the procedures to be followed; the minimum stocks to be maintained; and returns and allocations. The bargaining power of both parties to a licensing agreement often depends on the nature of the product. For example, a film studio that conceded the image of a popular superhero to an action character manufacturer could have considerable bargaining power in this negotiation, as the manufacturer will likely benefit from such a deal.

Details on what the licensee can do with the license (produce, sell, sublicense, distribute and export products with it, etc.). An End User License Agreement (EULA, /ˈjuːlaffirmative/) is a legal agreement between a software developer or provider and the software user, often when the software was purchased by the user through an intermediary such as a retailer. . . .

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