Licensing and Franchise Agreements

Many business owners and corporates expand their business and brand by licensing, franchising or granting agencies in other cities or countries.
If you are not ready to buy an already established business but you are also not willing to start a business from scratch, buying a franchised business may sound to be a well-suited solution for you. By paying an initial fee and ongoing royalties the franchisee can benefit from an already established business and receive assistance in organizing and administering, marketing, training and managing the business in return.

Licensing agreements also play a crucial role in one's business growth. The asset owner, may it be a product, a brand, a trademark, trade name or a technology authorizes the licensee to use, sell, manufacture and generally benefit from the licensed item in exchange of royalties. There are different types of license agreements and a franchise contract may include one or more license agreements in addition to other rights.

Another way of expanding a business is through agency agreements. The principal authorizes the agent to act on his/her behalf. This method is more suitable for small and medium-sized businesses, which would like to outsource their human resources in a variety of cities and countries.
The important issues in these types of contracts that need to be taken into consideration are exclusivity or non-exclusivity issues, territory, term and termination of the contract, payments, royalties, non-disclosure agreement, non-compete agreement, jurisdiction, applicable law, marketing, insurance, tax, operation and administration system, dispute settlement and many other issues depending on each particular case.

Our international trade lawyers with profound knowledge and broad experience in negotiating and drafting commercial contracts in different sectors for small to large companies will ensure that your contracts are suitable for the purpose, clear and unambiguous and compliant with the relevant national and international laws. At Sam Law Firm we assist our clients to negotiate and draft effective contracts to protect their rights.


Austria: No 18, Unit 14, fleischmarkt 1010, wien

Tel : +43 68864244679