Why Every Company Should Have a Written IP Licensing Policy

Abstract

While companies may operate under internal standards when it comes to in- or out-licensing intellectual property (IP), few have distilled their licensing strategies into written IP-licensing policies. Even fewer companies have made such written policies public. However, documented IP licensing policies can offer a company numerous benefits—both in its real-world licensing initiatives as well as during “hypothetical negotiations” that are commonplace in IP litigation. Moreover, IP licensing policies made public can result in advantages beyond those realized if such policies are kept confidential. Given the advantages, it begs the question of why more companies have not committed their IP licensing policy to writing. This article explores the potential benefits of creating and publishing an IP licensing policy, the impediments companies may face in attempting to do so, and examples of companies that already have public IP licensing policies in place.

Keywords: written IP licensing Policy, licnesing strategies, IP