License: Taking out a license on a patent or trademark

The owner sells the licensee the right to use its patent, design or trademark, for example. Licensees and exclusive representatives are self-employed entrepreneurs. They work for themselves.

In the case of license and exclusive representation contracts, caution is required: there are no fixed regulations in Switzerland. Case law defines these two concepts. Anyone wanting to enter into a contract of this kind must always seek advice from a qualified person.

It is difficult to determine the advantages and disadvantages of exclusive representation or taking out a license. Before signing a contract, entrepreneurs must carefully sound out the commercial potential of the sector in question and gather information about the partner and the product or patent.