Albert has a great idea for a new vacuum cleaner and receives a patent for his design. Albert finds a Canadian company to sell his vacuum cleaners in Canada, but Albert wants to ensure his patented idea is protected. What type of contract should Albert negotiate with the Canadian company?
A) Forum selection agreement.
B) Joint venture.
C) Franchise agreement.
D) Distributorship agreement.
E) Licensing agreement.

Question

Quizplus · Accepted Answer

A licensing agreement would allow Albert to grant the Canadian company the rights to sell his patented vacuum cleaners while protecting his intellectual property rights. This type of contract is specifically designed for situations where one party wants to allow another to use a patented idea, trademark, or product under certain conditions, ensuring the inventor retains control over how their invention is used.

Albert Has a Great Idea for a New Vacuum Cleaner