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A franchise is the agreement or license between two legally independent parties which gives: â¢ a person or group of people (franchisee) the right to market a product or service using the trademark or trade name of another business (franchisor) â¢ the franchisee the right to market a product or service using the operating methods of the franchisor â¢ the franchisee the obligation to pay the franchisor fees for these rights â¢ the franchisor the obligation to provide rights and support to ...
License agreements are typically structured with certain standard clauses that define the metes and bounds of the relationship and set forth each sideâs rights and obligations. It should be understood, however, that every license agreement is unique and, as such, there is really no such thing as a âstandardâ clause.