Exclusive License of Industrial Property Rights

Depending on the kind of competition, license agreements are divided into exclusive, non-exclusive and sole licenses. There is only one licensee in an exclusive license and even the owner is not permitted to exploit the intellectual property right in the territorial scope of the agreement. This kind of license agreement has advantages and disadvantages for parties affecting their decision as to entering into the agreement. Both licensor and licensee have rights and obligations, whose knowledge facilitates decision making about concluding and performing the agreement. According to the Iranian Act on Registration of Inventions, Industrial Designs and Trademarks, registration before the Industrial Property Office is the condition of opposability of licenses including exclusive ones. The exclusiveness arising from such a license justifies its control by competition law.