Persons who wish to assign a patent should record the terms of their agreement in detailed written contract, because the law provides only limited protection for this type of transaction.

A patent licence agreement and patent assignment agreement may appear to be similar. The main difference between the two agreements is under a license agreement, the patent holder remains the owner of the invention and only grants a right to use the patent. In practice, the distinction means that the assignee is entitled to sue a third party for patent infringement, whereas a licensee cannot.

We recommend using this template for the purpose of transfering all of the assignor's rights in the patent to an assignee.

When a party wishes to acquire all the rights to an invention, the patent holder can either grant an exclusive license to the interested party (see our licence to use template H04200 or manufacturing licence template H04300), or assign the patent to that person.

Because an exclusive license grants a personal right to the property in question, rather than a right of ownership, certain issues may be difficult to resolve and could prevent the parties from entering into their licence agreement.

0.00 INTERPRETATION
0.01 Definitions
0.01.01 Activities
0.01.02 Agreement
0.01.03 Breach
0.01.04 Change in Control
0.01.05 Confidential Information
0.01.06 Encumber or Encumbrance
0.01.07 Event of Default
0.01.08 Force Majeure
0.01.09 Fundamental Provisions
0.01.10 Improvements
0.01.11 Intellectual Property
0.01.12 Invention
0.01.13 Legal Representatives
0.01.14 PARTY
0.01.15 Patent
0.01.16 Person
0.01.17 Prime Rate
0.01.18 Principal Agreement
0.01.19 Products
0.01.20 Related Person
0.01.21 Subsidiary
0.01.22 Technology
0.01.23 Territory
0.02 Precedence
0.03 Jurisdiction
0.03.01 Governing Law
0.03.02 Non-compliance
0.04 Miscellaneous
0.04.01 Cumulative Rights
0.04.02 Time and Dates
0.04.03 Financial References
0.04.04 References within Agreement
0.04.05 Gender and Number
0.04.06 Headings
0.04.07 Presumptions
0.04.08 Knowledge
0.04.09 Approval
0.04.10 GAAP
1.00 PURPOSE
1.01 Assignment
1.02 Conditions
1.02.01 Required by ASSIGNOR
1.02.02 Required by ASSIGNEE
1.02.03 Choice
2.00 CONSIDERATION
2.01 Base Price
2.02 Adjustment
2.03 License
3.00 TERMS OF PAYMENT
3.01 Initial Instalment
3.02 Balance
3.03 Adjustment
3.04 Interest
3.05 Promissory Note
3.06 Advance Payment
3.07 Loss of Term
3.08 Deposit in Trust
3.08.01 Contest
3.08.02 Payment to ASSIGNOR
3.08.03 Remittance to ASSIGNEE
3.08.04 Adjustment
4.00 SECURITY
4.01 In favour of ASSIGNOR
4.02 In favour of ASSIGNEE
4.03 Movable Hypothec without Delivery
5.00 MUTUAL REPRESENTATIONS AND WARRANTIES
5.01 Status
5.02 Authority
5.03 Binding Agreement
5.04 Canadian Resident
5.05 Commission
5.06 Insurance
5.07 Nominee
5.08 Fundamental Provisions
5.09 Disclosure
6.00 REPRESENTATIONS AND WARRANTIES OF THE ASSIGNOR
6.01 Status
6.02 Authority
6.03 Binding Agreement
6.04 Insurance
6.05 Nominee
6.06 Fundamental Provisions
6.07 Disclosure
6.08 Patentability of the Invention
6.09 Title and Ownership
6.10 Duration of the Patent
6.11 Prescribed Fees
6.12 Option
6.13 Grant of License
6.14 Other Undertakings having an Effect on the Patent
6.15 Proceedings
6.16 Compliance with Notice from the Commissioner
6.17 Abuse of Right
6.18 Bankruptcy
6.19 Warranties
6.19.01 Material Existence
6.19.02 Exclusions
7.00 REPRESENTATIONS AND WARRANTIES OF THE ASSIGNEE
7.01 Status
7.02 Authority
7.03 Binding Agreement
7.04 Insurance
7.05 Nominee
7.06 Fundamental Provisions
7.07 Disclosure
8.00 MUTUAL DUTIES AND OBLIGATIONS
8.01 Confidential Information
8.01.01 Undertaking
8.01.02 End of Agreement
8.02 Insurance
8.02.01 Insured Risks
8.02.02 Amount of Coverage
8.02.03 Issuer
8.02.04 Co-insured
8.02.05 No Limitation
8.03 Indemnification
8.03.01 “Loss”
8.03.02 Scope
8.03.03 Procedure
8.03.04 Deductible
8.03.05 Limitation on Claims
8.04 Disclosure of Agreement
9.00 DUTIES AND OBLIGATIONS OF THE ASSIGNOR
9.01 Delivery
9.02 Technical Support
9.03 Non-use
9.04 Upgrade
9.04.01 Option
9.04.02 New Upgrade
9.04.03 Assignment to a Third Party
9.05 Licenses
9.06 Maintenance of the Patent
9.07 Proceedings
10.00 DUTIES AND OBLIGATIONS OF THE ASSIGNEE
10.01 Protection
10.02 Proceedings
10.03 No Contest
10.04 Acknowledgement
10.05 Licenses
10.06 Inspection
11.00 SPECIAL PROVISIONS
11.01 Assignment
11.01.01 Prohibition
11.01.02 Effect of Breach
11.01.03 Exception
11.02 Force Majeure
11.02.01 No Default
11.02.02 Duty
11.02.03 Rights of Other PARTY
11.03 Relationship
11.03.01 Independent Contractors
11.03.02 No Control over Performance
11.03.03 No Authority to Bind
11.04 Further Assurances
11.05 Other Remedies
11.05.01 Choices
11.05.02 No Limitations
11.06 Prescription
12.00 GENERAL PROVISIONS
12.01 Notice
12.02 Dispute Resolution
12.02.01 Good Faith Negotiations
12.02.02 Mediation
12.02.03 Arbitration
12.03 Election
12.04 Counterparts
12.05 Amendment
12.06 Waiver of Rights
12.07 Electronic Transmission
12.08 Language
13.00 TERMINATION
13.01 Mutual Consent
13.02 Resolution
13.03 Resiliation
14.00 EFFECTIVE DATE
14.01 Retroactivity
14.02 Execution
14.03 Deferral
15.00 DURATION
15.01 Instantaneous
15.02 Survival
16.00 SCOPE


SCHEDULE A – EXCERPT FROM A RESOLUTION OF THE ASSIGNOR
SCHEDULE B – EXCERPT FROM A RESOLUTION OF THE ASSIGNEE
SCHEDULE 0.01.12 - INVENTION
SCHEDULE 0.01.15 – PATENT
SCHEDULE 0.01.18 – PRINCIPAL AGREEMENT
SCHEDULE 3.05 – PROMISSORY NOTE
SCHEDULE 4.03 – MOVABLE HYPOTHEC WITHOUT DELIVERY