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Licensing Trade Secrets: Overview and Sample Agreements

Business Valuation Resources, March 2011, Pages: 224


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Trade secrets are certainly a consideration in every technology license. It has been estimated that the addition of trade secrets to a patent license in technology can increase the value of the license up to three to ten times.

This book discusses and provides an overview of what constitutes a trade secret and how they affect value. This overview is followed by examples of several different kinds of real agreements (technology, management, joint venture, etc.) that license trade secrets in one way or another. By reviewing the actual agreements, readers will learn how companies characterize and monetize their trade secrets. Specific attention should be paid to the language used, the enhancements to the economic value of the license the trade secrets add, the industries where this is a common practice, and the actual royalty rates.



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