Creative
Royalty Agreement
Licensing arrangement providing ongoing payments to intellectual property owners based on sales, usage, or performance of licensed content, technology, or creative works.
Key Clauses
1
Licensed Property
Identifies the intellectual property subject to royalty payments.
2
Royalty Rate
Specifies percentage or per-unit royalty rates and calculation methodology.
3
Minimum Guarantees
Sets minimum royalty payments regardless of actual usage or sales.
4
Reporting Periods
Establishes accounting periods, statement deadlines, and payment schedules.
5
Audit Rights
Grants the licensor the right to audit licensee records to verify payments.
Use This Template
When You Need This
- Licensing intellectual property and establishing ongoing royalty payments
- Authors, musicians, or inventors earning royalties from commercial use of their work
- Structuring minimum guarantee payments for IP licensing deals
- Establishing audit rights to ensure accurate royalty calculations