Lessons Around Video Game Licensing

Posted by in Business & Entrepreneurship, Online & Digital

Video game licensing is an essential component in both distribution and sale of video games. The most important and first step in the licensing procedure is a copyright which dictates the ownership of the video game. A valid license is always given after it is confirmed that you have all the rights to own and distribute a particular product. The licenses are executed in a manner that puts into consideration the rights of the developer to ensure that they are not violated. Copyright is a strategy that is used by video game companies and other independent developers to safeguard their intellectual property. This also prevents misuse of the products by other people involving illegal business. Good to deal with original video games which are not duplicates of other people’s work. This will ensure that the application is approved by the copyright office (“Video Game Licensing Lawyer | Video Game Licensing & Intellectual Property Lawyer“, 2016).

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You are then required to look for a competent agent to help you prepare and file an application with the Copyright Office. Successful registration is what makes your copyright a valid one which can then be made public. To makes sure that you get the best contract, it important that you make use of firms and lawyers who have a long-time experience in matters related to intellectual property and licensing issues.

The license has a structure that comprises of key business points such the specific scope of the license (length of term, territory, platform), development milestones (timing and required components), IP ownership (who owns what, especially after the term), game data ownership, royalty rate, minimum guarantee, license fee, financial audit rights, marketing rights and obligations, rights of first refusal and other preemptive rights, and operational SLAs (online games).

Good terms in a license are not always about money, but it is dependent on adherence to the provisions of the laws created by the copyright authority. A slight deviation from the copyright laws is enough to make the entire application unsuccessful. Some of the applications which have failed in the past are determined to lack sufficient details that describe specific rights of ownership and violation of other people rights. This makes application incomplete, and this automatically makes the copyright authority to drop it.

Recommended Reading
  1. Video Game Licensing Lawyer | Video Game Licensing & Intellectual Property Lawyer. (2016). Gandb.com. Retrieved 1 September 2016.