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Agreement for Non-Assertion of Intellectual Property Rights

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AGREEMENT FOR NON-ASSERTION OF INTELLECTUAL PROPERTY RIGHTS

This Agreement for Non-Assertion of Intellectual Property Rights (this "Agreement") has been entered into as of by and between the person or entity described in Appendix A hereto ("Participant"), the undersigned companies ("Core Participants"), those other persons or entities executing counterparts of the acknowledgment and signature page included herewith as Appendix A (together with Participant and the Core Participants, ("Participants") and ("Agent"). Participant hereby agrees as follows:

1. Purpose. The purpose of this Agreement is to implement, enhance and enforce an open industry standard as described in Exhibit A hereto (as may be changed from time to time in accordance with Section 10, the "Technical Standard").

2. License to Technical Standard. Each Participant is hereby granted a non-exclusive right and license to use the Technical Standard in accordance with this Agreement, including, without limitation, Exhibit A.

3. Non-Assertion. No Participant will assert any intellectual property right against any other Participant if and to the extent that the alleged infringement or claim of royalty results from the use by a Participant of the Technical Standard in accordance with Exhibit A.

4. Testing. Participant will submit to Agent for compliance testing five (5) fully functional prototypes of each revision of each product which will be held out as in compliance with the Technical Standard ("Product") and will correct any and all deficiencies detected in such compliance testing before applying the Compliance Trademark or commencing sales of such Product. Notwithstanding the preceding sentence, Participant will be solely responsible for the testing and compliance of its Products with the Technical Standard.

5. License to Compliance Trademark. Participant is hereby granted a non-exclusive, worldwide right and license to use the trademark described in Exhibit B (the "Compliance Trademark") in accordance with the trademark use guidelines also included in Exhibit B (as may be changed from time to time in accordance with Section 10, the "Trademark Guidelines").

5.1. Required Use. Participant will place conspicuously on any advertising for any Product, on the exterior of any Product packaging and on the exterior of any Product that is a self-encased hardware device the Compliance Trademark in compliance with the Trademark Guidelines.

5.2. Policing. Participant will immediately report to Agent in reasonable detail any infringement, misuse or abuse of the Compliance Trademark.

6. Annual Fee. Participant will pay to Agent on April 1 of each year during the term hereof the program fee described in the following schedule (as such schedule may be changed from time to time in accordance with Section 10, the "Fee Schedule"):

Participant's annual gross revenue in the preceding calendar year from the sale of personal computers, hardware components for personal computers and software for personal computers ("X") Annual Fee

X is less than or equal to $1 million

$1 million is less than X which is less than or equal to $10 million

$10 million is less than X which is less than or equal to $50 million

$50 million is less than X which is less than or equal to $100 million

$100 million is less than X which is less than or equal to $500 million

$500 million is less than X which is less than or equal to $1 billion

X is greater than $1 billion

6.1. Initial Proration. Upon execution of this Agreement, Participant will pay to Agent the annual fee determined according to the chart above, using X determined for the calendar year preceding the date of such execution and multiplied by a fraction, the numerator of which is the number of days from and including the execution date through and including March 31 next and the denominator of which is 365. This Section 6.1 will not apply if Participant executes this Agreement on March 1 through April 1 of any year, and in such event Participant will pay the entire annual fee as determined in accordance with the Fee Schedule upon executing this Agreement.

7. List of Program Participants. Participant will receive from Agent a current list of Participants shortly after executing this Agreement. Thereafter, a list of Participants will be mailed to Participant upon written request made to Agent.

8. Cooperation in Development of the Technical Standard. Participants will provide reasonable cooperation in further defining, refining and developing the Technical Standard.

9. No Collusion. No Participant will share with any other Participant, directly or indirectly, any future pricing information or plans with respect to Products. In no event will any Participant use its rights and obligations hereunder in restraint of trade or for the illegal maintenance of the price of any product or service.

10. Amendment. The Core Participants may agree from time to time to make corrective changes and enhancements to the Technical Standards and to the Trademark Guidelines; provided that, no such change will invalidate an error-free implementation of Technical Standards or Trademark Guidelines made prior to such change. The Core Participants may from time to time change the Fee Schedule; provided that, any such change will only be made to generate sufficient revenue for Agent to conduct those activities described herein. Any such changed Fee Schedule will apply to Participant's next payment hereunder.

11. Termination. This Agreement may be terminated by Participant for any reason upon thirty (30) days' prior written notice. This Agreement may be terminated by the Core Participants for any reason as between all Participants upon one hundred eighty (180) days prior written notice. All rights and obligations of Participant hereunder will terminate upon any termination of this Agreement; provided that no claim can be made by Participant any time after termination for infringement of intellectual property rights occurring during the term hereof.

12. Core Participants; Agent. Actions by the Core Participants hereunder may be made pursuant to such arrangements as the Core Participants may agree upon. This Agreement does not confer upon Participant any share in, or any right in the creation, operation, dissolution or termination of, Agent. Neither Agent nor any other Participant has assumed or will be deemed to have assumed any fiduciary responsibility for Participant's business operations, including, without limitation, Participant's success in complying with the Technical Standard or selling Product.

IN WITNESS WHEREOF, the Core Participants have executed this Agreement as of the date entered above.

[Signed]

Appendix A

(To Agreement for Non-Assertion of Intellectual Property Rights)

The undersigned Participant has indicated its agreement to comply with the attached Agreement for Non-Assertion of Intellectual Property Rights as of the Effective Date by the signature of its duly authorized officer.

Participant:

Signed:

Printed name:

Date:

Enter text✕

What the Agreement for Non-Assertion of Intellectual Property Rights Is

An Agreement for Non-Assertion of Intellectual Property Rights is a contract in which one party promises not to assert specified patents, copyrights, trademarks, or trade secrets against another party or identified users for defined activities. The agreement must clearly identify the covered intellectual property, the permitted uses, the parties, the effective date, the term, and any limitations. Organizations use these agreements to reduce litigation risk, enable interoperability or distribution, and facilitate product integrations or third-party implementations while preserving remedies for material breaches through contractual enforcement.

Why a Non-Assertion Agreement Matters for Your IP Strategy

A well-drafted non-assertion agreement reduces uncertainty, supports collaboration or distribution without formal licensing, and narrows litigation exposure when scope and duration are explicit.

Why a Non-Assertion Agreement Matters for Your IP Strategy

Who Typically Uses This Agreement

Typical users include corporate counsel, product and engineering teams, licensors, licensees, and maintainers of open-source projects seeking predictable use rights.

  • Technology companies negotiating interoperability, cross-licenses, or distribution arrangements with third parties.
  • Open-source maintainers offering patent non-assertion to encourage adoption and reduce contributor legal exposure.
  • Manufacturers and distributors needing freedom to operate across complex supply chains without individual licenses.

Use this agreement when you need a narrow promise not to sue rather than a full license, or to codify carve-outs during transactions.

Roles Who Should Review or Sign

Licensor General Counsel

In-house counsel for the IP-owning party who assesses scope, checks existing licenses, and ensures the promise does not inadvertently waive unrelated rights or create antitrust exposure.

Licensee Executive

Business or product leaders receiving non-assertion protection who verify commercial scope, duration, and operational requirements before accepting the contractual promise.

Essential Security and Compliance Considerations

Encryption: TLS 1.2/1.3 in transit; AES-256 at rest
Audit Trail: Complete signing logs and timestamps
HIPAA: BAA required for health information
Access Controls: Role-based signer permissions
Retention: Immutable signed record storage
Authentication: Email, SMS code, or stronger methods

Key Legal Risks and Consequences

Unintended Waiver: Scope too broad may forfeit rights
Estoppel: Statement may block later assertions
Antitrust Risk: Overly broad promises can invite scrutiny
Monetary Loss: Lost damages or reduced remedies
Third-Party Claims: May not bind unrelated IP owners
Ambiguity: Vague terms lead to litigation

Common Mistakes to Avoid When Drafting

  • Using overly broad language that covers unspecified future IP and effectively transfers rights unintentionally.
  • Failing to define the precise patents, copyrights, or other IP covered, which creates ambiguity in enforcement.
  • Omitting geographic, activity, or temporal limits so the promise extends beyond commercially intended scope.
  • Neglecting to address successors, assigns, and third-party beneficiaries, leaving enforceability unclear after a transfer.

Step-by-Step: Completing a Non-Assertion Agreement

Follow these steps to ensure the agreement is enforceable, narrowly tailored, and properly executed by authorized signatories.

  • 01
    Identify Parties: Enter full legal names and entity types for each contracting party.
  • 02
    Describe IP: List patents, copyrights, trademarks, or include a defined class with identifiers.
  • 03
    Define Scope: Specify activities, users, territory, and time period covered by the non-assertion.
  • 04
    Execute Properly: Have authorized signers sign, date, and follow notarization if required.

Where to Send or File the Signed Agreement

Decide routing based on transaction context: counterparties, corporate records, or regulatory filing needs.

  • Counterparty: Send executed copy to the other contracting party for their records.
  • Corporate Records: Store final signed version with corporate legal files or contract repository.
  • Transaction Folder: Attach to M&A, licensing, or product integration documentation.
  • Regulatory Use: Include with filings only if a regulator specifically requests agreement evidence.

Digital Workflow Settings for Executing the Agreement

Use consistent workflow settings to ensure authorized signing, auditability, and proper retention of the executed agreement.

Workflow Setting | Recommended Value Field | Value
Signer Order Simultaneous or sequential per negotiation needs
Authentication Method Email plus optional SMS code or ID verification
Retention Settings Retain signed PDF and audit trail indefinitely
Notifications Enable signer reminders and final-delivery copies

Digital Signing and Technical Considerations

Confirm file format, signer authentication, and secure storage before sending for signature.

  • File Formats: PDF, DOCX accepted; preserve original formatting
  • Integrations: Connect to repositories like Google Drive or NetSuite
  • Authentication: Use email, SMS, or stronger methods

Timelines and Key Deadlines to Track

Track effective dates, review windows, execution deadlines, and notice periods to preserve rights and obligations.

Effective Date:

Date when the agreement begins and obligations attach

Review Period:

Allow 7–14 days for legal review before signature

Signature Deadline:

Set a deadline to avoid stale offers or changed circumstances

Record Retention Start:

Retention begins on execution date for recordkeeping purposes

Notice Period for Assertions:

Specify any required notice prior to asserting new IP claims

Key Milestones from Draft to Recordkeeping

A sequential view helps coordinate negotiation, approval, and long-term storage for the agreement.

01

Drafting Complete

Finalize terms, definitions, and covered IP before circulation

02

Internal Approval

Legal and business sign-off completed prior to signature

03

Execution

Authorized parties sign and date the agreement

04

Archival

Store signed agreement and audit trail in contract repository

eSignature Vendor Pricing and Feature Snapshot

Compare basic pricing and a few high-level features for common eSignature vendors; signNow is listed first per reference data.

signNow DocuSign Adobe Sign PandaDoc HelloSign
Starting Price $8/user/mo $15/user/mo $14/user/mo $19/user/mo $15/user/mo
Free Trial 7-day trial Varies Varies Varies Varies
Bulk Send Yes Varies Varies Varies Varies
Audit Trail Yes Yes Yes Yes Yes
Envelope Cap No cap 100 envelopes/user/year Varies Varies Varies

Representative Use Cases

Realistic scenarios show how parties apply non-assertion promises to lower risk while enabling product or distribution activities.

SaaS Integration Project

A vendor grants non-assertion for specific API use

  • limits apply to named endpoints and integrations
  • the promise allowed a partner to ship integrated features quickly while preserving patent rights outside the defined APIs.

Medical Device Supply

A component maker agrees not to assert certain device patents against a manufacturer

  • scope tied to a defined design and timeframe
  • this enabled large-volume purchases without negotiating full patent licenses.

Best Practices for Drafting and Managing the Agreement

Adopt clear drafting, centralized storage, and review practices to reduce ambiguity and future disputes.

Be Precise in Definitions
Define covered IP, activities, users, territory, and timeframes clearly to avoid interpretive disputes and unintended waivers.
Limit Scope Purposefully
Narrow promises to the minimum needed for the business objective to preserve broader enforcement rights.
Record Authorization
Require board or authorized officer sign-off when promises affect significant IP portfolios to ensure organizational approval.
Archive Signed Copies
Store the executed agreement and audit trail in a secure contract repository with controlled access.

How This Agreement Differs from Similar Document Types

Compare common contract types to understand when a non-assertion agreement is preferable to alternatives such as licenses or covenants not to sue.

Document Type Non-Assertion Agreement License
Purpose promise not to sue grant of rights
Consideration Typically often minimal often monetary or royalties
Scope Control narrow, activity-specific can be broad, field-based
Enforceability Note contract-based contract-based with implied license effects

Frequently Asked Questions

Answers to common questions about enforceability, electronic execution, revocation, and practical drafting concerns for non-assertion agreements.


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