Rights agreements are used in different situations in order to protect the rights of a certain firm or individual. There can be patent rights agreements, where the intellectual property rights of the owner of the patent is protected. The agreement lays down the various terms and conditions under which the patent will be applicable, the geographical area and term till which the individual will be protected from others trying to make or sell the product or idea. Marketing rights agreements are also this type of agreement where one firm gets the exclusive or non-exclusive right to market a product created by a manufacturer.
Rights agreement may also refer to shareholder’s rights agreement which describes the rights and responsibilities of shareholders in a particular company, especially when the firm goes public and has more than one owner. It lays down terms under which the shareholder can buy or sell the company’s shares in order to prevent any conflicts in the future.
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Sample Rights Agreement
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