Benefits of Licensing Include

question 78

Multiple Choice

Benefits of licensing include:

• A)not very demanding on company resources.
• B)always protected against copying or technical theft.
• C)always a strong partner relationship.
• D)low profits, therefore, low taxes.
• E)licensee is always enthusiastic.

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Definitions:

Voting Agreement

A legal pact among shareholders to vote their shares in a certain manner.

Business Judgment Rule

A legal principle that protects company directors from liability for decisions made in good faith and in the interest of the company.

Good Faith

The honest intention to act without taking an unfair advantage over another party during the execution of deals, contracts, and transactions.

Ultra Vires Defense

A legal defense arguing that a corporation acted beyond the scope of its powers as defined in its charter or laws.