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Distribution Agreements and Current Industry Trends for the ...

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Holdback Periods against Distributor<br />

• Undertaking in relation to certain categories of Rights<br />

not to permit <strong>the</strong> exploitation of <strong>the</strong> relevant Rights in<br />

<strong>the</strong> applicable medium during <strong>the</strong> relevant Holdback<br />

Period<br />

• Of course <strong>the</strong> distributor does not want any<br />

holdbacks <strong>and</strong>, at most, <strong>the</strong>y should only be as “per<br />

industry st<strong>and</strong>ard” in <strong>the</strong> relevant territory. If you<br />

have to agree a holdback <strong>the</strong>n <strong>the</strong>re should be a<br />

specific end date <strong>for</strong> <strong>the</strong> holdback. Eg If <strong>the</strong>re is a<br />

<strong>the</strong>atrical holdback until release in Licensor’s<br />

country <strong>the</strong>n <strong>the</strong>re should be a proviso: if <strong>the</strong>y have<br />

not released [x] months after full payment of <strong>the</strong> MG<br />

<strong>the</strong>n Distributor should be allowed to release.

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