Motion Picture Merchandising Agreement

Grant a distributor the right to manufacture, distribute and sell merchandise that portrays characters and events from a film with this Motion Picture Merchandising Agreement template.

The licensee (distributor) is given an exclusive license to manufacture, advertise, distribute and sell merchandise that incorporates names, characters, and visual representations included in the film, within a specified territory.
In return, the licensee will pay the licensor a guaranteed minimum compensation amount (a fixed amount paid as an advance against the percentage royalty), and a percentage royalty based on the current wholesale price of the licensed products.
The licensor must approve all products, packaging, labels, advertising, display materials and copyright notices to be used in connection with the licensed products.
The licensee agrees to protect the licensor’s property rights and goodwill, and acknowledges that all goodwill and all rights to the materials created by the licensee are the exclusive property of the licensor.
All licensed products must carry the licensor’s copyright and/or trademark notices (as applicable).
The licensee must carry standard product liability insurance and advertiser’s liability insurance during the term of the Agreement.
Upon termination of the Agreement, the licensee will have a 90-day period to dispose of all products already manufactured, so long as the Agreement was not terminated for cause.

This Motion Picture Merchandising Agreement template is available as a MS Word download, which is fully editable and customizable to fit your needs.