Principle Licence is an agreement whereby the owner of the copyright agrees to grant an interest nbs...........

Legal Concepts Legal Words

Principle: Licence is an agreement whereby the owner of the copyright agrees to grant an interest in the copyright to the licencee. Assignment is an agreement whereby the owner of the copyright transfers all the property rights to the assignee. Property right is a bundle of rights consisting of right to possess, right to use, right to alienate, and the right to exclude others.

Facts: A, an owner of copyright in a cinematographic film enters into an agreement with B, a film distributer. B agrees to distribute the film only in Mumbai. A also enters into many such agreements with other distributers for distribution of his film in other cities.

The agreement between A and B is more in the nature of assignment than in the nature of licence

The agreement between A and B is more in the nature of licence than in the nature of assignment

The agreement between A and B is both in the nature of assignment and licence

The agreement between A and B is neither in the nature of assignment nor in the nature of licence

Explanation:

Licence grants an “interest” whereas an assignment is of a more larger nature.
Here, only a limited right to distribute in a smaller territory is given, therefore,
it would be more in the nature of a licence than an assignment.