Licensing Audits from Licensees' Perspective

The audit clause is a necessary means for the licensor to protect its interests and to guard against unscrupulous licensees. But it is a mistake to think that the clause is there solely to prevent malfeasance.

9 minute read March 01, 2021 at 02:10 AM

David Schnider

Licensing Audits from Licensees' Perspective

Audit clauses are standard in almost every license agreement. They typically provide that the licensor has the right to review the licensee's records related to the sale of licensed products at least once a year.

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