Beware Off-the-Shelf IP License Agreements For NFTs

As Lowenstein Sandler attorneys Leah Satlin and Matt Savare explain, conventional IP license terms do not always fit the bill when it comes to NFTs. In this article, they highlight several of the most important clauses to address to ensure your NFT license isn't trying to fit a square peg in a round role.

Much has been written about the bourgeoning popularity of NFTs (non-fungible tokens) and the opportunities they present to brands and creators. NFTs can offer an interesting new way to leverage a brand's intellectual property portfolio and can open creators and artists up to a whole new pool of collectors. Out of these new opportunities an important legal issue concerning the intellectual property underlying the asset associated with the NFT has also arisen: what rights should be granted to the NFT purchaser in such IP, if any at all? To answer this question, we must first distinguish between the ownership of the NFT - the unique token on the blockchain - and the