Patent Cross-License Agreement
Agreement where two parties license patents to each other.
Detailed Explanation
A Patent Cross-License Agreement is a contract between two parties where each grants the other a license to their respective patent portfolios. This is common in high-tech industries (like semiconductors or telecommunications) where products are complex and likely to infringe on multiple patents. Cross-licensing prevents 'patent wars' and litigation, allowing both companies to innovate without fear of being sued by the other.