A Product Licensing Agreement is an agreement between two parties granting the licensee (the person who pays for the use of a product or service) the right to use, copy and modify that product. This agreement lays out the terms and conditions by which both parties agree to abide by in connection to the product provided or service rendered. The agreement outlines payments, warranties, trademarks, licensing fees, the jurisdiction in which disputes are to be resolved and any other information necessary to ensure that the licensor’s rights are not infringed upon. It is important to remember that in order for a contract to be enforced, both parties must adhere to it faithfully.