Licensing is a legal process that allows one party to use the intellectual property of another party, such as trademarks, patents, or copyrighted works. This agreement typically involves a fee or royalty payment, enabling the licensee to benefit from the licensor's established brand or innovation without having to create it from scratch. There are various types of licenses, including exclusive and non-exclusive licenses. An exclusive license grants the licensee sole rights to use the property, while a non-exclusive license allows multiple parties to use it. Licensing is common in industries like software, entertainment, and franchising.