An IP Transfer Agreement is an agreement between an individual/ corporation transferring its intellectual property (IP) to another individual or corporation.

The difference between licensing and assignment of IP is that in licensing relations the right to use the IP is temporarily transferred to the licensee, often giving the licensor the right to continue to exploit the same IP in a different field of use or territory. Under negotiated conditions a licensing agreement can be terminated and all rights transferred back to the licensor. On the other hand, an assignment of IP rights has definitive effect, like selling tangible assets, thus the former owner will be permanently divested of the ownership.

There are various formal and informal channels through which knowledge may be transferred. Among the most frequently-used formal means of knowledge transfer are- licensing,assignments,collaboration contracts,material transfer agreements,sponsored research agreements,consultancy agreements,franchising and establishment of spin-off and start-up companies.

The assignment of intellectual property rights can be made as a separate transaction of intangible assets, or it may occur as part of much larger acquisitions of assets such as sales of business assets, mergers or stock purchases. However, ownership of intangible assets is not affected by the mere acquisition of shares in a company.

Assignments should not be confused with other legal instruments, such as licence agreements and assignments of contractual rights and obligations.

There are many benefits of IP assignment like, you get immediate cash flow return, payments for assignments usually take the form of a once-off lump sum payment, contrary to a licence agreement. There is no further responsibility for the management of the IP title, including the payment of fees or the monitoring of infringements.