Life Sciences Collaboration & Licensing Agreements in Bangladesh

by Barrister Tahmidur Rahman | Oct 15, 2026

Technology, IP & DataPartnerships that move products forward9 min read

Life Sciences Collaboration & Licensing Agreements in Bangladesh

Life sciences collaboration and licensing agreements for Bangladeshi pharmaceutical manufacturers, foreign innovators, biotech companies, diagnostics businesses and investors: we structure research, in-licensing, technology transfer, manufacturing and commercialisation deals that protect intellectual property and work under Bangladesh's regulatory and foreign exchange rules.

Overview

How we structure life sciences deals in Bangladesh

Bangladesh has one of the largest pharmaceutical manufacturing bases among developing economies, supplying most domestic demand and exporting to many markets. That makes the country an active participant in life sciences collaborations: foreign innovators license products to local manufacturers, Bangladeshi companies in-license technology to move into biologics, vaccines or complex generics, and research partners co-develop formulations and diagnostics. Each deal turns on how rights, know-how, regulatory files and revenue are divided. We draft and negotiate these agreements as part of our technology and IP practice in Bangladesh, with a clear focus on what each party contributes and receives.

IP is the foundation of every life sciences agreement. The Patent Act 2023 modernised Bangladesh's patent regime, alongside the Trademarks Act 2009 and the Industrial Design Act 2023, administered by the Department of Patents, Designs and Trademarks. Pharmaceutical patent protection has also been shaped by the transition rules available to least developed countries under the WTO TRIPS Agreement, and the position is changing as Bangladesh moves through LDC graduation. A licence or collaboration should therefore be clear about which patents, applications, trade marks, data and know-how are covered, in which territory, and what happens if protection changes during the term.

Regulatory rights matter as much as patents. A product cannot be sold in Bangladesh without registration with the Directorate General of Drug Administration under the Drugs and Cosmetics Act 2023 and related rules, and manufacturing sites must hold the necessary licences and meet good manufacturing practice standards. Agreements must state who holds the marketing authorisation, who owns the dossier, who handles pharmacovigilance and who manages recalls and price approvals. For export-focused deals, the parties also need clarity on registrations in other markets and on which party controls submissions to foreign regulators and the data generated through them.

Commercial structures vary widely. Some life sciences deals are pure licences with upfront payments, milestones and royalties; others are co-development collaborations with joint steering committees, shared budgets and options; others combine technology transfer with contract manufacturing or supply. Payments abroad must work within Bangladesh's foreign exchange rules and tax withholding, and royalty and technical fee remittances may need documentation or approvals. We coordinate with our life sciences regulatory team and tax advisers so the agreed economics can actually be paid and recorded properly. We also plan how payments are documented.

Governance and exit often decide whether a collaboration succeeds. Joint committees need clear decision rules and deadlock procedures, and the agreement must say who owns improvements, how data is shared and what happens to product rights and supply if a party is acquired, misses milestones or wants to leave. Barrister Tahmidur Rahman leads our life sciences transaction work, drawing on investment and finance experience, and Barrister Remura Meheruba Mahbub advises on cross-border structuring and arbitration clauses. We work with counsel in the UK, US, UAE, Singapore, China and India, which are frequent partner jurisdictions for Bangladeshi manufacturers.

01 · What we handle

Core workstreams

  • Collaboration scope and contributions
  • Licences, options and commercialisation
  • Background IP, results and improvements
  • Technology transfer and manufacturing
02 · How it runs

Four clear stages

  1. 01Understand the assets
  2. 02Agree the term sheet
  3. 03Draft the agreement suite
  4. 04Manage the relationship
03 · Start here

Talk to a partner

Consultations in Dhaka or by video. Scope, team and fees are agreed in writing first.

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How we help

What our life sciences agreement work covers

Workstream 01Technology, IP & Data

Collaboration scope and contributions

  • Understand the assets
  • Agree the term sheet
  • Draft the agreement suite
  • Manage the relationship
Workstream 02Technology, IP & Data

Licences, options and commercialisation

  • Understand the assets
  • Agree the term sheet
  • Draft the agreement suite
  • Manage the relationship
Workstream 03Technology, IP & Data

Background IP, results and improvements

  • Understand the assets
  • Agree the term sheet
  • Draft the agreement suite
  • Manage the relationship
Workstream 04Technology, IP & Data

Technology transfer and manufacturing

  • Understand the assets
  • Agree the term sheet
  • Draft the agreement suite
  • Manage the relationship
Workstream 05Technology, IP & Data

Regulatory files and pharmacovigilance

  • Understand the assets
  • Agree the term sheet
  • Draft the agreement suite
  • Manage the relationship
Workstream 06Technology, IP & Data

Governance, disputes and separation

  • Understand the assets
  • Agree the term sheet
  • Draft the agreement suite
  • Manage the relationship
01

Collaboration scope and contributions

We define the purpose, field, territory and phases of the collaboration, and record what each party contributes: compounds, cell lines, formulations, know-how, data, facilities, staff and funding. A clear contribution map reduces later arguments over ownership and costs, and helps both sides explain the collaboration to boards, investors and regulators in Bangladesh and abroad when approvals or funding are needed. We record these in a schedule.

02

Licences, options and commercialisation

We draft exclusive and non-exclusive licences, sublicensing rights, options to license future products, co-promotion and distribution terms. We cover upfront fees, milestones, royalties, royalty stacking, minimum sales and audit rights, and align the structure with tax and foreign exchange requirements so that payments to a foreign licensor or from a foreign licensee can be made lawfully and on time. Each payment trigger is clearly defined.

03

Background IP, results and improvements

We separate each party's background IP from project results and improvements, and set rules on ownership, joint inventions, patent prosecution and maintenance, enforcement against infringers and defence of challenges. For life sciences collaborations involving biological materials or genetic resources, we also address material transfer terms and any access and benefit-sharing requirements that apply in Bangladesh. Patent strategy is agreed early.

04

Technology transfer and manufacturing

We structure technology transfer packages, training, validation batches and site qualification, and draft contract manufacturing, toll manufacturing and supply agreements with quality agreements attached. We cover forecasts, capacity reservation, pricing, active ingredient sourcing, batch release, specification changes, supply failure remedies and the regulatory steps needed to add or change a manufacturing site for the product. Each life sciences transfer stage has clear acceptance criteria.

05

Regulatory files and pharmacovigilance

We allocate ownership and use of dossiers, clinical and stability data, and marketing authorisations, and set responsibilities for DGDA filings, variations, renewals, pricing, safety reporting and recalls. We also address export registrations and the cooperation needed when a regulator inspects a site or raises questions, so obligations are clear before a product is launched in any market. Responsibilities are set out in a life sciences compliance matrix.

06

Governance, disputes and separation

We design steering committees, decision rights, escalation and deadlock mechanisms, and draft change-of-control, termination and transition provisions. These cover reversion of licensed rights, transfer of regulatory files, sell-off periods, continuity of supply for patients and treatment of jointly owned IP, together with governing law and arbitration clauses suited to the parties' home jurisdictions and enforcement needs. Exit plans protect patient supply. Wind-down timelines should leave enough time for regulatory transfers and uninterrupted supply.

RecognitionThe Legal 500Asia Pacific ranks Tahmidur Remura Wahid (TRW) Law Firm for dispute resolution in Bangladesh.
Cross-border reach6 jurisdictionsMatters coordinated with counsel in the UK, US, UAE, China, India and Singapore.
Bar and admissionsDhaka and LondonBarristers and advocates in Bangladesh, with a solicitor of England and Wales (non-practising).
HeadquartersDhakaHouse 410, Road 29, Mohakhali DOHS. Consultations in person or by video.
Who leads this work

Partner-led, on every matter.

Technology, IP & Data matters at TRW are led by partners, supported by associates, with one responsible lawyer from first advice to final outcome.

Meet the firm →
01

Is a life sciences collaboration agreement the same as a licence?

Not quite. A licence grants permission to use defined intellectual property, data or know-how, usually in return for payments. A collaboration agreement governs joint work, such as research, development or clinical studies, with shared governance, budgets and outputs. Many life sciences deals combine both: the parties collaborate during development and then one party receives a licence to commercialise. The documents should be drafted together so that ownership of results, licence scope and payment triggers fit with each other. We help clients choose and structure the right combination for their goals and stage.

02

How do Bangladesh's patent rules affect pharmaceutical licensing deals?

The Patent Act 2023 governs patent protection in Bangladesh, and pharmaceutical patents have historically been affected by the TRIPS transition period for least developed countries. As Bangladesh moves through LDC graduation, the protection available for pharmaceutical inventions and the value of licences may change. Licence agreements should identify the relevant patents and applications, address what happens if protection is granted, refused or challenged, and allow royalty adjustments where appropriate. We review the patent position and draft provisions that remain workable as the legal landscape changes over the term of the licence. Royalty review clauses are common in life sciences licences.

03

Who should hold the marketing authorisation for a licensed product?

It depends on the commercial model. A local manufacturer that in-licenses a product usually holds the DGDA registration in its own name, while a foreign company distributing through a local partner may want registrations held in a way that lets them move if the relationship ends. The agreement should state who owns the dossier, who files variations and renewals, who handles pharmacovigilance and how the registration is transferred or withdrawn on termination. We advise on the structure that best protects each party's investment while meeting DGDA requirements for life sciences products in Bangladesh. Registration transfer terms should be tested early.

04

Can royalties be paid from Bangladesh to a foreign licensor?

Yes, but royalty and technical fee remittances must comply with Bangladesh's foreign exchange rules, documentation requirements and tax withholding, and some arrangements may need registration or approval. The agreement, invoices and supporting documents should be prepared in a form that the remitting bank will accept. We structure payment terms, tax gross-up provisions and supporting documentation, and coordinate with tax advisers, so that royalties under a life sciences licence can be paid on schedule. Where approvals are needed, we advise on timing and build conditions into the agreement so neither party is left in breach. Records help in tax audits.

05

What should be agreed before sharing biological materials or know-how?

Before any material or know-how changes hands, the parties should sign a confidentiality agreement and, for biological materials, a material transfer agreement that defines permitted uses, restrictions on reverse engineering or transfer to others, ownership of results and return or destruction. Where genetic resources or traditional knowledge from Bangladesh are involved, access and benefit-sharing rules may apply. We draft these early-stage documents so they protect each party without blocking the later collaboration or licence, and so that any rights granted early are consistent with the main life sciences agreement. Early documents often bind the later deal.

06

How are improvements and new inventions handled in a collaboration?

The agreement should define improvements and set rules on who owns inventions made by one party, the other party or both. Common approaches include ownership following inventorship, ownership by the party controlling the underlying product, or joint ownership with licences back. Each affects patent filing, enforcement and commercialisation. We draft invention disclosure, filing and cost-sharing procedures so that life sciences collaborations do not end with disputed ownership. We also address employee and consultant inventions, since ownership depends on contracts with the inventors. Contracts should also require prompt reporting of new inventions so that filing deadlines are not missed.

07

What happens to supply if a licensing partner is acquired?

Without specific provisions, a change of control can leave the other party with an unwilling or competing partner. Agreements often include change-of-control notice requirements, termination rights, restrictions on assignment and protection for continuity of supply. Where patients depend on a product, transition provisions are particularly important. We draft change-of-control and transition clauses that protect the licensed business and the patients relying on it, while preserving flexibility for the parties to pursue mergers, acquisitions or investment. Merger control under the Competition Act 2012 may also need to be considered for larger transactions. Early planning protects both parties and patients.

08

How are disputes in life sciences collaborations usually resolved?

Most cross-border agreements provide for escalation to senior executives, expert determination for technical or accounting questions and international arbitration for wider disputes. Seats such as Singapore or London are common, and awards can be enforced in Bangladesh under the Arbitration Act 2001. Domestic deals may use Dhaka arbitration or the courts, including under the Commercial Courts Act 2026. We advise on dispute clauses at the drafting stage and, through our dispute resolution practice, on interim relief to protect confidential information, materials and regulatory files. Clear clauses keep the relationship workable.

How a matter runs

From first call to resolution.

  1. 01

    Understand the assets

    We review the patents, data, regulatory files, know-how and facilities each party brings, and identify Bangladesh-specific issues on registration, manufacturing, remittance and IP protection before the life sciences deal structure is agreed. We also review existing agreements.

  2. 02

    Agree the term sheet

    We help the parties agree scope, territory, exclusivity, governance, economics, regulatory responsibilities and exit principles in a term sheet, so detailed drafting starts from a shared understanding and avoids repeated renegotiation. Key risks are flagged early. Commercial priorities are agreed first.

  3. 03

    Draft the agreement suite

    We prepare the collaboration, licence, technology transfer, supply and quality agreements, coordinating with regulatory, tax and foreign counsel so that each document is consistent and workable in every relevant jurisdiction. Each life sciences document has one responsible lead.

  4. 04

    Manage the relationship

    We support committee governance, milestone disputes, amendments, new territories and products, and transition on termination, keeping the life sciences documentation aligned with the collaboration as it develops over time. Periodic reviews keep terms current. We also handle renewals and extensions.

“Demonstrates an extraordinary command over both domestic litigation and international arbitration.”

The Legal 500 Asia Pacific, Bangladesh: Dispute resolution, client feedback

FAQ

Questions, answered.

Still unsure? Email info@trw.co with a short outline of the matter.

What types of life sciences agreements does TRW advise on?
We advise on research and co-development collaborations, patent and know-how licences, options, technology transfer, contract manufacturing and supply, distribution and co-promotion, material transfer and confidentiality agreements. We act for Bangladeshi pharmaceutical manufacturers, foreign innovators and generic companies, diagnostics and medical device businesses, research institutions and investors. We also advise on the regulatory, IP and foreign exchange issues that sit behind these agreements in Bangladesh. We act for both licensors and licensees, subject to conflict checks, and tailor our advice to the commercial stage of each project and the parties involved.
Can a foreign company license a product to a Bangladeshi manufacturer?
Yes. This is a common model, often combined with technology transfer so the local manufacturer can produce the product under its own licences and DGDA registration. The agreement should cover the licensed rights, quality standards, regulatory responsibilities, royalties and remittance, confidentiality, and what happens to registrations and stock on termination. We advise both licensors and licensees on these arrangements and on the approvals they may require. We also advise on pricing, labelling and stock transfer arrangements, which often cause friction in life sciences relationships at the end of the term.
Do life sciences licences need to be registered in Bangladesh?
Certain licences of registered rights, such as patents and trade marks, may need to be recorded with the Department of Patents, Designs and Trademarks to be fully effective against third parties, and royalty arrangements may need supporting documentation for remittances. Requirements depend on the rights involved. We advise on registration and recording steps and include obligations in the agreement for the parties to complete them. Unrecorded licences can create problems in enforcement actions and in remittance documentation, so we recommend addressing them during signing rather than afterwards.
What is a quality agreement and why is it needed?
A quality agreement sets out the respective good manufacturing practice responsibilities of the product owner and the manufacturer, including specifications, testing, batch release, deviations, complaints, recalls and audits. Regulators expect such agreements for outsourced manufacturing. It sits alongside the commercial supply agreement, and the two must be consistent. We draft or review quality agreements together with the supply terms so responsibilities do not conflict. Quality agreements should be reviewed whenever specifications, sites or regulatory requirements change, and we include change control procedures for that purpose.
How does LDC graduation affect life sciences businesses in Bangladesh?
LDC graduation is expected to change Bangladesh's position under the TRIPS Agreement and could affect pharmaceutical patent protection, export preferences and pricing over time. The precise impact depends on transitional arrangements and policy decisions. Businesses entering long-term licences should include review and adjustment mechanisms so the agreement can respond to these changes without a breakdown in the relationship. We monitor developments and help life sciences clients assess how proposed changes may affect their existing and planned licences, supply deals and export plans.
Can a life sciences collaboration include exclusivity?
Yes, exclusivity is common, particularly for territories or fields. It should be balanced with diligence obligations, such as development milestones or minimum sales, so the licensor is not locked into an inactive partner. Wide exclusivity or non-compete terms may also raise questions under the Competition Act 2012. We draft exclusivity with clear performance conditions and remedies, including conversion to non-exclusive rights. Exclusivity periods should also be linked to regulatory approval timelines, so the licensee is not penalised for delays caused by regulators rather than its own conduct.
What due diligence should be done before signing a licence?
The licensee should check ownership, validity and scope of the patents and other rights, existing licences and encumbrances, regulatory status, any disputes and the licensor's ability to transfer know-how. The licensor should check the licensee's manufacturing capability, regulatory record and financial standing. We carry out legal due diligence in Bangladesh and coordinate with foreign counsel on rights held abroad. Findings are reported by risk level, so the parties can address key issues through price, warranties, indemnities or conditions before signing.
How can we start a life sciences project with TRW?
Send us a short description of the proposed deal, the parties and any draft term sheet or template. We will identify the key legal issues, the documents needed and an estimated timetable, and agree a scope of work with you. Early advice usually saves time and cost once negotiation with the counterparty begins in earnest. You can contact our Dhaka office by phone or email to arrange an initial discussion.

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