Question

The management of Vimonland Theme Park sells the proprietary rights of all the park rides to an investment company to operate one of its franchise in a foreign country. The investment company gains most of the profits from the newly established theme park while paying the management of Vimonland Theme Park a percentage of its revenue as royalties. In this case, Vimonland Theme Park is a ____.

a. Licensor
b. Buyer for export
c. Contract manufacturer
d. Licensee

Answer 1

The correct option is A

Step-by-step explanation:

Licensor is the company or a person, which has exclusive legal rights over a thing and it gives or offers the person or company to sell or surrenders to another, for a limited right to use the thing.

The person is who is benefiting or getting advantage from grant will be known as the licensee and the legal term for this is license.

In this scenario, the theme park is the licensor as the park sells the legal rights to an investment company.