The copyright licensing has been referred to as a personal right that cannot be transferred from the owner to any other person. However, the right can be transferred in certain circumstances, i.e., in cases where the owner can claim royalty from the works licensed to the third party. It has been referred to as the personal and the positive right which creates no form of personal obligation between the licensor and the licensee. There are two kinds of licenses granted to the owners of copyright namely exclusive license and non-exclusive license. The exclusive license has been referred to as a form of license which confers on the licenser or licensee and also persons authorized by him for the exclusion of all other persons any right comprised in the copyright in a work. The non-exclusive license has been referred to as the form of license, in which the owner of the copyright retains the right for granting licenses to more than one person for the purpose of exercising the rights by himself. Section 30 of the Copyright Act, 1957 briefly provides that the owner of the copyright in a work has the right for granted any interest in his copyright to any party by a license in form of a written agreement and that such a form of right can only exist when the copyrighted work comes into existence in future.

Compulsory Licensing has been referred to as the form of licensing in which the person is under a right for using the copyrighted work of the person without asking for any kind of authorization and permission from the actual owner of the copyrighted work. Compulsory licensing is granted in those conditions when the work has abstained from the public domain, in compliance with Section 31 and Section 32B of the copyright Act, 1957. The Appellate Board would only grant compulsory licenses by taking into consideration these parameters:

i. The work in question should have been published or performed in public,

ii. The owner of the copyright has refused in republishing the work in the public domain.

iii. The owner of the copyright has refused in allowing the communication of the work to the public by broadcasting.