Domain registrar and Web hosting provider Web.com announced on Tuesday it has signed a non-exclusive license agreement with Hostopia that grants Hostopia rights to two of Web.com’s patents over five years.

The specific licensed patents are US Patent numbers 5,680,152 and 6,789,103 and broadly cover methods for Web site building and Web hosting control panels.

According to the license agreement, Hostopia will pay Web.com a royalty, based on a trailing run rate, equal to 10 percent of its gross US retail revenues for five years. The royalty will be paid in full at signing.

Web.com, formerly Interland, began efforts to enforce a number of hosting related patents when it sued Go Daddy in June.

Web.com CEO Jeffrey Stibel told theWHIR in January that the company was examining its options for “leveraging” its patent position. Those options evidently include both legal action and licensing deals.

Hostopia and Web.com have also entered a cross-license agreement where Web.com was granted rights to thousands of html and Flash Web site templates and a license to additional intellectual property in the future at no extra cost. The companies have also agreed to a mutual covenant not to sue for patent infringement.

“We approached Web.com to receive a license in order to enhance our award winning private label web hosting platform and maintain our retail Web hosting business,” said Colin Campbell, CEO of Hostopia in a press release. “Web.com helped build this industry and their patented technology has led to numerous hosting innovations. We are pleased that the two companies were able to create a mutually beneficial relationship.”