diff --git a/tests/LAPluginTestCase.py b/tests/LAPluginTestCase.py
new file mode 100644
index 0000000..2f36d9d
--- /dev/null
+++ b/tests/LAPluginTestCase.py
@@ -0,0 +1,82 @@
+#
+# LAPluginTestCase.py -  Test cases for License Checker plugin, part of ISA FW
+#
+# Copyright (c) 2015, Intel Corporation
+#
+# Redistribution and use in source and binary forms, with or without
+# modification, are permitted provided that the following conditions are met:
+#
+#    * Redistributions of source code must retain the above copyright notice,
+#      this list of conditions and the following disclaimer.
+#    * Redistributions in binary form must reproduce the above copyright
+#      notice, this list of conditions and the following disclaimer in the
+#      documentation and/or other materials provided with the distribution.
+#    * Neither the name of Intel Corporation nor the names of its contributors
+#      may be used to endorse or promote products derived from this software
+#      without specific prior written permission.
+#
+# THIS SOFTWARE IS PROVIDED BY THE COPYRIGHT HOLDERS AND CONTRIBUTORS "AS IS"
+# AND ANY EXPRESS OR IMPLIED WARRANTIES, INCLUDING, BUT NOT LIMITED TO, THE
+# IMPLIED WARRANTIES OF MERCHANTABILITY AND FITNESS FOR A PARTICULAR PURPOSE ARE
+# DISCLAIMED. IN NO EVENT SHALL THE COPYRIGHT OWNER OR CONTRIBUTORS BE LIABLE
+# FOR ANY DIRECT, INDIRECT, INCIDENTAL, SPECIAL, EXEMPLARY, OR CONSEQUENTIAL
+# DAMAGES (INCLUDING, BUT NOT LIMITED TO, PROCUREMENT OF SUBSTITUTE GOODS OR
+# SERVICES; LOSS OF USE, DATA, OR PROFITS; OR BUSINESS INTERRUPTION) HOWEVER
+# CAUSED AND ON ANY THEORY OF LIABILITY, WHETHER IN CONTRACT, STRICT LIABILITY,
+# OR TORT (INCLUDING NEGLIGENCE OR OTHERWISE) ARISING IN ANY WAY OUT OF THE USE
+# OF THIS SOFTWARE, EVEN IF ADVISED OF THE POSSIBILITY OF SUCH DAMAGE
+
+import unittest
+import sys
+sys.path.append("../isafw") 
+import isafw
+import shutil
+import os
+
+
+reportdir = "./la_plugin/output"
+
+class TestLAPlugin(unittest.TestCase):
+
+    def setUp(self):
+        # cleaning up the report dir and creating it if needed
+        if os.path.exists(os.path.dirname(reportdir+"/internal/test")):
+            shutil.rmtree(reportdir)
+        os.makedirs(os.path.dirname(reportdir+"/internal/test"))
+        # fetching proxy info
+        proxy = ""
+        if "http_proxy" in os.environ:
+            proxy = os.environ['http_proxy']
+        if "https_proxy" in os.environ:
+            proxy = os.environ['https_proxy']
+        # creating ISA FW class
+        self.imageSecurityAnalyser = isafw.ISA(proxy, reportdir)
+
+    def test_package_with_licenses_OK(self):
+        pkg = isafw.ISA_package()
+        pkg.name = "bash"
+        pkg.version = "4.3"
+	pkg.licenses = ["Apache-1.1"]
+        self.imageSecurityAnalyser.process_package(pkg)
+        badLicExist = os.path.isfile (reportdir + "/license_report")	
+	# if no bad licenses exist no report is created        
+	self.assertFalse(badLicExist)
+
+    def test_package_with_licenses_NotOK(self):
+        pkg = isafw.ISA_package()
+        pkg.name = "bash"
+        pkg.version = "4.3"
+	pkg.licenses = ["BadLicense-1.1"]
+	self.imageSecurityAnalyser.process_package(pkg)		
+	with open(reportdir + "/license_report", 'r') as freport:
+            output = freport.readline()
+	    print(output)
+	# if bad licenses exist a report listing them is created
+        self.assertEqual(output, 
+                        "bash: BadLicense-1.1\n",
+                        'Output does not match')  
+
+
+if __name__ == '__main__':
+    unittest.main()
+