diff --git a/installation/license-key.md b/installation/license-key.md
index 2aa392a861..083d7913f3 100644
--- a/installation/license-key.md
+++ b/installation/license-key.md
@@ -66,18 +66,18 @@ The new license key includes information about all previous purchases. This proc
 Telerik UI for Blazor may be used in a referenced project in a multi-project app, for example:
 
 * In the **Client** project of a Blazor Web App with **WebAssembly** or **Auto** render mode.
-* In a Razor class library project, which is used by a main web project.
+* In a Razor class library (RCL) project, which is used by another web or RCL project.
 
 In such cases, you may see a yellow banner in the browser, which says "We couldn't verify your license key for Telerik UI for Blazor. Please see the build log for details and resolution steps".
 
 There are two alternative ways to avoid the warning banner:
 
-* Set `PrivateAssets="none"` to the Telerik UI for Blazor NuGet package registration tag.
+* Set `PrivateAssets="none"` to the Telerik UI for Blazor NuGet package registration tag. This approach is applicable only if the main (startup) app project directly references the project that includes Telerik UI for Blazor.
   ````XML.skip-repl
   <PackageReference Include="Telerik.UI.for.Blazor" Version="{{site.uiForBlazorLatestVersion}}" PrivateAssets="none" />
   ````
 
-* Reference the `Telerik.Licensing` package explicitly in all projects that reference other projects with Telerik packages. You can use the same version that is referenced by the `Telerik.UI.for.Blazor` NuGet package, or a newer version.
+* Reference the `Telerik.Licensing` NuGet package explicitly in the main (startup) app project. This approach is required if you are using Telerik UI for Blazor in a project hierarchy with more than two levels. For example, the main (startup) app project A references a Razor Class Library (RCL) project B, which references RCL project C that includes Telerik UI for Blazor. You can use the same `Telerik.Licensing` version that is referenced by `Telerik.UI.for.Blazor`, or a newer version.
   ````XML.skip-repl
   <ItemGroup>
     <PackageReference Include="Telerik.Licensing" Version="*" />