Trade Mark Licensing
Intellectual property, such as, a trademark can form a significant asset of a business and be a key element of product or service branding.
A registered trademark owner may also license a trademark for others to use. An example of this is where a Franchisor licenses its trademark to Franchisees so that Franchisees can operate a franchised business and leverage off the Franchisor's brand and IP rights.
Another situation may be where an inventor authorises a distributor to sell the inventor's products to consumers under licence using the inventor's trademark.
In any IP licensing arrangement, such as that involving a trademark, it is important to ensure the Trade Mark Licence Agreement contains the key terms and conditions around that arrangement. For instance:
clearly specifying the trade marks covered by the licence
checking if the trade marks are registered or unregistered
verifying the Licensor is the owner of the trade marks being licensed
whether the IP rights being granted are on an exclusive or non-exclusive basis
clarifying what Licence Fee or royalties are payable
is the licence granted to manufacture and/or sell specified products
what is the Term of the licence
what is the Territory or area covered by the licence
what are the events of default and how the licence can by terminated
It is important when dealing with licensing of trade marks or IP rights generally to make sure the terms and conditions of the licence agreement reflect what the parties and the situation requires.
Contact Greyson Legal | Trademark Lawyers for further details on how we can assist you.