Licensing your intellectual property to third party manufacturers, distributors, and marketers can be a lucrative business strategy for trademark owners. A trademark license establishes a continuing business relationship between the trademark owner, known as the licensor, and a third party licensee, in which the licensee may use the trademark on a product or service in return for a fee. Essentially, by licensing your trademark, a licensor can collect on the rights that he or she has spent the time, money, and effort to secure. Reaching an equitable licensing agreement however, can be complex and so it is in a trademark owner’s best interests to consult with an experienced intellectual property attorney before entering into a business agreement with another party.
At Mandour & Associates, APC, our knowledgeable trademark lawyers can provide the in-depth and responsive legal guidance you need to protect your property every step of the way, from searching and registering a trademark to licensing your trademark to a third party. Not only will we negotiate the terms, conditions, and royalties for a trademark license, but we will also see that your license agreement is enforced.
Understanding the Trademark License Agreement
A formal written trademark license agreement is crucial for protecting your rights against infringement, either by the third party licensee or another party that uses your trademark without permission. The terms and provisions included in the agreement will give the licensor legal right to enforce control over the trademark. Important provisions for a sound license agreement include:
- Quality Control – The nature and quality of the products or services that the trademark may be used in relation to as well as the licensor’s oversight of the usage.
- Trademark Usage – The manner in which the trademark will be used with the products or services.
- Royalty – The explicit amount that the licensee will pay for use of the trademark, as well as the schedule of payments and method for calculating the amount.
- Exclusivity – Whether the trademark license is exclusive or non-exclusive.
- License Term – A fixed term for the license and conditions for renewing or terminating the license.
- Geographic Scope – The area in which the trademark may be used by the licensee.
With our extensive experience handling a variety of trademark licensing matters, Mandour & Associates, APC can anticipate potential threats to your trademark rights and negotiate important provisions in your license to prevent such legal challenges in the future.
In many cases, a trademark license agreement is not enough to ensure that the licensor’s rights are protected. As a trademark owner, it is your duty to monitor and enforce the terms of your license with a third party as well as infringement from outside parties. The intellectual property attorneys at Mandour & Associates, APC can handle any adversarial matters that may arise regarding your trademark and will aggressively enforce your rights on your behalf.
Contact Mandour & Associates, APC Today
At Mandour & Associates, APC, we understand how valuable your trademark is to your business and future, and we strongly believe in protecting our clients’ intellectual property in the most cost-efficient manner. Contact us for a complimentary consultation about your legal rights and our services.