Trademark License Agreement On
(B) Sole – Rights are granted to only one licensee, but not to the exclusion of the licensor. The definitions common to most contracts are also an important part of more complex trademark licensing agreements. In order to avoid confusion between the parties, it is important that the licensor clearly specifies what certain words or terms used in the agreement mean, in order to avoid confusion between the parties and to avoid potential conflicts in the event of a dispute. Clearly defined terms in an agreement are also important, because in the event of a dispute between the parties about the agreement, ambiguous terms may ultimately be left to a court, which can have a detrimental effect on the party conducting the dispute. Other important concepts are definitions, geographical scope, time limitation/duration of licences, royalties and general terms and conditions of the contract; and a trademark license agreement is a legal contract between a trademark owner and another party who has agreed to use the mark on pre-approved terms, established between the contracting parties. Insurance – This provision requires the licensee to take out insurance in order to protect the licensor from liability for claims against the licensee and possibly a failure by the licensee to fulfill its obligations under the license agreement. Goods or services, duration and territory – Identify the type of goods or services offered by the licensee under the trademark, the duration of the contract and the geographical area in which the marks are licensed. In addition to identifying goods or services, licensed uses are often indicated. For example, the agreement may state that the following uses are permitted: production, sale, promotion, distribution and/or advertising. In addition, the licensor may restrict or permit the following distribution channels, stationary retail, Internet sales, wholesale or retail trade or sale limited to certain transactions or categories of consumers. At the beginning of a business, companies should consider protecting their business name or brand in terms of brands and having branding strategies to save money and avoid potential costly conflicts in the future.
Read for a debate on branding strategies for small businesses. An experienced trademark lawyer can probably give a useful overview of trademark licensing conditions. Definitions – There is often a definition section (key terms are defined in the agreement). Choice of Law & Forum – Choice of law provisions are preferred because they provide some certainty as to the application of the license agreement. In addition, courts often impose the choice of jurisdiction clauses as long as the forum has a reasonable and logical relationship with the parties and the license. The law recognizes a number of ways to make companies and individuals responsible for creating or contributing to the infringement of an online liability other than brand liability. Overall, licensing agreements are widespread, but trademark owners should have the help of an experienced consultant to establish clearly defined licensing agreements that protect both the goodwill of the trademark to be used and the rights of the licensor. (C) Non-exclusive – rights may be granted to other third party licensors and the licensor may also use the trademark.
Finally, trademark licensing agreements have the same general provisions as those contained in commercial agreements, including, but not limited to: description of the parties; the intention of the parties that merged them into a legally binding treaty; if the contract creates other business relationships; the legislation in force; and, where applicable, exemption; limitation of liability; Warranties, etc. Remuneration – A common form of remuneration is a royalty based on the percentage of net turnover. . . .