The duration and right to terminate the terms of a trademark licensing agreement are also important, as they give the licensee the opportunity to license the mark for a short period of time to determine whether the commercial relationship is profitable enough to extend for a new term. Similarly, the right to terminate the contract is important to the licensee, as it allows the licensor to terminate the contract immediately after the dementer of the taker or for other offences. In this way, the brand owner can stop the erosion of brand value if a taker does not meet the quality standards that consumers expect from the original supplier of brand-related goods or services. A trademark licensing agreement is a legal contract between a trademark holder and another party who have agreed to use the trademark under pre-approved and established conditions between the contracting parties. Klemchuk LLP is a litigation, intellectual property, transaction firm and international economics law firm committed to protecting innovation. The company offers tailored legal solutions for sectors such as software, technology, retail, real estate, consumer goods, e-commerce, telecommunications, restaurant, energy, media and professional services. The firm focuses on supporting small and medium-sized businesses that seek long-term and value-creating relationships with a law firm. Learn more about the law and our practice as a local. The trademark licence fee is also another key element of the trademark licensing agreement. The more valuable the brand, the higher the royalty for the brand`s licensees. As such, it is not uncommon for licensees to set minimum sales targets or expectations in the licensing agreement. A well-developed trademark licensing agreement will also be specific to how the licensee will be paid, how often payments can be made and the consequences if payment is delayed.
An experienced trademark lawyer can probably provide useful information about trademark licensing conditions. With respect to the establishment of a trademark licence, the following important elements will be found: Finally, trademark licensing agreements will have the same general provisions as those contained in commercial contracts, including the following provisions: description of the parties; the intention of the parties who brought them together in a legally binding contract; If there are other trade relationships created by the agreement; Current legislation and, if necessary, compensation; Limiting liabilities guarantees, etc. The Law recognizes a number of ways to make businesses and individuals responsible for induction or contribution to counterfeiting of an online trademark other than branded debt. Secondary liability in the context of the trademark is a judicial doctrine that has evolved and evolved over the past century through jurisprudence. Read for one by discussion on assistant and secondary brand liability, including online marketplace, affiliate distributors, search engine companies, websites and Internet search providers There are several elements to a brand licensing agreement. The most important part of the agreement is to properly prove that the licensee continues to control the quality of goods or services sold in connection with the use of the trademark. Therefore, the quality control provision is one of the most important elements that are an integral part of trademark licensing agreements.