When you own a trademark, it's like owning any other type of property. You have the right to sell it, allow someone else to use it through licensing, or transfer ownership through a Trademark Assignment Agreement. When you assign a trademark, the ownership of the registered brand changes hands. But when you license it, you retain ownership and only give the other party limited rights. Whether or not the transfer of business goodwill is included in the assignment depends on the agreement. If the trademark is registered, the assignment needs to be recorded in the Register of trademarks.
Get your trademark's value
When you create a brand, it can be a huge investment of your time, money, and hard work. By assigning a trademark in India, the owner of the trademark can turn that investment into real money. They can now cash in on the value of a brand that was previously just an idea on paper. The collaboration between parties can increase the value of the brand even more, and the person assigning the trademark has the ability to put in place any restrictions they deem necessary.
Assignment Agreement is Valid Proof
If any dispute arises regarding a trademark, the legal rights of the assignee can be easily established through the trademark assignment agreement. The Registry examines the validity of all clauses in the agreement and publishes the assignment in the Trade Marks Journal, ensuring that all necessary checks are in place.
Pre-established brand name
The assignee benefits from dealing with an established brand name that already has value. This saves the assignee time, effort, and investment that would otherwise be necessary to create brand value.
Expansion of business
When a trademark is licensed, it can lead to an increase in the assignor's business as more vendors join in contributing to brand building. The combined efforts of the assignor and assignee can help to propel the brand's value forward.
Certificate of Trademark Registration (if any)
Name and description of the assignor and assignee
No Objection Certificate from the original owner of the registered trademark
Complete Assignment
All the rights vested in the trademark are assigned to the third party, including the rights to further transfer, to earn royalties, to license, etc.
Assignment limited to only some goods/ services
In this assignment, the transfer of ownership is restricted only to certain products/services as decided in the Trademark Assignment Agreement.
Assignment with Goodwill
In this case, the value and the rights attached to the trademark are also transferred. This makes new owner of the trademark eligible to use the assigned brand name with respect to the products and services already sold under the brand name. Also, it grants permission to use the acquired trademark for any new venture or product the new owner creates or manufactures.
Assignment without Goodwill
Also known as Gross Assignment, here the brand owner restricts the rights of the assignee, limiting user rights of the new assignee and prohibiting him/her from using the brand name for the products already in use by the assignor. Thus, the goodwill attached to such brand with respect to the product already being sold under such brand is not transferred to the buyer.
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