{"id":3951,"date":"2021-07-28T16:22:50","date_gmt":"2021-07-28T16:22:50","guid":{"rendered":"https:\/\/omnilegalgroup.com\/blog\/?p=3951"},"modified":"2021-09-24T07:09:40","modified_gmt":"2021-09-24T07:09:40","slug":"trademark-licensing-agreement","status":"publish","type":"post","link":"https:\/\/omnilegalgroup.com\/blog\/trademark-licensing-agreement\/","title":{"rendered":"Why is a trademark licensing agreement important for your business?"},"content":{"rendered":"

\"Trademark<\/p>\n

Helpful Tips for Drafting a Licensing Agreement<\/strong><\/h2>\n

When you register a trademark<\/a> for your business, there is a crucial next step you need to be prepared to address \u2013 licensing the rights to that trademark so other individuals and companies collaborating with you to manufacture or sell your product featuring that mark are legally compliant. It is important to understand the impact of a trademark license agreement. If this agreement is detailed and well-crafted, it can play a big role in determining how much you, the owner of the trademark, will benefit financially from the commercial success of the product. A trademark license agreement will also help in protecting both your registered trademark and the resources you invested into building goodwill and a positive affiliation with the consuming public.<\/p>\n

To help ensure your trademark licensing agreement is valid and detailed, here are some helpful tips to consider when drafting a licensing agreement.<\/p>\n

No. 1 – Clearly Establish the Licensee Requirements<\/strong><\/h2>\n

In a trademark license agreement, you, the owner of the registered trademark, are known as the licensor. The party that pays you money in exchange for the right to market or manufacture products bearing your trademark is known as the licensee. In the trademark license agreement, you should be as specific as possible about what trademark rights you are licensing and what the licensee is and is not allowed to do with your trademark. If, for example, you own the trademark to a children\u2019s character, and you want to preserve their child-friendly image, say so. Don\u2019t want your trademark adorning beer bottles? Specify this in the agreement. Don\u2019t want your character hawking weight loss supplements? Put it in writing.<\/p>\n

No. 2 \u2013 Ensure All Key Pieces of Information are Included in the Agreement<\/strong><\/h2>\n

Relying on a cookie-cutter printout of a license agreement you found online, or hastily drafting an agreement, is often a recipe for disaster and heightens the risk that vitally important pieces of information are not included in the final agreement. Do not make this mistake. You need to ensure the license agreement clearly addresses the following issues:<\/p>\n