How to Draft Trademark License Agreements?
A trademark licensing agreement is a legal contract between a trademark owner and another party that have agreed to use the trademark on preapproved terms decided between the contracting parties.
There are several elements to a trademark licensing agreement. The most important part of the agreement is to properly demonstrate that the licensor remains in control of the quality of the goods or services sold in connection with use of the mark. As such, the provision regarding quality control is one of the most important elements integral to trademark licensing agreements. The quality control provision of a trademark licensing agreement must ensure that the licensor of the trademark has set standards to maintain the goodwill attached to the mark that consumers of the goods or services have come to rely upon. Common requirements under the quality control provision of a trademark licensing agreement may include, but are not limited to, the ability to audit the licensee’s accounting records or bookkeeping, inspection of the licensee’s facilities, internal audits of the licensee’s protocols, and review of media use printed in connection with use of the mark.
For more information, see our post: Drafting Trademark Licensing Agreements
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This article is provided for informational purposes only and does not constitute legal advice. For guidance on specific legal matters under federal, state, or local laws, please consult with our IP Lawyers.
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