Trademark Assignment
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As businesses strive to establish and protect their brand identities through trademark registration, there may be occasions when they wish to assign or transfer these rights to other entities. This may be for strategic realignment, market expansion or business transactions etc.
Like any other property or asset, the owner of the trademark has the right to sell or assign the same. The trademark can be transferred by filing a request at the trademark office.
To have a seamless process, It is better to have experienced legal counsel to assist you to ensure the best possible outcome. At My Trademark Guide, as a leading provider of Trademark services, we take pride in offering comprehensive and seamless trademark solutions for your intellectual property. Here’s why choosing us is the smart and strategic decision for your trademark assignment services in India:
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What Is Trademark Assignment
Trademark Assignment refers to the process of transferring the ownership of a trademark from one party to another party. In layman’s language, it can also be called trademark transfer. The party which is transferring the trademark is known as the assignor and the party to which the trademark is being transferred is known as the assignee.
As per section 2(b) of the Trade marks Act, 1999 “assignment” means an assignment in writing by act of the parties concerned. Trademark assignment can be done by executing a trademark assignment agreement among the assignor and assignee.
Documents Required For Trademark Assignment
Let’s explore the documents needed to proceed with the assignment process:
Authorization Letter
Authorization letter is necessary so we can act on your behalf and file the necessary documents.
Assignment Deed
The trademark assignment must be reduced in a written agreement or deed.
NOC from Assignor
The assignor must give a no objection certificate to the assignee for future use of trademark.
My Trademark Guide is your reliable partner in the process of trademark assignment. We provide expert guidance and support to make the journey hassle-free. You can trust us to help you compile all the required documents and navigate through the complexities of the trademark transfer process. Start securing your brand identity today by choosing us!
Process For Trademark Assignment
The trademark assignment process involves the following steps:
- Drafting of Documents: Prepare the assignment deed, affidavit, and other supporting documents. The assignment deed shall contain all the details pertaining to the assignor, assignee, trademark to be transferred, consideration etc.
- Filing of Request: File the above-mentioned documents in Form TM-P or TM-M (as the case may be) with the Trademark department by logging into the online trademark portal. The Form TM-P or TM-M must be filed within 6 months of the execution of documents.
- Verification by Department: Upon receipt of the request for trademark transfer the department will send a notice to the assignor to confirm whether such an assignment request has been made with his consent.
- Approval of Assignment: On affirmative response or no response from the assignor, the assignment request is approved by the trademark department. The trademark department shall share the formal letter upon completing all the formalities.
Pre-Requisites For Assignment Of Trademark
Before filing an assignment request, the following requirements must be met:
- There should be a lawful consideration for trademark transfer.
- Trademark assignments must be made with the consent of the assignor.
- Trademark assignments must be reduced in writing for the record.
Types Of Trademark Assignment
There are basically four types of trademark assignments that one should consider before initiating the process:
- Complete Assignment: A complete assignment involves the transfer of the entire ownership rights of a trademark from the assignor to the assignee. In a complete assignment, the assignee assumes all rights, title, and interest associated with the trademark.
- Partial Assignment: Partial assignment involves transferring only some rights related to a trademark. This could be specific aspects like certain products or services covered by the trademark, specific areas where the trademark is used, or for a limited time period. The assignor still keeps some rights related to the trademark.
- Assignment with Goodwill: When a trademark is assigned with goodwill, it means the trademark is transferred along with the positive reputation, customer loyalty, and intangible value it carries. This type of assignment involves not just the trademark itself but also the customer base, distribution network, and other valuable aspects related to the trademark’s reputation.
- Assignment without Goodwill: Assignment without goodwill involves transferring only the rights to use the trademark without transferring any of the positive reputation or intangible value associated with it. This might happen when the original owner wants to stop using the trademark or sell certain aspects of their business without transferring its reputation or customer base.
Key Considerations Before Assignment
- Validity of Trademark: It is important to ensure the validity of the trademark before trademark assignment.
- Assignment Agreement: Before drafting the assignment deed it is essential to discuss the terms and conditions of the transfer, consideration, rights and obligations of both parties etc.
- Third-Party Rights: Assessing any existing licenses or disputes related to the trademark is essential to mitigate risks and ensure a smooth transfer of rights.
Difference Between Trademark Assignment And Licensing
Sl No. | Particulars | Trademark Assignment | Trademark Licensing |
1 | Ownership | In assignment, the assignor transfers the ownership to the assignee. | In trademark licensing the owner retains the ownership of the trademark while allowing the other party to just use the trademark for a certain period of time. |
2 | Duration | Once the assignment is done the ownership is permanently transferred. | Under trademark licensing the licensor allows the licensee to use the mark for a specific period of time. Once the period is over all rights shall relinquish. |
3 | Control | In assignment once the ownership is transferred, the assignee is free to use the mark as he may deem fit. | Under trademark licensing the license may impose different conditions to maintain the goodwill of the trademark. |
4 | Rights | The assignor upon completion of the assignment process has the right to take suitable action against anyone who infringes their rights. | Since the licensee is not the owner of the trademark, he cannot enforce his rights in case anyone infringes the trademark. |
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Frequently Asked Questions (FAQs)
Trademark Assignment or transfer refers to the process of transferring the ownership of a trademark from one party to another.
A business may wish to assign or transfer their trademark for strategic realignment, market expansion or business transactions etc.
The trademark assignment agreement must contain the details of the assignor, assignee, consideration, terms and conditions etc.
In India, trademark assignment needs to be registered with the trademark department to make it legally enforceable.
Failure to register a trademark assignment may result in legal complications and also affect the enforceability of the assignment against third parties.
Yes, trademark assignment can be conditional. The assignor may impose any condition while assigning the trademark.
Once the trademark assignment is registered with the trademark department it cannot be cancelled unless in case of fraud.
To ensure a smooth and legally sound trademark assignment process, it is advisable to seek guidance from legal professionals specializing in trademark services. My Trademark Guide can assist you in conducting thorough due diligence, drafting comprehensive assignment agreements and complying with all legal formalities are essential steps to mitigate risks and safeguard the interests of all parties involved.