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Intellectual property Agreement on the transfer of ownership of a trademark

Zal Dmytro Oleksandrovych

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zal@prikhodko.com.ua

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Specializes in protection of honor and dignity, of copyrights, inventions, patents, trademarks, support of tenders, protection of consumer rights, disputes with insurance companies, legal support in cases of administrative offenses.

Agreement on the transfer of ownership of a trademark

A trademark is an important tool for identifying goods or services on the market and protecting them from misuse. It is an intangible asset that can be of significant value to a company. One way to dispose of a trademark is to transfer it to another person or organization through a trademark transfer agreement.

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Concepts and features of the contract

The contract on the transfer of ownership of a trademark is an agreement under which the owner of the trademark (the transferor) transfers the ownership of the trademark to another person (the purchaser) under certain conditions. This contract must be concluded in writing and is subject to mandatory state registration in the relevant authorities to enter into force.

The parties to the contract are the alienator and the acquirer. The alienator can be both a natural person and a legal entity that owns the right of ownership of the trademark. The acquirer can also be natural or legal persons who intend to use the trademark in their activities.

Content of the contract

The contract on the transfer of ownership of the trademark must contain the following mandatory conditions:

Subject of the contract: Definition of the transferred trademark, indicating its registration number, date of registration, classes of goods and services for which it is registered.
Contract price: The amount of remuneration that the acquirer is obliged to pay to the transferor for the transfer of ownership of the trademark.
The price can be determined as a fixed amount or as a percentage of the income received from the use of the brand.
Rights and obligations of the parties: Obligations of the alienator to transfer the rights to the trademark within the specified period and the rights of the acquirer to use the trademark from the moment of registration of the contract.
Liability of the parties: Liability for violation of the terms of the contract, in particular, non-fulfillment or improper fulfillment of obligations, as well as the consequences of such violations.
Contract Term: The period during which the contract remains in effect. Can be defined by a specific date or event.
Conditions for terminating the contract: The procedure for terminating the contract by agreement of the parties or as a result of breach of conditions by one of the parties.

The price of contract escalation

Contract conclusion and registration procedure

Preparation of the draft contract: The parties agree on all terms and draw up the draft contract.
Signing the contract: The contract is signed by both parties.
Submission of documents for registration: In order to enter into force, the contract must be registered with the state body that registers trademarks. The package of documents submitted for registration includes:

application for entering information on the transfer of the right to a mark and publication of such information;
the original contract in three (or more) copies;
a document confirming the payment of state duty;
other documents provided for by law.

Review of the application and registration of the contract: The registration body reviews the submitted documents and, in the absence of grounds for refusal, registers the contract. Registration information is entered in the register and published in the bulletin. Copies of the parties’ agreement are returned together with the body’s decision.

Legal consequences of transfer of ownership

After the registration of the contract, the buyer becomes the full owner of the trademark and receives all rights related to its use. The alienator loses the right to use the brand, unless otherwise stipulated by the contract. The acquirer has the right to protect his trademark from improper use by third parties, as well as to license it or transfer the rights to it to other persons.

The trademark transfer agreement is an important intellectual property management tool. Responsible preparation and proper execution of such an agreement help protect the interests of both parties and ensure legal certainty in matters of trademark use. The contract is being examined for compliance with the requirements of the law, and in case of violations, data re-registration will be refused.

Taking into account all legal aspects and timely registration of the contract is the key to successful implementation of the agreement and protection of trademark rights, and therefore the qualified work of lawyers of the Prykhodko and Partners law firm will provide you with the opportunity to quickly and effectively realize your trademark rights.

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