Trademark Licensing

Monetizing Brands Through Strategic Licensing

Trademark licensing enables brand owners to extend their brands into new products, channels, and markets while generating licensing revenue. Our Trademark Licensing practice structures deals that monetize brands effectively while maintaining the quality control essential to preserving trademark rights.

License Structure

Trademark licenses must be structured carefully. We address grant scope, exclusivity, territory, product categories, and distribution channels. We ensure licenses clearly define what licensees can and cannot do with the licensed marks. Ambiguous scope creates disputes; precise definition prevents them.

Quality Control Requirements

Trademark law requires that licensors maintain meaningful control over the nature and quality of goods and services bearing their marks. We structure quality control provisions that satisfy legal requirements without unduly burdening licensees. Failure to maintain quality control can result in trademark abandonment through "naked licensing."

Royalty Structures

Licensing compensation varies by industry and brand strength. We negotiate royalty rates, guaranteed minimums, and advance payments appropriate to the deal. We structure royalty calculations, reporting requirements, and audit rights ensuring licensors receive appropriate compensation.

Merchandising Programs

Brand merchandising creates significant revenue opportunities. We structure merchandising programs with multiple licensees, coordinating product categories and territories. We develop standard license terms while allowing negotiation flexibility for key licensees.

Co-Branding Arrangements

Co-branding combines multiple brands in joint marketing or products. We structure co-branding agreements addressing brand usage, quality standards, liability allocation, and termination. We protect both parties' brand equity in collaborative arrangements.

Franchise Compliance

Franchising involves trademark licensing plus additional regulatory requirements. We ensure franchise arrangements comply with FTC Franchise Rule and state franchise laws while properly licensing the trademark rights that are central to franchise systems.