Many companies have encountered such a situation: they urgently need to use a trademark, but they need to wait for a long time to apply for registration of the trademark, or their favorite trademark has been registered by others. At this time, they can choose trademark transfer or trademark licensing to obtain exclusive rights to the trademark. So, what is the difference between trademark transfer and trademark licensing, which one is more reliable, and which form should companies give priority to?

Trademark transfer refers to the act of a trademark registrant transferring the exclusive right to use a trademark to the other party in accordance with legal procedures during the validity period of the registered trademark. Assignment is ownership of a trademark. After a trademark is transferred, the transferor has no right to dispose of the trademark.

Trademark use license refers to the act by which the legal trademark holder allows others to use the registered trademark by filing with the National Trademark Office. If the legal holder of a trademark allows others to use the registered trademark by filing with the National Trademark Office, it is called a trademark use license.

For example, if the trademark is a house, the trademark transferred house is sold as a second-hand house; the trademark license is the right to rent the house, and the owner or the landlord himself.

Advantages and Disadvantages of Trademark Transfer and Trademark Licensing

The advantage of trademark transfer is higher reliability and security. It is also a relatively safe way for enterprises to obtain trademarks through trademark transfer. However, trademark transfer requires a one-time transfer fee based on the cooperation intention of both parties, that is, the transfer fee for purchasing the trademark. Relatively speaking, trademark transfer takes longer and the one-time payment amount is higher.

Trademark license is paid according to the authorized use period, which is short and the one-time payment amount is small. However, trademark licensing also faces more risks. One standard will be used by many people, which is likely to lead to vicious competition in the same industry and bring unnecessary losses to enterprises. The most typical case where disputes arise over trademark licensing is the trademark battle for a certain herbal tea.

How to choose between trademark transfer and trademark licensing?

Trademark transfer refers to obtaining trademark ownership at one time, saving worry and effort, and is suitable for strong enterprises; trademark licensing refers to having the right to use a trademark in a short period of time, which is suitable for companies that are just starting out, urgently need a trademark, and have insufficient funds. of enterprises. Generally speaking, trademark transfer and trademark licensing each have their own advantages and disadvantages, and companies can choose according to their own circumstances.