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What is trademark transfer? What are the benefits of transfer?

What is trademark transfer? It is the most important way for a trademark registrant to dispose of its trademark rights. It means that the trademark registrant transfers all its trademark exclusive rights to others in accordance with the procedures prescribed by law. All legal actions.

What are the benefits of transferring a trademark?

1. Trademark transfer can increase the profit level of the company.

For example, if they are both engaged in the hamburger fast food industry, even if the raw materials used are exactly the same, the selling prices and number of consumers of KFC and Wallace are very different. It is more intuitive for people to choose the KFC brand, rather than the food itself. Although some consumers choose based on hygiene quality or food quality, the value extended by this trademark is relatively intuitive.

2. It is easier to gain the trust of consumers if a good trademark is transferred.

A good trademark is generally not willing to be transferred, but things are unpredictable, so if you have the opportunity, you should fight for it. A good trademark already has a good market and some customer resources. Using a good trademark as a guide will help consumers recognize your products in a short time, thus giving the company a good starting point and development prospects.

About the main forms of trademark transfer

There are the following forms of transfer of registered trademarks:

1. Contractual transfer = between the transferor and the transferee Registered trademarks are transferred by signing a transfer contract.

This method is generally paid, that is, the transferor charges a certain transfer fee by transferring the exclusive right to register a trademark.

2. Inheritance and transfer = If an individual or an individual industrial and commercial household registered in accordance with the law dies or becomes incapacitated, the legal heir shall inherit his or her registered trademark.

For example: after the death of the registered owner (natural person), that is, the end of his life, an heir will inherit all the registered trademarks owned by the deceased according to the inheritance procedure; when the registered trademark owner's business is merged or merged, the heirs will Be transferred.

3. Transfer due to administrative order

This form of transfer generally occurs in countries with public ownership. The administrative orders mentioned here are mainly those plans and administrations that cause the transfer of property. For example, if my country's state-owned enterprises are divided, merged, dissolved or transferred according to administrative orders, the subject of registered trademarks will inevitably change.

Notes

In practice, a large number of transferred registered trademarks are transferred and registered by contract. Things to note when transferring a contract:

(1) To transfer a registered trademark, certain procedures need to be performed in accordance with the law. The transfer registration can only take effect after being approved by the Trademark Office. Transferring a registered trademark without going through the relevant procedures with the Trademark Office is an act of self-transfer of a registered trademark. Such private transfer will be subject to administrative penalties, and in severe cases, the registered trademark may be revoked.

(2) After the transfer of trademark rights takes effect, the transferor shall not use the transferred trademark on the goods or services approved for use or on similar goods and services within the effective registration area of ??the trademark. The trademark has been transferred, otherwise it will infringe the transferee's trademark rights. If the transferor wants to continue to use it, it must sign a trademark license contract with the transferee and obtain the transferee's authorization.

Therefore, when a trademark owner transfers its registered trademark, it should transfer it to the same transferee together with other identical or similar trademarks registered on the same or similar goods or services. This is to prevent confusion and consumer misunderstanding when different producers or service providers use the same trademark on the same type of goods or services.

(3) The date when the transfer of a registered trademark is published in the trademark announcement is the starting date for the transferee to enjoy the exclusive right to use the trademark. The validity period of the registered trademark after the transfer is from that date to the expiration of the validity period of the registered trademark. day.

(4) The contract should have mandatory statutory provisions. A trademark transfer contract should generally include the following main contents: 1. Names, addresses, signing date and place of both parties, etc.; 2. Trademark name, design, country, registration number, category of goods or services for which the registered trademark is approved, and Name; 3. Status of existing registered trademark use licenses; 4. Price and payment method; 5. Agreement on the transferee’s guarantee of product quality; 6. Conditions and procedures for contract suspension and termination; 7. Liability for breach of contract; 8. Legal APPLICABILITY AND DISPUTE RESOLUTION.

Although the cost of trademark transfer ranges from tens to hundreds of thousands, what is transferred is not only the trademark itself, but also the mature corporate system, business philosophy, and management of the trademark itself. Methods etc. This is actually a fortune for a novice businessman. Of course, this does not rule out that some businesses still want their own trademarks and are still willing to spend time and energy to register trademarks. This method is not excluded, but it is more suitable for companies with strong financial and human resources. Trademark transfer