Ultimate guide for selling a Trademark in India?

 Ultimate guide for selling a Trademark in India?

The trademark owner can sell it to any legal or natural person through the branding process. By doing so, the owner can assign the right to his trademark to a natural or legal person. The branding process is governed by the provisions of the Trademark Act 1999. Now let's see if a brand can be sold in India.

In the trademark assignment procedure, the entity or person who sells the trademark labels as the assignor and the other party (who obtains it) is the assignee.

For the transfer of the trademark, the transferee or transferor must submit the application. The transfer process generally takes 6-12 months to complete, subject to successful verification of credentials. For registered trademarks, such assignments must be registered with the trademark registrar.

Types of trademark assignment in India

There are various types of trademark assignments available in India, as described below;

Full assignment: the assignor grants the assignee the full prerogative of the brand. Only trademark rights will be granted and not all company rights.

Limited Assignment: Only the specific rights of the particular service or product will be for the assignor and the rest for the assignee.

Transfer with compassion: the transferor transfers the rights of the brand and the value of the brand into the market. The transferee will have all rights and brand value.

Assignment without goodwill: Not allowed from other countries, but only allowed in India. This type of sale means that both the seller and the buyer will have the trademark rights for various products or services.

Limitations on the assignment of trademarks

The Trademark Act of 1999 imposed several restrictions on the transfer of registered trademarks. These limitations will apply in the case of a trademark that carries the possibility of creating uncertainty in the minds of the public or users if it is sold or transferred.

These restrictions apply to;

- An engagement that grants exclusive rights to more than one person or entity in the same goods or services.

- A transfer involves the simultaneous use of the same trademark by several people in different parts of the country.

How can you make a concrete assessment of the brand before the sale?

A trademark is an intangible or personal property. A specific appraisal or valuation is required to sell a brand at a reasonable price. This process involves both direct and indirect measures. Directly, the process is essential. Here the investment to create and implement the brand will be considered. The calculation will be made on other aspects or sources such as brand awareness and brand image among people in the indirect.

Now, let's take a look at the prevailing approaches to concrete brand evaluation before allocation.

Cost approach: it is directly related to the cost incurred for the creation or positioning of the brand.

Cost Replacement Approach: Evaluates the brand by calculating the expense and investment need to replace it with a new brand or brand that would offer equivalent profit to the current owner.

Market-driven approach: Take the highest value the transferee is willing to pay or the maximum value the transferee wishes to acquire.

Approach to selling comparable brands: Brand value will be calculated based on the recent evaluation of identical brands in a similar industry. This evaluation, in this case, arises from the consideration of a third party unrelated to the assignment process in question.

Trademark symbol

The ™ symbol is for a specific association or person pending the completion of the trademark registration process. When a specific product has a trademark, it does not mean that it is registered. The ® symbol is for a registered trademark, but the ™ symbol is for unregistered trademarks. It is for trademark registration purposes only.

The ™ symbol has no protection, while ® has one with legal rights. The ™ symbol is used to demonstrate the service performed by a person or company, but not for manual products. It is imprecise to use the ™ symbol if you are selling services rather than products or vice versa. The fees for trademark registration are high, but in return you will reap many benefits. By registering you can use the ® symbol for your product. International trademark registration will have use based on registration in India.

Conclusion

The process of selling a brand is simple and straightforward and doesn't require a lot of paperwork. Start

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