By definition, a trademark is a word, name, symbol, device, or other designation that identifies an individual’s products or services and distinguishes them from the products or services of others. With this comes the concept of trademark goodwill. Continue reading to learn about trademark goodwill and how an experienced Missouri trademark attorney at FortmanSpann, LLC can help you protect it.
By definition, what is trademark goodwill?
It is without a doubt that your trademark represents a critical asset for your franchise. What’s more, the goodwill of your trademark represents the inherent value of this word, name, symbol, device, or other designation.
More specifically, trademark goodwill is the measure of your mark’s recognition among potential consumers, and with that the extra earning power that it generates. For example, your trademark goodwill will be considered to be of significant value if a consumer wishes to buy into your product or service simply because they recognize your mark.
How is trademark goodwill calculated?
You may be wondering how you can determine whether your trademark goodwill is considered to be of “significant value.” The truth is that most small- to medium-sized franchises have difficulty measuring this value. Though, this valuation is typically conducted when a franchise is bought or sold. This is calculated by taking the difference between the franchise purchase price and the value of the franchise’s tangible assets.
How can I protect this goodwill?
You must understand that protecting your mark and its goodwill is not so easy, and rather there are certain steps you must take to ensure that this happens. For one, you must ensure that you have obtained registration of your mark with the United States Patent and Trademark Office (USPTO). This is so you can receive federal protection of the mark you are using in connection with the sale of your products or services. With this, you must also ensure that you are keeping up with the renewal dates for your registered mark. You must apply for renewal with the USPTO every 10 years.
If you do not register your mark with the USPTO, you may be provided with common law trademark protection. Though, this comes with significantly fewer benefits and protections.
In addition, you must ensure that third parties are not using your mark or a mark that is confusingly similar to yours. However, if this arises, you must work towards sending out a cease and desist notice, and even hire an attorney to commence a trademark infringement lawsuit on your behalf.
In the end, it is equally important to protect your mark and its goodwill. For assistance in doing so, you must reach out to a skilled Missouri trademark attorney. We look forward to collaborating with you.