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  1. #1

    Reasonable Licensing Fees...

    Pls advise if this content is not the right forum:

    Scenario: Current business name is one word (combination of 2words) that is being trademarked and has been in use for 9years (common rights trademark) ...

    Another company has started with multiple words in their legal name but the first word is mine... They obviously provide similar services...

    Possible Solutions
    1. Litigation can take long, and I would probably win but it would cost money...

    2. Putting restrictions on their advertising would leave the opportunity for loopholes and other companies to try the same things...

    3. Charge Licensing fees to allow them to use the name in their legal name which allow a similar method if others try same thing...

    So... I am leaning towards Option #3( Licensing)... might cost less... and easier to manage... Can anyone give advice or links to see what licensing costs are based on?

    ** combination of two words together is not in dictionary...

  2. #2
    Join Date
    Feb 2004
    Options 2 and 3 will still probably require a legal battle. If you really care about them using part of your name in theirs, and it affects your business, just go straight for option 1.

  3. #3
    Join Date
    Apr 2003
    San Jose, CA.
    Common Rights trademarks are specific to the geographic area you are operating in I believe... so if you're say in california... and they're in New York... they're just peachy doing whatever they want with "your" name.

  4. #4
    If you are a uk company and they are a uk company, you have a good chance, If its int the usa and seperate states, your pretty much screwed. As thats like saying a company in california called Orange Servers is ok, but a company called Orange Internent in New York is wrong as it uses your name. No Chance.

    Good Luck.
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  5. #5
    I would recommend seeking legal advice and examine impact on your business model. An hour or two with reputable legal would probably be around $1000.00USD for a consultation.

    As you stated they obviously provide similar services/products, are legal fees really worth you losing your future clients to this said company OR to competitors as perspective clients cannot determine who's who...

    Good luck.

  6. #6
    Sounds like you might want to consult an intellectual property lawyer for advice. Licensing fees are generally based on some sort of appraisal of the name to decide on how much it is worth, which means you'd probably need to hire a business valuation appraiser.

    All of your options are going to cost some money. If you're going to lose money because of this other company, then you may want to just pursue option 1.
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  7. #7

    Thanks for everyone's responses... I am actually in talks with an intellectual property lawyer and they provided me with the options above...

    - The other company is in the same city actually...

    - I will definetly ask my lawyers about hiring a business valuation appraiser about licensing... Plus I have to ask my lawyer how expensive litigation can get... they never really gave me a figure...

    My gut says litigation... but my pockets are thinking licensing...

    The whole thing is very frustrating... you spend the time thinking of a name and marketting it and then someone takes it to slip infront of their name... especially wrong when its in the same city... and i know ppl think the same but this name didn't come in their sleep...

    thanks for the comments...

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