What are the licensing rules for trademarks, service marks and trade dress for a unit franchise?

A: When planning to franchise in New York, you should make sure that your current trademark is protected under U.S. trademark law. A franchisor should select as its primary trademark a mark that is, or can be, federally registered and is not likely to conflict with trademarks that exist. The same rules apply for a franchisor's service mark and trade dress.

To be eligible for registration, a trademark, service mark, or trade dress must be capable of distinguishing the goods or services of the franchisor. Furthermore, these cannot be confusingly similar with those of another company's mark. Once these things are federally registered, this will regulate the way a franchisee may use them in business matters.

In a New York franchise agreement, terms will be specified as to: 

• the franchisor's ownership of trademarks, service marks, and trade dress;
• how the franchisee may or may not use the franchisor's symbols;
• regulate the modification or discontinuation of a particular mark; and
• indemnify the franchisee if the franchisee is held liable in, or incurs expenses in defending, a trademark infringement lawsuit. 

If you have questions regarding these licensing rules, you can speak to a New York franchise lawyer. A New York franchise lawyer can help you federally register your marks, and protect them against infringement.

If you are an entrepreneur who is interested in franchising your business there is a lot you need to know, including the significance of evaluating your trademark and how to approach the preparation of your Franchise Disclosure Document. For a limited time, get New York franchise lawyer Charles N. Internicola, Esq's franchise law report to determine whether your business is right for franchising. Contact us today at 1-800-976-4904 for more information about Mr. Internicola's franchise law services in New York and how he assists entrepreneurs franchise their business nationwide.

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