What Is Trademark Goodwill?

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Essentially, registering your trademark represents a critical asset for your business. With this, your trademark’s goodwill represents the inherent value your mark has on your business. Continue reading to learn more about trademark goodwill and how an experienced New Jersey trademark lawyer at the Ingber Law Firm can help you in protecting this.

By definition, what is trademark goodwill?

First of all, a trademark is considered a word, name, symbol, device, or another type of designation that may establish your business’s products or services, all while distinguishing them from the products or services of your competitors.

What’s more, trademark goodwill is considered a measure of your mark’s recognition among your target consumers, along with a measure of the extra earning power your mark generates. For instance, you may have a trademark goodwill of significant value if your consumers opt to buy into your product or service simply because they recognize your mark.

It may be difficult to calculate the value of your mark, and it is usually only done when a business is bought or sold. That is, you may do so by taking the difference between the business purchase price and the value of the business’s products or services.

How can I protect this goodwill?

All in all, to protect your trademark goodwill, you must first apply to register your mark with the United States Patent and Trademark Office (USPTO). This is because only through the USPTO may you receive federal protection of your mark when selling your products or services.

And so, registering with the USPTO will automatically grant you protection under the Lanham Act. Specifically, this Act protects your mark nationally by setting forth several prohibited activities, such as the following:

  • Under the Lanham Act, competitors are prohibited from copying or duplicating your business’s tradename or logo.
  • Under the Lanham Act, competitors are prohibited from adopting a mark that is significantly similar to your business’s mark.
  • Under the Lanham Act, competitors are prohibited from using your business’s mark after a licensing agreement or franchise agreement has expired.

With this, the Lanham Act has two different types of registers. The first is a principal register, which grants you national rights to protect your mark. And after five years, you may take federal action against competitors who are participating in infringing activities. The second is a supplemental register, which grants you rights to protect your mark in another country. Though, this does not include rights outside common law or rights to take federal action against competitors.

For more information on trademarks and trademark goodwill, along with its associated protections, you must reach out to a skilled Essex County, New Jersey intellectual property lawyer. We look forward to collaborating with you.