Trademark owners may need to transfer ownership or change the name on their application or registration. This could happen while your trademark application is being examined or after your trademark has registered. A trademark assignment is the transfer of an owner’s property rights in a given mark or marks. Such transfers may occur on their own or as parts of larger asset sales or purchases. Trademark assignment agreements both provide records of ownership and transfer and protect the rights of all parties.

In many ways, trademarks are treated similarly to your other business assets. They can be sold, transferred, even used as collateral for debts. However, when it comes to transferring trademark rights from one entity to another, it is simply not enough to transfer the registration, or transfer the trademark itself. Instead, a trademark must be “assigned” through an Assignment of Rights. That Assignment must transfer not only the trademark and the registration, but must also transfer the goodwill behind the trademark to be valid.

Many companies will make changes to their corporate structure, which may include incorporating in a state that has favorable tax or legal benefits. A trademark ownership transfer must include a transfer of the “goodwill” of the trademark. A trademark’s purpose is to represent aspects of the company using it. A trademark can represent a company’s quality, customer service, style, etc. It represents the company’s philosophy, its connection with its customers, and its mission statement. All of these elements are considered “goodwill” that a company builds in its trademark through use, advertising, and marketing over time.