24 May If You Sell Your Company Do You Still Have Rights to the Company’s Trademark?
A gentleman owned a phone-book business under the name AMTEL. He later sold the business and the business was sold again to Yellowbook. The original gentleman started another phone-book company and again used the name AMTEL. He was sued by Yellowbook for trademark infringement. The seller believed that he as an individual jointly owned the trademark along with the Company and that he only sold the business entity’s right to the trademark. He claimed to still own right to the trademark as an individual.
The Sixth Circuit court disagrees, declaring that any rights once held by the man no longer exist because so much time as passed. See more details on this case: http://bit.ly/12KViI9
This case illustrates that a Trademark like any other business asset may be sold, it has value and adds to the wealth of a business.