"Trust But Verify" - Ronald Reagan's Cold Ware Advice Applies to Trademark Licensing

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A recent court decision, in Eva's Bridal v. Halanick Enterprises,Inc. underscored the danger to brand owners for not exercising quality control over its licensees: the trademark owner loses its rights. To maintain the validity of the brand, the court held that the owner must excercise predictable and consider control over the goods or services sold under the brand.

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DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations.

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