Back to Trademark ownership

Is there drawback to registering a trademark under a personal name?

Senior Trademark Attorney

Yes. The main practical drawback is that the owner and the commercial user are different entities, which requires a license agreement to be in place. Without a documented license, the individual owner is formally the user of the trademark, which may be inconsistent with the actual commercial use by the company.

If the company is later sold, the trademark is not included in the transfer, as it’s a personal asset that requires a separate assignment. It does not come automatically with the purchased business. What can also create complications down the line are changes in the individual’s personal circumstances (such as death or incapacity).

Related questions

Brands and environmentalism: EUIPO study reveals surge in 'green' trademarks

Increasing environmental concerns lead to shifting consumer behavior, and many brands address these concerns by registering ‘green’ trademarks. The results of the study conducted by EUIPO in 2021 found a 900% increase in green trademarks being filed, demonstrating that “growing interest in sustainability is indeed reflected in the EUTMs filed at the EUIPO [1]. Read about the current green trademark trend in the EU in this article.

Stories of our clients: Kickresume

Kickresume is an example of a successful startup business created by Tomáš Ondrejka and Peter Ďuriš. This online tool for the creation of CVs has already helped more than 1,000,000 users get their dream job. It is the easy-to-remember name of Kickresume that has fostered the growth of this project. At the same time, it was the fear of the possible need to rebrand a successful business name that highlights the importance of brand protection efforts in the early stages of startup companies.

Facebook's transformation into Meta(verse): A Trademark Perspective

It has been some time since Meta (former Facebook) has announced its change of the business name [1] and also much wider transition of its activities into metaverse. Since then, much has been written about that but let us allow some additional thoughts on “Why Meta?” and what does it mean from the trademark perspective.