This is the third of a six-part series exploring how companies can grow the value in their brands by leveraging and protecting their intellectual property. (See the first two columns in this series: Part 1 and Part 2.)
In today's article, we will discuss how companies can expand and enhance the reputation of their brands—and generate additional revenue—through trademark licensing. Trademark licensing is the practice by which a trademark owner permits a third party to use its trademark, and the third party's use of the mark inures to the benefit of the trademark owner. Notably, a trademark license differs from a franchise agreement, in which use of a mark is permitted as part of a business system prescribed by the franchisor.