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CS Executive · Economic, Commercial and Intellectual Property Laws · Law relating to Trade Marks

Ananya Textiles of Surat holds a registered mark for sarees and shawls. It sells the mark to Meera Garments along with goodwill, but only for shawls, retaining it for sarees. Under the Trade Marks Act, 1999, is this assignment permissible?

Yes. Section 38 allows a registered trade mark to be assigned or transmitted with or without the goodwill of the business, and in respect of all or only some of the registered goods or services. Assigning it for shawls alone is therefore permissible.

  1. ANo, a registered mark can be assigned only for all goods it covers
  2. BNo, assignment is permitted only without goodwill
  3. CYes, but only if the assignee is a company
  4. DYes, a registered mark is assignable with or without goodwill and for all or only some of the registered goods or servicesCorrect

Explanation

Section 38 makes a registered trade mark assignable and transmissible, with or without goodwill, and for all or some of the goods or services for which it is registered. So a partial assignment of shawls with goodwill is allowed, subject to the Chapter's other provisions.

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