Indian Law Primer

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Assigning Trademarks Not in Connection with the Goodwill of a Business

Section 42 of the Trademarks Act (India) applies to the assignment of a trade mark, whether registered or unregistered, not made in connection with the goodwill of the business in which the mark has been or is used.

The assignment shall not take effect unless the assignee applies to the Registrar for directions with respect to the advertisement of the assignment, and advertises it in such form and manner and within such period as the Registrar may direct.

The Act says that the timeframe within which this is to be done is: ‘not later than the expiration of six months from the date on which the assignment is made or within such extended period, if any, not exceeding three months in the aggregate, as the Registrar may allow.’

Explanation:

This Section does not apply to:

(a) an assignment of a trade mark in respect only of some of the goods or services for which the trade mark is registered accompanied by the transfer of the goodwill of the business concerned in those goods or services only; or

(b) an assignment of a trade mark which is used in relation to goods exported from India or in relation to services for use outside India if the assignment is accompanied by the transfer of the goodwill of the export business only.

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