Many businesses from across the globe are neglecting intellectual property ownership, as well as the inherent value of it. Majority of small businesses, particularly in UAE, are currently using any method for protection for their intellectual property and trademarks. Protections apply not only to trademarks but also for registered designs, copyrights, and patents.
Ways of Transferring IP Rights in UAE
There are two different methods for a business to transfer rights for intellectual property with the use of a declaration of assigning intellectual right in UAE: through licensing and through the assignment. A declaration of assigning intellectual right in UAE is needed if a business in the region wishes to do any of these: transfer ownership of an intellectual property it owns in writing; ownership transfer of intellectual property rights that were newly created and the transfer will occur when joining a business as a cofounder; intellectual property rights ownership transfer from new staff members onto the business; and intellectual property rights ownership transfer from a partnership or sole proprietorship business to a different business.
Licensing through UAE Declaration of Assigning the Intellectual Right
When licensing a different business entity with the use of a UAE declaration of assigning intellectual right, the licensor transfers rights in utilizing a trademark. It’s often involving a long-term relationship for business between a licensor or owner of IP and the licensee.
Also Read: Ultimate Guide To Power Of Attorney For Property Sale
Take note: An intellectual property rights holder can opt for providing a non-exclusive or exclusive license to a licensee. It will be determined by how many parties are able to utilize a single trademark or intellectual property. A declaration of assigning intellectual right may be flexible. The contract may also provide further restrictions in order for a trademark to only be used for any of all of the following:
- a specific classification of the product;
- in a certain location; or
- for a specific purpose.
Assignment through UAE Declaration of Assigning the Intellectual Right
The assignment of intellectual property rights through a declaration of assigning intellectual rights in UAE involves the complete IP ownership transfer from an assignor to an assignee. This declaration has to be drafted meticulously in order to make sure that all the parties that are involved understand the obligations that they have in relation to the intellectual property. Also, getting the help of an IP expert or specialist e.g. an intellectual property lawyer will allow you in finalizing the agreement without going through legal troubles. This is strongly recommended.
If you are the assignor or licensee of intellectual property or trademark right, a legal team that you hire has to perform due diligence that includes the thorough inspection of profitability aspects and different market values that are attached to an intellectual property. If you are currently putting your business up for sale in consideration, then you would want to consider how IP aspects are to be handled. This is where the expertise of intellectual property lawyers is needed.
Also Read: How To Give Authority In Transferring Property Ownership Using Power Of Attorney
Declaration of Assigning Intellectual Right in UAE
- It is a good idea if you have the declaration of assigning an intellectual right in UAE notarized by a notary public in UAE like Notary Public in Dubai. The notarization of the declaration will limit challenges and issues that can later arise regarding the validity of the signature of a party or the transaction itself.
- If the declaration of assigning intellectual right in UAE is quite complicated to comprehend, then don’t use an enclosed form. It is always best to have a trademark specialist to help you with the legal drafting in order for the contract to meet your unique needs and requirements.
- All parties that are relevant have to review the contract carefully in order to make sure that deal points and terms have been included. It’s better if you are over-inclusive with the declaration rather than being under-inclusive. Don’t ever assume that terms or certain expectations are already agreed by both parties if they’re not stated clearly on the contract or declaration.
- With a declaration of assigning intellectual right in UAE, never enter into one without doing a thorough due diligence process. If you’re the assignee or licensee, then you have to conduct several trademark searches with relevant registries in order to make sure that the licensor or assignor completed the registration process and has unique rights to the intellectual property. Consider as well hiring a specialist for a trademark search in UAE that can assist you with the due diligence.
- In a contract, there should be a proper description of parties that are relevant to the intellectual property assignment in UAE. There should also be a date as to when the contract was signed.
For notarization of Declaration of Assigning Intellectual Right in UAE, contact us here in Notary Public Dubai!
Hassan Humaid Al Suwaidi is a UAE Citizen and the founder of the firm HHS Lawyers. He has a vast experience of 20 years of dealing with high-value and complex notary requirements. Hassan has been involved in some of the largest legal settlements in the UAE and is commended for his ability to attain the most favourable outcomes for his clients.