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Events  /  Annual Meeting  /  Atlanta 2004  /  Special Reviews

STRATEGIES FOR NET LICENSING

INTA Daily News

Trademark lawyers need to “out-think the business and marketing people” when advising companies on their licensing strategies in the era of the Internet and digital technology. 

“Everyone’s goal is to make money out of the Internet,” said Steven M. Weinberg of Greenberg Traurig at a session on "Licensing in Cyberspace" in Marriott Marquis Ballroom 1/2 on May 4, 2004. But he warned that the business model of how to do so changes almost daily as techniques such as banner ads and direct email marketing fall out of favor. As a result, lawyers often have more experience than their client’s latest business development manager.

“One of the first negotiating issues to consider is ‘do the business people know what they’re doing?’” he said. “This is amazingly important. Many of the people I deal with don’t have experience in the online world. It gets to be exciting but stupid, running around trying to close a deal before the market changes. The answer is to create real business teams.” 

The panel summarized the most important issues lawyers need to consider in digital licensing, whether it relates to content, trademarks, domain names or software. Attorneys need to decide which law will cover the agreement, an issue that is particularly crucial in the global world of the Internet. 

They should also keep track of click-through and revenue rates, and advise on the merits of different triggers for payment between the licensee and the licensor. Sometimes it may be best to ask for payment when someone registers on a website and at other times only when they actually make a purchase through the Internet.


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