Business Law Newsletter

• Trademark Rights in a Business Name and Cease and Desist Letters
  Trademark owners generally have exclusive rights to use their mark to label or identify their goods and/or services. Accordingly, trademark rights in a business name give the mark owner the right to use the name for commercial purposes,... Read more.
• Effect of UNCITRAL on International Commercial Arbitration
  The United Nations Commission on International Trade Law (UNCITRAL) is the primary entity within the United Nations overseeing international trade law. One of UNCITRAL’s primary goals has been to prepare or... Read more.
• Scope of the Commerce Power and the Federal Arbitration Act
  First enacted in 1925, the Federal Arbitration Act (FAA) was created as an alternative to the high costs and delays of litigation. Up until that time, states were permitted to require disputants to litigate despite the existence of a... Read more.
• The Department of Labor's PERM System for Foreign Labor Certification
  One avenue that allows an employer to hire a foreign worker to work permanently in the U.S. entails a “permanent labor certification” through the Federal Department of Labor (DOL). Before the employer can submit a petition... Read more.

• Apple will seek damages from Epic Games for breach of App Store contract
• U.S. Justice Department’s Google lawsuit expected in weeks ahead, sources say
• UCLA files lawsuit after Under Armour tries to end massive $280M deal
• Center City’s Tredici Enoteca Accuses Co-Owner Greg Dodge of Fraud and Misappropriation of Funds
• Sunworks could face shareholder lawsuits over valuation in sale to Peck

What is "Good Will"

The “good will” of a business is an intangible asset, like the reputation, skill, or experience that is associated with the business. It also refers to the rate of recurring patronage that a business has developed over time with the general public.

Ownership

The good will of a business belongs to the business owner. It might be owned by either an individual or a corporation, but not by stockholders. The representative of a business is not personally connected to the business’ good will.

The ownership of good will may be transferred when the business is sold, but it cannot be sold apart from a business’ physical property. Good will ownership may also be transferred even when it is only implied and not specified in a contract. For example, the good will of a business trade name or trademark would be automatically transferred upon the sale.

Unfair Competition

The former owner of a business may conduct a similar business and even draw in former patrons. But it is not fair play if the former owner purposely confuses the public into thinking that a new business is the former business. This is unfair competition, and the new owner may be able to take action.

Remedies

An injunction may be imposed upon the former owner, disallowing any further activity that would cause public confusion and loss of profits to the new owner. If fraudulent activity has occurred, monetary damages may be awarded.

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