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   Interesting situation that could become a problem
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   Author  Topic: Interesting situation that could become a problem  (Read 311 times)
JohnDodge
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Interesting situation that could become a problem
« on: Apr 12th, 2007, 3:45pm »
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I'm not sure what to do with this situation...
 
  Some time last June/July, I created a custom product for a frequent customer of mine.  Said product became an instant success after having been passed around with like-minded people, and I started getting orders for re-creations. Other people wanted the same thing, and a name was tossed around and just sort of stuck.
  Since then, I have had well in excess of 200 completed orders for this product, am about 80 orders backlogged and they have taken on a life of thier own.
 
 I need to also mention that the original customer has had a lot of input on the design of this product, by selecting certain components for them, which buy and then I pay him for sorting through to find those that meet certain specifications.
 
  This one product alone has caused my busines to increase by about 1000%. It is now about 90-95% of our total output at this time.
  It would seem, now, that the original customer wants to assume control of the name, and assume control over where and perhaps to who this product is sold.  
  He wants a huge slice of my pie, to be more specific.  
 
  What can I do in this situation? If I tell him no, he could stop selecting components.  If I tell him yes, he gets a big slice. If I start selecting components in-house as continue production, he could become aggressive in defending the name.    
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JSonnabend
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Re: Interesting situation that could become a prob
« Reply #1 on: Apr 12th, 2007, 7:18pm »
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John -
 
As you know, much depends on who contributed what to the design, what's functional and what's not, what's patentable and what's not and who the goodwill in any mark accrues to.
 
You might want to go over the details with an attorney sooner rather than later.  Better to nip any problem in the bud by sorting out everyone's rights now.
 
- Jeff
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SonnabendLaw
Intellectual Property and Technology Law
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JSonnabend@SonnabendLaw.com
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