Trademark evaluation is one of the services in the practice are of Intangible Assets Evaluation. The evaluation can cover either a single trademark or a set of trademarks. The service includes a preliminary legal analysis and a verification of the legal-administrative validity (the so-called “actual existence” of the trademark). According to the principles of the legal discipline, intangible assets such as trademarks, on-line platforms, software, patents, know-how, etc., in order to be eligible for financial evaluation, must be:
The issue of assessing the financial value of a trademark arises in the following cases:
In the case of a contribution into a company, the financial evaluation of the trade mark is compulsory pursuant to Article 2343 of the Italian Civil Code. In fact, the Civil Code requires an appraisal report to guarantee the actual amount of share capital. Trademark evaluation is also highly recommended whenever there is a doubt that disputes may arise – from the Inland Revenue and/or any third party – concerning transactions involving the trademark.
Please note, the legal valuation (STEP 1, see below) is often requested to our Firm by accountants who need to check the actual legal existence of the asset before proceeding with its valuation.
Our evaluation comprises two steps:
STEP 1. Legal evaluation (verification of juridical consistency): the Firm performs a specific due diligence. We check the list of trademarks filed with the relevant offices and the protection claimed with them (so-called trademark portfolio). Specifically, the type of registrations, ownership, protected territories and claimed goods and services are investigated. In addition, the actual use, any interference with third party rights, related contracts and investments are examined. The outcome of the legal evaluation is a detailed report (legal opinion) that becomes a part of the subsequent appraisal report. Please note that this legal evaluation (STEP 1) can also be provided by our Law Firm independently from the appraisal report. We are often requested to carry out a legal evaluation by accountants who need to verify the consistency of intangible assets for their clients before proceeding with their financial evaluation.
STEP 2. Appraisal report ( financial evaluation): the economic value of the trademark is estimated following methods based on profitability, costs and empirical data. The estimation of the trademark value is the outcome of the application of several valuation methods. The professional chooses the methods that are most consistent with the company’s peculiarities, the current situation and available data. The appraisal is usually carried out by accountants selected by Canella Camaiora Law Firm. The service referred to in Phase 1 is preliminary to the economic evaluation (Phase 2).
Canella Camaiora Law Firm is highly qualified in the management and protection of industrial and intellectual property rights. Among the Firm’s services, the trademark valuation service is one of the most requested and appreciated.
The legal evaluation (verification of legal consistency) of the intangible can also be estimated and provided separately from the appraisal report. The financial appraisal, if requested, is carried out by accountants – experts in intellectual property and selected by the Firm – who regularly collaborate with the Court of Milan.