Licensed Product Legality

[prsch]

There is a strip mall that had a nutritional store (tenant) that quit paying rent, and eventually, the landlord took ownership of the inventory as fullfillment of the tenants obligation to the contract. The store sold licensed nutritional products. I made an offer to buy the products from the landlord. He sold them to me. My question is....can I legaly sell the products? I have no contract with the comany. I do not advertize the product or any affiliation to it. What if I have profit or no profit in the sale? What if I give the products as gifts? Please help!

 

[Michael Wechsler]

Whether you could sell the products is governed by the tenant's agreement with the company that he purchased the goods from. Given the quantity of goods is rather small, it would seem doubtful that the licensor would pursue damages against you as they would likely be too small. I cannot say but if you really need assurace then you need to look at the contract that was made. A good question is whether these goods were paid for by the tenant or whether they were on the tenant's premises on a consignment basis and not paid for by the tenant. If so, it is difficult to say what this means but I would find such an agreement doubtful. For the ultimate reassurance, look at the agreement between licensor and tenant.

Originally posted by prsch
There is a strip mall that had a nutritional store (tenant) that quit paying rent, and eventually, the landlord took ownership of the inventory as fullfillment of the tenants obligation to the contract. The store sold licensed nutritional products. I made an offer to buy the products from the landlord. He sold them to me. My question is....can I legaly sell the products? I have no contract with the comany. I do not advertize the product or any affiliation to it. What if I have profit or no profit in the sale? What if I give the products as gifts? Please help!

 

[prsch]

The tenant bought the products from the company. If a sale was made, the tenant was to pay 6% to the company. So, the tentant owned the inventory, and had to give the products to the landlord as damages. The landlord sold it to another party, who then sold it to me. So, I bought it from the person, who bought it from the landlord. It seems I could buy a Dallas Cowboys t-shirt (NFL lisenced product) and resale it, as long as I do not advertise or claim a relation, ect.