How JustAnswer Works:
  • Ask an Expert
    Experts are full of valuable knowledge and are ready to help with any question. Credentials confirmed by a Fortune 500 verification firm.
  • Get a Professional Answer
    Via email, text message, or notification as you wait on our site.
    Ask follow up questions if you need to.
  • 100% Satisfaction Guarantee
    Rate the answer you receive.
Ask Maverick Your Own Question
Maverick, Lawyer
Category: Intellectual Property Law
Satisfied Customers: 6272
Experience:  20 years professional experience.
Type Your Intellectual Property Law Question Here...
Maverick is online now
A new question is answered every 9 seconds

My company consists of three partners. Myself and another

This answer was rated:

My company consists of three partners. Myself and another partner (whose combine share total 80%) want to dissolve the company and continue operations under a new name. Our concern is the use of the trademark. Once we dissolve the company, who has right to this trademark and will the minority partner still retain 20% ownership over it?

Welcome to Just Answer! My name isXXXXX very much enjoy what I do and I hope that you will benefit from this information.


When you go to dissolve the company, you will have to pay off the creditors first and if there is any money or valuable assets left, you will have to give those to the shareholders in proportion to their ownership interest in the company. So, yes, the minority partner could still feasibly end up with a 20% right in the trademark if it is not sold for cash.


If you need more clarification or follow up information, please feel free to write back as there is no extra charge. Otherwise, please click on the ACCEPT button. Even if you have put in your payment information, I receive no credit for my time unless you press "ACCEPT".

Sometimes the law does not give you the outcome that you may have anticipated. Please understand that this is not the attorney's fault. We are assuming that you are paying for an honest and professional opinion.

Please know that there may be a delay between your follow up question and my answers because I may be helping other customers. Rest assured, I will get back to you. In the meantime, you can learn more about me by clicking on my name at the bottom left hand corner of the screen.

This information is provided so you may better discuss legal issues with your attorney. Consult a local attorney for legal advice before acting. You may be able to find an attorney in your area to further assist you at or


If you feel that I went an extra step to help, a bonus would be greatly appreciated! Also, please know that you can always request me for a future question by starting your new question with "This question is for Maverick".



Customer: replied 5 years ago.
Myself and the other shareholder who holds 60% share are the company's creditors. Post the third shareholders's involvement, "loans" paid out to the company total approximately $75,000, none of which have been contributed by the third member.

Our only assets are that of inventory, which we would gladly give 20% to the third member. We've also gone through a business valuation that showed our company is worth less than zero. I should have informed you that we are a start up and have additional liabilities that this third member refused to contribute additional capital to help pay for, hence the reason for dissolution.

Further, the trademark was created prior to his involvement. Will this make a difference in who will retain ownership of the TM?

The inventory is an asset. But so is the trademark. It is an intangible asset that has some value. When you liquidate the company's assets, the creditors have to paid back their loans and thus the argument could be made that since you and the 60% shareholder made the loans of $75k and the value of the inventory and trademark are less than that, then both assets now belong to the two of you. If the third disagrees, ask him to pay you back the 75k in loans and he can keep the inventory and trademark rights.


The fact that the trademark was owned by the corporation before the third shareholder became a shareholder does not matter.



Customer: replied 5 years ago.

Thanks for your advice. I will be sure to consult with my attorney regarding strategy moving forward.
Sure, no problem. I would appreciate it if you would please remember to click "accept" so that I may obtain credit for the answer. If you have any follow ups, just write back on this thread. Thank you.
Maverick and other Intellectual Property Law Specialists are ready to help you