8th Circ. Ruling Is Big Win For Nondebtor Trademark Licensees
June 10, 2014, 12:20 PM EDT
Law360, New York (June 10, 2014, 12:20 PM EDT) -- On June 6, the Eighth Circuit reversed its own August 2012 panel decision that had allowed a Chapter 11 debtor to “reject” a perpetual, royalty-free trademark license agreement as an “executory contract.” In reversing its earlier decision, the entire Eight Circuit determined that a perpetual, royalty-free trademark license was not an executory contract and thus not subject to assumption or rejection by a licensor debtor.
The Eighth Circuit decision stands in harmony with the Third Circuit’s decision in In re Exide Technologies, 607 F. 3d 957...