White-label software products are becoming increasingly common across many industries, including legal services. These products allow companies to rebrand and resell software developed by a third party as their own. In the legal industry, this might include client portals, practice management platforms, or billing tools. While the arrangement provides flexibility and branding opportunities, questions often arise about who owns the trademark rights associated with the product. A trademark lawyer is often asked to sort through these issues, especially when software providers and resellers both want control over branding.
In a typical white-label deal, the developer agrees to let a law firm or legal services company market the software under their own brand. The software itself may be identical across all clients, but the branding, domain, user interface design, and promotional materials reflect the reseller’s name and style. This creates the appearance that the reseller built the platform, even though the underlying code and infrastructure are owned by the original developer. It also allows companies to put their own branding on it so that there is no confusion as to who the system is for, plus it provides uniformity within a company’s tools.
Trademark Ownership Starts With Use
In U.S. trademark law, rights are typically based on actual use in commerce. This means the party using the mark to promote and sell services or products is generally the one with a claim to ownership. When it comes to white-label arrangements, this can get complicated. The reseller may be the one using the name in public, but the developer may have created the original branding and product.
To avoid disputes, the software developer and reseller should clearly define trademark ownership in their agreement. If the reseller creates a new name and branding for the product, they may want to register and own the trademark themselves. If the developer has already established branding for the software and only allows it to be rebranded under limited terms, they may want to retain the trademark rights. Law firms should be sure to create contracts with these companies and double check them to ensure the rights both parties want are represented correctly on paper.
Licensing And Co-Branding Arrangements
Some developers prefer to maintain ownership of the trademark and license the right to use it under certain conditions. Others may allow resellers to create entirely separate brand identities but require certain disclosures or trademark notices. In some cases, co-branding is used, where both the developer’s and the reseller’s names appear in connection with the software. Each of these scenarios involves different levels of trademark control and legal responsibility.
Attorneys like those at COFFYLAW can attest that without clear terms, disputes over ownership can lead to legal action, especially if the partnership ends and both sides claim the right to continue using the brand.
Why Ownership Matters For Growth And Exit Plans
If a reseller invests in marketing, customer acquisition, and long-term branding, they may expect to retain rights to the name they’ve built. But without ownership of the trademark, they could lose those rights if the partnership ends or the licensing terms change. This matters not only for business continuity but also for valuation during mergers, acquisitions, or expansions.
Software developers should also consider how their product is being represented in the market. If resellers are using inconsistent or misleading branding, it could harm the reputation of the original developer. Trademark control helps maintain brand quality and legal clarity.
When legal software solutions are offered under a white-label model, the question of who owns the trademark should never be left open. Trademark rights don’t transfer automatically just because someone is using the name in marketing. Clear agreements between developers and resellers, supported by appropriate legal advice, are key to avoiding disputes.
If you’re entering into a white-label partnership or trying to protect your brand in the software space, speaking with a lawyer can help clarify your rights and obligations before problems arise. Contact an attorney near you to get started.