{"id":1959,"date":"2025-06-12T15:38:32","date_gmt":"2025-06-12T15:38:32","guid":{"rendered":"https:\/\/atlaw.kr\/en-blog\/successful-trademark-license-contract-violation-penalty-case\/"},"modified":"2026-09-02T18:23:31","modified_gmt":"2026-09-02T18:23:31","slug":"successful-trademark-license-contract-violation-penalty-case","status":"publish","type":"post","link":"https:\/\/atlaw.kr\/en-blog\/successful-trademark-license-contract-violation-penalty-case\/","title":{"rendered":"Successful Trademark License Contract Violation Penalty Case"},"content":{"rendered":"<p class=\"whitespace-normal break-words\"><span style=\"font-family: &#039;times new roman&#039;, times, serif\">Atlas Legal successfully represented South Korean Company A in a trademark license contract dispute against Chinese Company B, securing a favorable judgment. Company A holds the trademark rights for &#8220;Trademark X,&#8221; while Company B is a Chinese company that entered into a five-year license agreement with Company A in February 2022. Under the contract, Company B was authorized to manufacture clothing using &#8220;Trademark X&#8221; and sell exclusively through a specific Chinese online shopping platform called &#8220;Poizon.&#8221; Company B was required to pay royalties as a percentage of total sales, with a guaranteed minimum annual amount.<\/span><\/p>\n<p class=\"whitespace-normal break-words\"><span style=\"font-family: &#039;times new roman&#039;, times, serif\">However, Company B failed to pay some of the royalties due in 2023 and violated the contract by selling products on other platforms including Taobao and JD.com, which were prohibited under the agreement. When Company A demanded cessation of sales on other platforms, Company B failed to take any action even after 10 days had passed. Furthermore, Company B unilaterally notified contract termination without justifiable cause. Article 5 of the contract contained a penalty clause requiring payment of five times the minimum guaranteed royalty for such violations. When Company A filed a lawsuit claiming unpaid royalties and penalty fees, the Seoul Central District Court ruled in favor of Company A. This case encompasses various legal issues including the importance of trademark license contract drafting, governing law and jurisdiction, and foreign service problems.<\/span><\/p>\n<p>&nbsp;<\/p>\n<p><strong><span style=\"font-family: &#039;times new roman&#039;, times, serif\">Please check the content on Atlas Legal\u2019s new blog.<\/span><\/strong><\/p>\n<p class=\"whitespace-normal break-words\"><span style=\"font-family: &#039;times new roman&#039;, times, serif\">\u00a0<\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Atlas Legal successfully represented South Korean Company A in a trademark license contract dispute against Chinese Company B, securing a favorable judgment. Company A holds the trademark rights for &#8220;Trademark X,&#8221; while Company B is a Chinese company that entered into a five-year license agreement with Company A in February 2022. Under the contract, Company [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_kad_post_transparent":"","_kad_post_title":"","_kad_post_layout":"","_kad_post_sidebar_id":"","_kad_post_content_style":"","_kad_post_vertical_padding":"","_kad_post_feature":"","_kad_post_feature_position":"","_kad_post_header":false,"_kad_post_footer":false,"_kad_post_classname":"","footnotes":""},"categories":[952],"tags":[],"class_list":["post-1959","post","type-post","status-publish","format-standard","hentry","category-case-results"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v28.4 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>Successful Trademark License Contract Violation Penalty Case - Atlas Legal Blog<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/atlaw.kr\/en-blog\/successful-trademark-license-contract-violation-penalty-case\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Successful Trademark License Contract Violation Penalty Case - Atlas Legal Blog\" \/>\n<meta property=\"og:description\" content=\"Atlas Legal successfully represented South Korean Company A in a trademark license contract dispute against Chinese Company B, securing a favorable judgment. Company A holds the trademark rights for &#8220;Trademark X,&#8221; while Company B is a Chinese company that entered into a five-year license agreement with Company A in February 2022. Under the contract, Company [&hellip;]\" \/>\n<meta property=\"og:url\" content=\"https:\/\/atlaw.kr\/en-blog\/successful-trademark-license-contract-violation-penalty-case\/\" \/>\n<meta property=\"og:site_name\" content=\"Atlas Legal Blog\" \/>\n<meta property=\"article:published_time\" content=\"2025-06-12T15:38:32+00:00\" \/>\n<meta property=\"article:modified_time\" content=\"2026-09-02T18:23:31+00:00\" \/>\n<meta name=\"author\" content=\"\ubc95\ubb34\ubc95\uc778 \uc544\ud2c0\ub77c\uc2a4\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"\ubc95\ubb34\ubc95\uc778 \uc544\ud2c0\ub77c\uc2a4\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"1 minute\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\\\/\\\/schema.org\",\"@graph\":[{\"@type\":\"Article\",\"@id\":\"https:\\\/\\\/atlaw.kr\\\/en-blog\\\/successful-trademark-license-contract-violation-penalty-case\\\/#article\",\"isPartOf\":{\"@id\":\"https:\\\/\\\/atlaw.kr\\\/en-blog\\\/successful-trademark-license-contract-violation-penalty-case\\\/\"},\"author\":{\"name\":\"\ubc95\ubb34\ubc95\uc778 \uc544\ud2c0\ub77c\uc2a4\",\"@id\":\"https:\\\/\\\/atlaw.kr\\\/en-blog\\\/#\\\/schema\\\/person\\\/184bcdecc06f89fd6c36b29781165b55\"},\"headline\":\"Successful Trademark License Contract Violation Penalty Case\",\"datePublished\":\"2025-06-12T15:38:32+00:00\",\"dateModified\":\"2026-09-02T18:23:31+00:00\",\"mainEntityOfPage\":{\"@id\":\"https:\\\/\\\/atlaw.kr\\\/en-blog\\\/successful-trademark-license-contract-violation-penalty-case\\\/\"},\"wordCount\":242,\"publisher\":{\"@id\":\"https:\\\/\\\/atlaw.kr\\\/en-blog\\\/#organization\"},\"articleSection\":[\"Case Results\"],\"inLanguage\":\"en-US\"},{\"@type\":\"WebPage\",\"@id\":\"https:\\\/\\\/atlaw.kr\\\/en-blog\\\/successful-trademark-license-contract-violation-penalty-case\\\/\",\"url\":\"https:\\\/\\\/atlaw.kr\\\/en-blog\\\/successful-trademark-license-contract-violation-penalty-case\\\/\",\"name\":\"Successful Trademark License Contract Violation Penalty Case - Atlas Legal Blog\",\"isPartOf\":{\"@id\":\"https:\\\/\\\/atlaw.kr\\\/en-blog\\\/#website\"},\"datePublished\":\"2025-06-12T15:38:32+00:00\",\"dateModified\":\"2026-09-02T18:23:31+00:00\",\"breadcrumb\":{\"@id\":\"https:\\\/\\\/atlaw.kr\\\/en-blog\\\/successful-trademark-license-contract-violation-penalty-case\\\/#breadcrumb\"},\"inLanguage\":\"en-US\",\"potentialAction\":[{\"@type\":\"ReadAction\",\"target\":[\"https:\\\/\\\/atlaw.kr\\\/en-blog\\\/successful-trademark-license-contract-violation-penalty-case\\\/\"]}]},{\"@type\":\"BreadcrumbList\",\"@id\":\"https:\\\/\\\/atlaw.kr\\\/en-blog\\\/successful-trademark-license-contract-violation-penalty-case\\\/#breadcrumb\",\"itemListElement\":[{\"@type\":\"ListItem\",\"position\":1,\"name\":\"\ud648\",\"item\":\"https:\\\/\\\/atlaw.kr\\\/en-blog\\\/\"},{\"@type\":\"ListItem\",\"position\":2,\"name\":\"Successful Trademark License Contract Violation Penalty Case\"}]},{\"@type\":\"WebSite\",\"@id\":\"https:\\\/\\\/atlaw.kr\\\/en-blog\\\/#website\",\"url\":\"https:\\\/\\\/atlaw.kr\\\/en-blog\\\/\",\"name\":\"Atlas Legal English Blog\",\"description\":\"\",\"publisher\":{\"@id\":\"https:\\\/\\\/atlaw.kr\\\/en-blog\\\/#organization\"},\"potentialAction\":[{\"@type\":\"SearchAction\",\"target\":{\"@type\":\"EntryPoint\",\"urlTemplate\":\"https:\\\/\\\/atlaw.kr\\\/en-blog\\\/?s={search_term_string}\"},\"query-input\":{\"@type\":\"PropertyValueSpecification\",\"valueRequired\":true,\"valueName\":\"search_term_string\"}}],\"inLanguage\":\"en-US\"},{\"@type\":\"Organization\",\"@id\":\"https:\\\/\\\/atlaw.kr\\\/en-blog\\\/#organization\",\"name\":\"Atlas Legal English Blog\",\"url\":\"https:\\\/\\\/atlaw.kr\\\/en-blog\\\/\",\"logo\":{\"@type\":\"ImageObject\",\"inLanguage\":\"en-US\",\"@id\":\"https:\\\/\\\/atlaw.kr\\\/en-blog\\\/#\\\/schema\\\/logo\\\/image\\\/\",\"url\":\"https:\\\/\\\/atlaw.kr\\\/en-blog\\\/wp-content\\\/uploads\\\/sites\\\/3\\\/2025\\\/09\\\/\ud3f4\ub354-\uc0c1\ub2e8-\uc9c1\uc0ac\uac01\ud615.png\",\"contentUrl\":\"https:\\\/\\\/atlaw.kr\\\/en-blog\\\/wp-content\\\/uploads\\\/sites\\\/3\\\/2025\\\/09\\\/\ud3f4\ub354-\uc0c1\ub2e8-\uc9c1\uc0ac\uac01\ud615.png\",\"width\":540,\"height\":485,\"caption\":\"Atlas Legal English Blog\"},\"image\":{\"@id\":\"https:\\\/\\\/atlaw.kr\\\/en-blog\\\/#\\\/schema\\\/logo\\\/image\\\/\"}},{\"@type\":\"Person\",\"@id\":\"https:\\\/\\\/atlaw.kr\\\/en-blog\\\/#\\\/schema\\\/person\\\/184bcdecc06f89fd6c36b29781165b55\",\"name\":\"\ubc95\ubb34\ubc95\uc778 \uc544\ud2c0\ub77c\uc2a4\",\"image\":{\"@type\":\"ImageObject\",\"inLanguage\":\"en-US\",\"@id\":\"https:\\\/\\\/secure.gravatar.com\\\/avatar\\\/f03bca99acfafded0c4fa1b01dee8839b10f831ccba39db4d9dc175f44d3d640?s=96&d=mm&r=g\",\"url\":\"https:\\\/\\\/secure.gravatar.com\\\/avatar\\\/f03bca99acfafded0c4fa1b01dee8839b10f831ccba39db4d9dc175f44d3d640?s=96&d=mm&r=g\",\"contentUrl\":\"https:\\\/\\\/secure.gravatar.com\\\/avatar\\\/f03bca99acfafded0c4fa1b01dee8839b10f831ccba39db4d9dc175f44d3d640?s=96&d=mm&r=g\",\"caption\":\"\ubc95\ubb34\ubc95\uc778 \uc544\ud2c0\ub77c\uc2a4\"},\"sameAs\":[\"https:\\\/\\\/atlaw.kr\"],\"url\":\"https:\\\/\\\/atlaw.kr\\\/en-blog\\\/author\\\/prinz001\\\/\"}]}<\/script>\n<!-- \/ Yoast SEO plugin. -->","yoast_head_json":{"title":"Successful Trademark License Contract Violation Penalty Case - Atlas Legal Blog","robots":{"index":"index","follow":"follow","max-snippet":"max-snippet:-1","max-image-preview":"max-image-preview:large","max-video-preview":"max-video-preview:-1"},"canonical":"https:\/\/atlaw.kr\/en-blog\/successful-trademark-license-contract-violation-penalty-case\/","og_locale":"en_US","og_type":"article","og_title":"Successful Trademark License Contract Violation Penalty Case - Atlas Legal Blog","og_description":"Atlas Legal successfully represented South Korean Company A in a trademark license contract dispute against Chinese Company B, securing a favorable judgment. Company A holds the trademark rights for &#8220;Trademark X,&#8221; while Company B is a Chinese company that entered into a five-year license agreement with Company A in February 2022. Under the contract, Company [&hellip;]","og_url":"https:\/\/atlaw.kr\/en-blog\/successful-trademark-license-contract-violation-penalty-case\/","og_site_name":"Atlas Legal Blog","article_published_time":"2025-06-12T15:38:32+00:00","article_modified_time":"2026-09-02T18:23:31+00:00","author":"\ubc95\ubb34\ubc95\uc778 \uc544\ud2c0\ub77c\uc2a4","twitter_card":"summary_large_image","twitter_misc":{"Written by":"\ubc95\ubb34\ubc95\uc778 \uc544\ud2c0\ub77c\uc2a4","Est. reading time":"1 minute"},"schema":{"@context":"https:\/\/schema.org","@graph":[{"@type":"Article","@id":"https:\/\/atlaw.kr\/en-blog\/successful-trademark-license-contract-violation-penalty-case\/#article","isPartOf":{"@id":"https:\/\/atlaw.kr\/en-blog\/successful-trademark-license-contract-violation-penalty-case\/"},"author":{"name":"\ubc95\ubb34\ubc95\uc778 \uc544\ud2c0\ub77c\uc2a4","@id":"https:\/\/atlaw.kr\/en-blog\/#\/schema\/person\/184bcdecc06f89fd6c36b29781165b55"},"headline":"Successful Trademark License Contract Violation Penalty Case","datePublished":"2025-06-12T15:38:32+00:00","dateModified":"2026-09-02T18:23:31+00:00","mainEntityOfPage":{"@id":"https:\/\/atlaw.kr\/en-blog\/successful-trademark-license-contract-violation-penalty-case\/"},"wordCount":242,"publisher":{"@id":"https:\/\/atlaw.kr\/en-blog\/#organization"},"articleSection":["Case Results"],"inLanguage":"en-US"},{"@type":"WebPage","@id":"https:\/\/atlaw.kr\/en-blog\/successful-trademark-license-contract-violation-penalty-case\/","url":"https:\/\/atlaw.kr\/en-blog\/successful-trademark-license-contract-violation-penalty-case\/","name":"Successful Trademark License Contract Violation Penalty Case - Atlas Legal Blog","isPartOf":{"@id":"https:\/\/atlaw.kr\/en-blog\/#website"},"datePublished":"2025-06-12T15:38:32+00:00","dateModified":"2026-09-02T18:23:31+00:00","breadcrumb":{"@id":"https:\/\/atlaw.kr\/en-blog\/successful-trademark-license-contract-violation-penalty-case\/#breadcrumb"},"inLanguage":"en-US","potentialAction":[{"@type":"ReadAction","target":["https:\/\/atlaw.kr\/en-blog\/successful-trademark-license-contract-violation-penalty-case\/"]}]},{"@type":"BreadcrumbList","@id":"https:\/\/atlaw.kr\/en-blog\/successful-trademark-license-contract-violation-penalty-case\/#breadcrumb","itemListElement":[{"@type":"ListItem","position":1,"name":"\ud648","item":"https:\/\/atlaw.kr\/en-blog\/"},{"@type":"ListItem","position":2,"name":"Successful Trademark License Contract Violation Penalty Case"}]},{"@type":"WebSite","@id":"https:\/\/atlaw.kr\/en-blog\/#website","url":"https:\/\/atlaw.kr\/en-blog\/","name":"Atlas Legal English Blog","description":"","publisher":{"@id":"https:\/\/atlaw.kr\/en-blog\/#organization"},"potentialAction":[{"@type":"SearchAction","target":{"@type":"EntryPoint","urlTemplate":"https:\/\/atlaw.kr\/en-blog\/?s={search_term_string}"},"query-input":{"@type":"PropertyValueSpecification","valueRequired":true,"valueName":"search_term_string"}}],"inLanguage":"en-US"},{"@type":"Organization","@id":"https:\/\/atlaw.kr\/en-blog\/#organization","name":"Atlas Legal English Blog","url":"https:\/\/atlaw.kr\/en-blog\/","logo":{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/atlaw.kr\/en-blog\/#\/schema\/logo\/image\/","url":"https:\/\/atlaw.kr\/en-blog\/wp-content\/uploads\/sites\/3\/2025\/09\/\ud3f4\ub354-\uc0c1\ub2e8-\uc9c1\uc0ac\uac01\ud615.png","contentUrl":"https:\/\/atlaw.kr\/en-blog\/wp-content\/uploads\/sites\/3\/2025\/09\/\ud3f4\ub354-\uc0c1\ub2e8-\uc9c1\uc0ac\uac01\ud615.png","width":540,"height":485,"caption":"Atlas Legal English Blog"},"image":{"@id":"https:\/\/atlaw.kr\/en-blog\/#\/schema\/logo\/image\/"}},{"@type":"Person","@id":"https:\/\/atlaw.kr\/en-blog\/#\/schema\/person\/184bcdecc06f89fd6c36b29781165b55","name":"\ubc95\ubb34\ubc95\uc778 \uc544\ud2c0\ub77c\uc2a4","image":{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/secure.gravatar.com\/avatar\/f03bca99acfafded0c4fa1b01dee8839b10f831ccba39db4d9dc175f44d3d640?s=96&d=mm&r=g","url":"https:\/\/secure.gravatar.com\/avatar\/f03bca99acfafded0c4fa1b01dee8839b10f831ccba39db4d9dc175f44d3d640?s=96&d=mm&r=g","contentUrl":"https:\/\/secure.gravatar.com\/avatar\/f03bca99acfafded0c4fa1b01dee8839b10f831ccba39db4d9dc175f44d3d640?s=96&d=mm&r=g","caption":"\ubc95\ubb34\ubc95\uc778 \uc544\ud2c0\ub77c\uc2a4"},"sameAs":["https:\/\/atlaw.kr"],"url":"https:\/\/atlaw.kr\/en-blog\/author\/prinz001\/"}]}},"_links":{"self":[{"href":"https:\/\/atlaw.kr\/en-blog\/wp-json\/wp\/v2\/posts\/1959","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/atlaw.kr\/en-blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/atlaw.kr\/en-blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/atlaw.kr\/en-blog\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/atlaw.kr\/en-blog\/wp-json\/wp\/v2\/comments?post=1959"}],"version-history":[{"count":1,"href":"https:\/\/atlaw.kr\/en-blog\/wp-json\/wp\/v2\/posts\/1959\/revisions"}],"predecessor-version":[{"id":1998,"href":"https:\/\/atlaw.kr\/en-blog\/wp-json\/wp\/v2\/posts\/1959\/revisions\/1998"}],"wp:attachment":[{"href":"https:\/\/atlaw.kr\/en-blog\/wp-json\/wp\/v2\/media?parent=1959"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/atlaw.kr\/en-blog\/wp-json\/wp\/v2\/categories?post=1959"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/atlaw.kr\/en-blog\/wp-json\/wp\/v2\/tags?post=1959"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}