If I’m starting a small business selling dolls from around the world and am licensed with the state but one manufacturer has a line of dolls licensed by Disney, do I need special permission to buy and sell these dolls?

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If I’m starting a small business selling dolls from around the world and am licensed with the state but one manufacturer has a line of dolls licensed by Disney, do I need special permission to buy and sell these dolls?

Asked on September 7, 2015 under Business Law, Washington

Answers:

SJZ, Member, New York Bar / FreeAdvice Contributing Attorney

Answered 9 years ago | Contributor

You can't sell Disney licensed dolls if the licensing agreement between Disney and the manufacturer does not permit them to sell them to you, since Disney could, if the manufacturer violates the terms of its license, bring a legal action seeking an injunction, or court order, stopping you from selling the dolls. You already have knowledge that Disney disapproves of you selling the dolls, so you would not be an innocent third party buying and selling the dolls without knowledge of the issue. Disney has many skilled and aggressive attorneys you don't want to get into a legal fight with them.


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