Rebrand Part II: Don't Get Lost in Translation
Legal in the Creative Process: Don’t Get Lost in Translation
In my last blog, I wrote about the crucial role a legal resource can play in a company’s rebranding efforts. This post accompanies that post as I explore a little more about how legal can assist in a smooth rebrand transition.
Often, the rebranding process involves re-doing existing agreements with third parties in order to reflect the results of the rebranding process. This is also a great time to take a deep dive into those agreements and re-read them with fresh eyes, update any outdated provisions, and generally ask whether they are working in your favor or hindering your success.
First, depending on the reason for the rebrand, you should review existing agreements for any provisions that will allow you to continue using those agreements. If for example, you had to rebrand because of a merger or an asset purchase, is there a provision that allows for the new entity to take on the obligations of the existing agreement? Perhaps you changed your logo and color scheme but nothing else changed or alternatively, you have an entirely new legal entity. Depending on the reason for the rebrand, you may or may not need updated third-party agreements.
Second, can you (or should you) use this rebrand as a reset? Were your agreements written so long ago you can’t even remember who the original drafter was? Were they written when certain laws were in place that are no longer in place or worse, have gotten more stringent? Privacy, employment, regulatory compliance -all areas with constant change and growth. Have you grown in size where the old one-page agreements really don’t account for your current risk and exposure requirements? Are you in more states than when the agreements were originally written? Are you using different media or platforms on which to advertise than before the rebrand – this may require additional compliance measures as well. Determine what, if any, additional such requirements apply to your third-party partners.
And finally, are you equipping your sales force or other customer facing personnel with the adequate understanding of the applicable contractual changes? David vs. Goliath, Godzilla vs. King Kong and yes, Legal vs. Sales. Can your customer facing personnel translate these contractual updates and explain them in terms that customers or third parties can easily understand. If contractual enforcement was not a priority before the rebrand this kind of effort has the potential to confuse and frustrate a long-time customer who is accustomed to different business dealings.
At our firm, we work with many clients on rebranding projects. More often than not, they involve creating a bridge between the legal verbiage and the real-world effects of the agreement. A well written indemnity clause, clear payment terms, a defined term and termination – these are for the benefit of all parties involved and we partner with our clients to enable them to create a strong and effective communication strategy.