DHL Corporation and Subsidiaries - Page 42

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               shall be given to the relative amounts of all the                      
               direct and indirect costs of development and the                       
               corresponding risks of development borne by the various                
               members of the group * * *.  * * * Other factors that                  
               may be relevant in determining which member of the                     
               group is the developer include the location of the                     
               development activity, the capabilities of the various                  
               members to carry on the project independently, and the                 
               degree of control over the project exercised by the                    
               various members.                                                       
                                                                                     
               In this regard, petitioners argue that DHLI bore the costs             
          and risks of registering, protecting, and promoting the trademark           
          outside the United States.  Respondent counters that petitioners            
          cannot isolate the registration of the trademark outside the                
          United States as making DHLI the developer.  Respondent explains            
          that DHLI is a licensee, and there has been no showing that the             
          costs incurred for registration and/or enhancement of the                   
          trademark were more than a licensee would have expended at arm’s            
          length.  In addition, respondent points out that the DHL network,           
          at least in the customer’s or the public eye, was a single                  
          network and that, therefore, any enhancement was not readily                
          segregable for purposes of allocation.  Respondent also questions           
          which of the DHLI/MNV entities bore the cost of advertising or              
          marketing the trademark outside the United States.  In that                 
          connection, it was the international operating subsidiaries, and            
          perhaps agents, that bore those costs in their respective                   
          countries, and they were mostly MNV subsidiaries.  Finally, we              
          cannot ignore the paradox of petitioners’ argument.  How can it             
          be that DHLI spent hundreds of millions of dollars developing               
          (advertising) the DHL trademark outside the United States, but              



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