A member's right to use their organization's insignia is limited to noncommercial personal use. Outside of this limited use, a member of an organization is required to follow the same legal obligations as other vendors. Consistent with fair trade practices, our clients have equitable terms for all vendors, regardless of whether or not an owner or employee may be a member of their organization.
Yes, licensing applies whenever a commercial transaction takes place. Moreover, neither individual chapters nor members of the organization have the right to grant commercial use of the trademarks to a third party. Only the inter/national organization (headquarters) has that authority because they are the sole trademark owner.
Licensing benefits members because it's the best way to ensure that members receive quality products and services that adhere to their organization's standards and positively represent their membership in a values-based organization. Additionally, royalties collected ultimately benefit members in the long run because they support scholarships, educational programming, leadership trainings, etc.
While it isn't a legal requirement of theirs, our clients actively educate their members about their licensing program in various ways including emails, chapter newsletters, articles and ads in their publications, leadership trainings, etc. They also have policies in place, which state that their members can only purchase merchandise containing their marks from licensed vendors.