I really like the font Athelas, this font came with my CS5 product license. I would like to use this font for the word : LUXE , which would be our logo.
Am I permitted to use this font as is for a logo to be placed on products such as a watch or T-Shirt then sell those products to customers? I believe this is considered
a commercial license.
You can use fonts that came with CS5 freely for logos and other commercial work.
But Athelas is not an Adobe font (it is a Type Together font), and I'm pretty sure it was never bundled with Photoshop.
Assuming that you have a license for it, see the EULA here: http://www.type-together.com/resources/eula/TT-EULA.pdf
It is however available through Typekit at no extra cost if you have a Creative Cloud subscription.
Be aware that Typekit fonts cannot be accessed like normal fonts on your computer, they are hidden. So you can't send a Typekit font along with the document to a printer. You either have to make a pdf, which will embed the font, or if the printer has a CC subscription, you could send the original document.
Other than that, from what I've read, you may be better off making the logo in Illustrator.
I don't use Photoshop for text, neither do I use Illustrator, so I can't give you any more advice. For all I know, using Photoshop for this logo might be OK.
Let's hope somebody else chimes in.