Trademarks
and service marks are words, names, symbols, or devices used by
manufacturers of goods and providers of services to identify their goods
and services, and to distinguish their goods and services from goods
manufactured and sold by others. A trade mark must be distinctive for
the goods and services provided. In other words it can be recognized as
a sign that differentiates your goods or service as different from
someone else’s.
Most businesses are aware of their brand or branding and rightly see it
as their corporate image and know it is of vital importance to their
business, but often do not realize how vulnerable it is at the same
time. In order to protect it properly, it should be registered as their
trade
A Trademark generally refers to a “brand” or “logo”.Trademark
registration can also be obtained for a business name, distinctive catch
phrases, taglines or captions.
Properly used and promoted, a Trademark may become the most valuable
asset of a business. Trademarks such as Coca Cola, HP, Canon, Nike and
Adidas serve as an indication of origin of the goods as well as an
indication of quality.
I
t is also essential to obtain trademark registration for the business
name/trade name under the Trademarks Act. Registration of a company or
business name under the Companies Act does not in itself give protection
against others who might commence using identical or similar marks.
Use of TM, SM and ® symbols
'TM' stands for Trademark and 'SM' stands for Service mark. The use of
TM and SM symbols notifies the public that the company is claiming
exclusive ownership of the trademark and can generally be used by one
who has filed a trademark application.
The ® symbol, can be used only once the trademark is registered and the
registration certificate is issued. Also, you may use the registration
symbol only in connection with the goods and/or services in respect of
which the trademark is registered.
#The registration process is the same for both trademarks and service
marks.
Selecting a good trademark
A trademark must be chosen carefully. If you are launching a product and
adopting a new trademark, please bear in mind that the scope of legal
protection you would obtain depends on the type of trademark chosen.
The most common mistake is to choose a word that is descriptive of the
goods or services. People do this in the belief that the consumer will
know straight away what the product is or the service rendered. The same
result can easily be obtained by combining a distinctive and fanciful
trademark with a word which indicates the goods or services. E.g. Kodak
film.
Descriptive trademarks are difficult to register and enforce. Although
it may be easier to market such products at inception, such trademarks
are offered the least amount of protection and therefore, in the long
term, it would be difficult to stop your competitors from using the same
or similar trademarks.
A better strategy would be to adopt a coined word, which has no
reference to the goods/services upon which it is used. E.g. Canon
Another option is to adopt an arbitrary word, which has no relevance to
the goods/services upon which it is used. E.g. Apple computers; Lotus
software
The more distinctive a trademark is, the broader will be the available
scope of protection.
GUIDELINES TO BE FOLLOWED:
• AVOID Superlative or Laudatory words E.g. Premium, Gold, Deluxe
• AVOID Descriptive words E.g. Coffee shop for coffee bars; Cooler for
Refrigerators
• AVOID trademarks Confusing Similar to existing trademarks
• AVOID words which have direct reference to the Character or Quality of
the product/service. E.g. Best Choice, Easy Cook, Super
• AVOID Common Personal Names or surnames. Such names are registrable
only if it has acquired distinctiveness through advertisements and long
use
Well known geographical names such as SWISS chocolates or U.S.A. pizza
are also not registrable.
There are also other factors to be considered in the adoption of
trademarks, which is beyond the scope of this text.
Trademark Registration Process
Upon filing of the application, the registry will issue us with an
official receipt with the filing date and number allotted to the
application. The application is then formally examined by the Indian
Trade Marks Office, as to its inherent registrability and/or any
similarity with existing marks. If an objection to registration is
raised, an official examination report will issue. To overcome the
objection, it is necessary to file a written response or presenting
evidence of acquired distinctiveness and in most cases, an
interview/hearing with the examiner is posted. The Registrar may require
the applicant to file an affidavit testifying to such user with exhibits
showing the mark as used.
If, following examination, the trade mark application is considered
allowable, a Letter of Acceptance (TLA order) will issue, after which
the trademark will be published in the Trade Marks Journal. If there are
no oppositions within 4 months from the date of advertisement in the
Trade Marks Journal, then the trademark registration certificate will
issue.
Trademark Registration is a tedious process and it takes around 18-24
months to obtain registration in a straight-forward case, without any
objections or oppositions. However, once the trademark application is
filed, an application number is allotted immediately and the priority
starts from the date of application.
Once the trademark is registered, it is valid for a period of 10 years
from the date of application. The registration can then be renewed
indefinitely as long as the renewal fees are paid every 10 years.
International Trademark Registration
Trademark registration is territorial in nature. Separate applications
need to be filed in each country where you wish to register your
trademark.
If you plan to sell and market internationally, it is essential to
register your trademarks in those countries. Usually, the party who
first registers a mark owns it. Therefore, it is significant to register
your trademarks in each country your company considers to be a potential
and key market. A national trademark registration stops at the border
and does not afford rights to the owner of the trademark outside the
country in which it is registered.
Most companies expanding into other countries often realize the value of
registering their trademarks abroad once it is too late, that is, once
they are faced with counterfeiters/imitators or once they are accused of
infringing the rights of others. The risks of doing so are very high and
the consequences may be extremely costly and detrimental to a company’s
entire business and export strategy. It can be a severe financial
liability to invest in a brand, promote it in the local market, then
find that the brand cannot be registered and used internationally and
have to finally abandon that investment.
1. Registering a trademark abroad renders the company an exclusive right
to commercialize its products in those markets.
2. This not only provides a solid foundation to stop counterfeiters but
also ensures that the company enjoys exclusive rights over what may be
one of its most valuable business assets.
3. Registering a trademark abroad also provides the opportunity to
license the trademark to others or may be the basis for a company’s
franchising or merchandising strategy.
Thus, the benefits of international registration and protection of one's
trademark clearly outweigh the costs of such registration.
International Application under Madrid Protocol
India has joined the Madrid protocol with effect from 8th July 2013. The
Madrid system for the international registration of trademarks provides
one single and cost-effective procedure for the registration of a mark
in several territories.
At present, there are 91 countries which are members of the Madrid
protocol. The following link shows the members of the Madrid system:
http://www.wipo.int/export/sites/www/treaties/en/documents/pdf/madrid_marks.pdf
In order to file an international application under the Madrid protocol,
there should be a corresponding trademark application filed in India.
In a single international application under the Madrid protocol, several
countries may be designated which are members of this system. The fees
will depend based on the number of classes and countries designated.
The Fee calculation
The fees can be calculated using the online tool by choosing Office of
origin as India, selecting the number of classes and specifying whether
the mark is in colour:
http://www.wipo.int/madrid/en/fees/calculator.jsp
In addition, a handling fee of Rs. 2,000/- is payable to the Indian
Trade Mark Registry.
Upon filing the application, the mark is examined by each designated
member country where registration is sought and then proceeds to
registration.
An international registration under Madrid protocol is however dependent
on the corresponding Indian application for a period of five years from
the date of international application.
If you wish to obtain registration in a country which is not a member of
the Madrid protocol, separate national trademark application has to be
filed directly in the respective country.
Advantages of filing an International Application under Madrid
protocol
1. Lower costs compared to individual foreign filings
2. Managing renewals, change in address, change in ownership is easier
and more cost-effective
3. Additional countries may be designated at a later stage |