One of the most effective ways you can protect your business name, brand and particular services is to register your trademark, it is part of your intellectual property. Our trademark specialists have been helping companies to register and monitor trademarks successfully for many years. There are major benefits to registering your trademark early.
Proof of ownership - avoidance of costly passing off actions
Anyone trading under a brand can rely on unregistered rights to it in much the same way they could rely on a registered trademark though these unregistered rights are typically much harder, and far more expensive, to enforce.
The owner of an unregistered trademark would have to bring an action against the third party and must demonstrate that:
- they enjoy significant goodwill and/or reputation under the sign in question;
- the third party has made a misrepresentation that is likely to deceive the public into believing that the goods or services it is offering are those of the applicant owner; and
- The misrepresentation must damage, or be likely to cause damage to, the applicant’s goodwill and/or reputation.
There is a very high evidentiary standard for a Passing-Off claim and they can be very expensive and time consuming for the applicant as the burden of proof is placed solely on them. This in in contrast to the enforcement of a registered trademark where you just have to show that your registration pre-dates the use of the conflicting brand and that the conflicting brand is confusingly similar to the registered mark in terms of the mark itself and the good/services for which it is used.
Registered trademarks
As your service or product becomes established in the market, the trademark becomes more valuable with the goodwill associated with it. A company’s trademark and the associated goodwill can be compared to the historic cost of creating/building the trademark and the estimated cost to create an equivalent or replacement trademark.
As the owner of the mark you will have a statutory monopoly for use of the mark in relation to the goods or services for which it is registered therefore a well protected trademark can be sold, franchised or licenced.