4 - 10 - European Trademark Law III - Life and Death (10-50)

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4 - 10 - European Trademark Law III - Life and Death (10-50)

Transcript of 4 - 10 - European Trademark Law III - Life and Death (10-50)

Welcome back to this lecture.By now I hope that you havemanaged to find some cases inthe Court of Justice Database andthat you have learned more aboutlimitations, and some about infringements.Now we will continue this lecture bydeveloping the paths of the life span ofthe trademark.So far, we have learned thata registered trademark is a strong, butnot absolute right, that may be perpetual.However, a strong perpetualright is pointless if itdoesn't providethe proprietor with benefits.Consequently, it is relevant toinvestigate how a proprietor canexercise a trademark in a useful way.The exercise of a trademark right meansthat the proprietor's using the rightto prevent a third-party from usingan identical or confusingly similar sign.Another way to express suchexercise is that a trademark may beused to prevent infringement.This right that is conferred by trademarkis expressed in Trademark Directive,Article 5, andthis provision separates three types ofinfringing acts that a proprietoris entitled to prevent.Firstly, the use of identical sites foridentical products,the double identity rule.Secondly, the use of similar signs forsimilar products, the ruleregarding likelihood of confusion.And thirdly,use that exploits the goodwill of,of famous trademarks,which is the rule on extended protection.The Double Identity rule provides theproprietor with the rights to prevent anysign which is identical with the trademarkin relation to goods or services.Which are identical with those forwhich the trademark is registered,article 5(1)a.This provision aims at preventingobvious situations of counterfeiting,and such actions are usuallyrather easy to judge.The second andmore problematic rule is article 5(1)bregarding likelihood of confusion.This will state that a proprietormay prevent any sign where thereexists a likelihood of confusion onthe part of the public, and thisincludes the likelihood of associationbetween the sign and the trademark.By the wording of the provision,it may be evident that there canbe severe problems in application.Several problematic situations arisein the assessment of when likelihood ofconfusion occurs.And it is to be regarded asa principal rule that a proprietor andthe potentially infringing user havedissenting opinions as to the assessment.There are plenty of cases from the juniorcourts regarding this rule andhow it is to be interpreted.Some key points in the interpretation isthat it matters if it is a strong andwell known trademark.These marks will gain a broaderprotection, and thus,the ability to prevent not-so similar use,whereas others lessfamous trademarks will have to stakewith a more narrow scope of protection.It is also important to note thatthere is a close relationship betweensimilarity of signs andsimilarity of products and or services.If both signs are used in relationto identical products services,there is a need fora more extensive difference as tothe sign in order not to createlikelihood of confusion.On the other hand,if the product and/or service are not sosimilar it may be possibleto use similar oreven identical signs withoutrisking likelihood of confusion.Finally, there is this third ruleextending the protection forwell-known trademarks.The rule is to be found in article five,subsection two.And it is a rule that is tailored fornotoriously well known trademarks.Or, to put it differently,trademarks with a reputation.This rule has no prerequisitesas to likelihood of confusion.Thus it provides a stronger protection forthe trademark that is covered by through.However, there is a perrequisite that the use inquestion without due coursetakes unfair advantage of oris the instrumental to a distinctivecharacter or the repute of the trademark.One could state thatthis is the only rule intrademark law that reallyprotects reputation and goodwill.But this favorable output isonly afforded to famous marks.For not so famous marks, a protection forgood will is mainly to befound in other fields of law.And one example would bethe marketing regulations.In order to exercisethe trademark right effectively,there is a need to be able toimpose effective sanctions.In other words, the proprietor needsto be able to enforce the right.As indicated duringthe introductory lecture,this is an area that wewill only address briefly.However, I would like to draw yourattention to the fact that upuntil recently enforcement of rightsis not part of EU harmonisation.But in 2004, a directive regardingenforcement was signed andwith severe delays in manymember states implemented.For instance in Sweden first of April,2009.And this enforcement directive providesdetailed rules regarding sanctions andother means to effectuate enforcement.And the fact thatenforcement rights are nowwithin the real of harmonized EU lawwill bring forward a development incase law from the union courts thatwill be necessary to take into account.When enforcement of intellectualproperty rights are at stake.As has been indicated before the trademarkprotection may be perpetual, butit is to be remembered that a rightthat is registered needs to berenewed every tenth year.If you forget to renew the registration,your trademark will cease to exist.In other words, despite thisperpetual nature of a trademark,there are situation in whichprotection may be revoked.Besides renewal of registration,other reasons to end protection would bethat the trademark is not being used.Which is stated in trademarkdirective article 12, subsection 1.Partly due to this generous time limit forprotection the endless right.There is a requirement thatthe right has to be used.If there is no use, there is a ground forrevocation of protection.The used requirement in the trademarkdirective states that the trademark shallbe liable to reallocation if,within a continuous period of 5 years,it has not been put to genuineuse in the member state.In connection with the goods or serviceson respect of which it is registered, andthere are no proper reasons for non use.Another ground for revocation is to befound in Article 12, subsection (2)a.This rule states thata trademark shall be liable forrevocation if in consequence of acts orinactivity of the proprietor.It has become the common name inthe trade for a product or service.In respect of which it is registered.Another way to put this would be to saythat a trademark has degenerated andthe ineration in a simplifiedexplanation is a process thatusually means thata trademark becomes a verb.One topical example may be the fact thatpeople, in general, are not searching forinformation on the internet.They are googling.This ought to be an alarm bell forthe proprietor that this trademark maybe on the verge of being the degenerate.The ignoration is usually a threat onlyto a notoriously well-known trademark,but it may also be an issue when a newproduct is introduced on the market.This was the case with windsurfing, andsimilarly, almost happenedwith Rollerblades.That, during the first years afterthe introduction of inlines.Which is the actual name of the product,among many users becamethe common name for the product.The important lesson fora proprietor to avoid degeneration,is to be careful andobservant as to how a trademark is used.Both in spoken and written language.Also important to note is the fact thatwhen a new product is introduced onthe market, it is equallyimportant to invent a name forthe product,to which the trademark can be related.If that do not happen, it is likely thata trademark will become the generic,common name of the product.And it will no longer be possibleto protect the name as a trademark.As is hopefully evident fromthe lectures on trademark law,there are several aspects that needs to betaken into account when a proprietor isbuilding a proper trademark strategy.A trademark has an enormous potential andit may become a company'smost important asset.And more, more often, that is actuallythe situation in modern companies.And due to the fact that trademarksare perpetual if we use them,we may regard them as old friends.Crucial for our existence andnecessary to foster.And if you learn to take good care ofyour trademarks they will likely show youloyalty forever.