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Benefits of Trade mark Registration

27th September 2011
By John Adam in Business Law
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One of the benefits, predominantly cited, for Trade mark Registration is protection from competitors. However, it is often misconstrued since it is still subject to limitations. A competitor can still sue the Company for infringement unless the Company acquires an incontestability status. This means that no other entity can argue in court that the defendant's mark is confusingly similar to that of the plaintiff.

However, even this status cannot be acquired if the mark is generic, seems scandalous or violates anti-trust laws etc. Then again, another benefit of registration is that one can use the symbol ‘®' in the trademark which he/she cannot use otherwise. This will in turn mean that the trademark is the exclusive right of its owner and the owner values his/her intellectual property and will not tolerate any infringement. Trade mark Registration also acts a deterrent from allowing others to use the same trademark for their goods and services. This gives the trademark owner the sole monopoly over the use of the trademark. This means that if one Company registers a trademark comprising of a smiley face, no other Company use the same smiley face, even in different colours, for their trademarks.

Trade mark Registration also allows for assistance from the Customs Service against counterfeiting of goods and services. The same product and services can only be produced under a different mark. It will also effectively deter cybersquatters from using your mark as their domain name. Moreover, registration of a trademark gives an extra edge in the courtroom over an opponent whose trademark is not registered. The judge will be more inclined to listen to you than to the other party because his/her case is already weakened by the fact that his trademark has got no statutory protection. Even if it's a case of the plaintiff prosecuting a business for trademark infringement, if the business has got it registered, it has got legal backing and so will pose a strong case.

Registration makes it easier to prove that the trademark used is valid and that it belongs to the owner and so is not in violation of any trademark law. Trade mark Registration also allows to recover damages in case of infringement and the most egregious of violations can actually allow a business to recover huge amounts in damages. The attorney's fees can also be recovered from the infringer and this adds to the advantage.

Since a trademark is an intangible asset, it is often the most invaluable plus point that a Company can ever have. The intangible assets, many a times, form a great portion of balance sheets of Companies and so Companies have to be extra cautious to protect their most precious resources. Registering a trademark also allows for the avoidance of hassle caused by being on vigil if any other Company uses a similar trademark. The United Kingdom Intellectual Property Office will automatically refuse registration, without bothering the original owner of the trademark. So the trademark owner can simply sit back and relax, leaving the task of vigilance to UKIPO.

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