Trademark battles are never-ending and epic and may entangle even giant companies. Confrontations spiked in 2019, featuring Starbucks, Apple, and Mcdonald’s in trademark court disputes. In 2023, Adidas lost one of its multiple trademark court battle against the luxury fashion brand that used Adidas’ famous “three stripes” logo design.
According to the European Union Intellectual Property Office (EUIPO) annual reports, more than 100,000 applicants attempt to register their trademarks in the EU every year. The exact numbers differ per year.
There are plenty of good reasons for business owners to register their trademark, and in this article, we will highlight the most beneficial ones. If this has been something you are debating, continue reading. This blog post will help you make an informed decision on why you should register a trademark and how it can save your business from financial losses and lawsuits.
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Brand Protection from Plagiarism
According to the World Intellectual Property Organization (WIPO), a trademark is a sign capable of distinguishing the goods or services of one enterprise from those of other enterprises. And when a trademark becomes registered, it is protected by law from acts of plagiarism.
A dispute about plagiarism may cost all parties involved a substantial amount of resources and money. You may even unknowingly be the one plagiarising. Whether your trademark is being plagiarised, or you have accidentally plagiarised another registered trademark, the battle will end up costing you more resources and effort than you might think.
Ensure Your Brand Uniqueness
Your brand uniqueness is ultimately the personality of your company. Having a brand identity aids in attracting clients, making your brand memorable, and helping you stand out from a sea of competitors.
When this vital aspect of your business is not legally protected, you risk losing it alongside the customers and advantages it brought you.
Protect Your Brand from Reputation Damage
Yet another significant risk accompanying not registering your trademark is the possibility that others may import and sell products and services under your trademark. The possibility of encountering fraudulent goods under an unregistered trademark increases significantly. Your options for fighting back would then be limited, costly, time-consuming, and mostly frivolous.
The Ability to Claim Legal Rights on Your Trademark
A registered trademark is often portrayed using the ® symbol. It serves not only to increase your brand value, but also to deter acts of either unintentional or deliberate infringement. ® symbol portrayed makes it clear that a trademark is registered and any infringement may end up in court debates.
Have the Right to Bring Lawsuit to Court
Any disputes with plagiarism are taken seriously by the law. Whether your trademark is registered or not makes a world of difference in how you fight your case.
If the trademark is already registered, your ability to prove ownership of the business and win the case becomes a piece of cake.
Have Your Trademark Listed in the Official Register
To ease logistical and legal operations, it helps tremendously to have your trademark be officially placed in the registry for public view. This means that anyone who decides to look it up can easily find it alongside other necessary information about your business, such as the date of registration.
Being listed in the official registry adds further value that can be of importance when potential business partners and collaborators look up your trademark, and when others in your field are considering applying for a trademark that may be similar to or even identical to your own.
Increased Brand Value
Similar to what was touched upon previously, registering your trademark makes your business more official, which brings forth a host of advantages.
Make Your Brand Attractive to Investors
One of the advantages that the increased brand value offers is that potential investors would most likely only be willing to invest when at least the basic rights of the company are protected.
It is implausible that major investors would be attracted when the trademark is not even made official.They may get deterred by increased risks of a serious legal dispute and a crash resulting from unregistered trademarks.
Increase Your Partnership Opportunities
Attracting investors is comparable to seeking business partners. Potential business partners need reassurance and guarantee that the company is in safe hands and is being protected legally. This is particularly the case with large businesses who would opt to save their reputation by preferring to operate with businesses that have registered trademarks. They may even have reason to believe that a company with an unregistered trademark is also unwilling to perform other varied operations adequately or legally.
Avoid Unwelcome Rebuilding Costs
It has been reiterated that not registering your trademark causes legal issues in the long run if someone decides to infringe on your rights.
The case becomes even more complex if someone decides to register your own trademark themselves. Legally, they have full rights to do so.
The consequences you will suffer in such an event mean you may be sued if you continue using the trademark. You would no longer legally be allowed to use it and would have to rebuild your brand under a different name.
This process is costly, time-consuming, and results in a loss of customers and general profit. On the other hand, the costs and efforts of registering a trademark are much less problematic.
Added Opportunities for E-commerce Sellers
One of the most compelling reasons for e-commerce sellers to register a trademark is the additional benefits they will get on major online marketplaces such as Walmart, Amazon, and eBay. One of the most important of those advantages is the automatically enhanced visibility, which almost always results in a boost in sales. Let’s see how retail corporations encourage business owners to get their trademarks registered.
Walmart
Walmart has a brand portal that allows the owners of registered trademarks to register within a few easy steps. This portal gives the owners access to the operations of their brands, allows them to easily submit property claims, efficiently keep up with said claims, and more.
Amazon
Amazon’s brand registry offers immense privileges to brand owners. Once your registered trademark becomes listed in the registry, you will be able to make use of their services even without selling your products on the platform.
One of their most critical services pertains to the removal of ads that are considered an infringement on your brand. Amazon keeps track of and handles such ads, but you may also take them down and take legal action against them.
eBay
The Verified Rights Owner (VeRo) on eBay offers many of the same services mentioned above regarding Amazon. Once a business with a registered trademark becomes a member of the program, a host of opportunities open up, such as the ability to detect, remove, and charge sellers posting counterfeit or fraudulent versions of their products.
Have Legal Rights to File for Trademark Protection Worldwide
Global xpansion of a business is always welcomed, and encouraged and is one of the reasons to register a trademark. However, you may only register your trademark globally after first registering it locally.
WIPO administers several international treaties, such as the Madrid Protocol and the Paris Convention that make up a legal framework for worldwide trademark registration. These make it possible to obtain international trademark registration that has an effect in each of the designated contracting parties.
If you’re looking to embrace all the benefits of operating your business with a registered trademark, contact Chern & Co. Our trademark experts will assist you in filing applications for national and worldwide trademark registration. Save up to 75% of the cost of registering a trademark in the European Union with us!
The Takeaways – Reasons to Regsiter a Trademark Made Obvious
In conclusion regarding the practical and legal reasons to register a trademark, it becomes apparent that it is the only logical step to take. The process is easy and inexpensive, providing numerous benefits, such as legal protection, attracting potential investors and partners, opening up a host of opportunities for worldwide growth!
