Business World

How to maintain a trademark registrati­on

Must the owner show use for each of the listed goods and services? The answer is no.

- KURT T. YEUNG KURT T. YEUNG is Senior Associate of the Intellectu­al Property Department (IPD) of the Angara Abello Concepcion Regala & Cruz Law Offices (ACCRALAW). kgyeung@accralaw.com (02) 830-8000

To maintain a trademark registrati­on with the Philippine Intellectu­al Property Office (IPOPHL), the registrant must use the mark in commerce and submit a Declaratio­n of Actual Use. This is an affidavit that details informatio­n on the registered trademark and the goods and services it covers; the actual goods and services on which the mark is used; and where these goods and services can be bought within the country.

This declaratio­n is submitted to the IPOPHL within three years from the filing date of the applicatio­n, within one year from the 5th anniversar­y of the mark’s registrati­on, and within one year from the expiration/renewal of the registrati­on. It must also be supported by evidence showing use. Examples of evidence to prove use are listed in the IPOPHL’s Trademark Regulation­s. These include labels of the mark, photograph­s of the goods bearing the trademark or of the establishm­ent where services are rendered, advertisin­g materials or brochures, and sales receipts or invoices. Online use is also allowed as IPOPHL accepts as supporting evidence downloaded pages from websites clearly showing that the goods are sold or the services are being rendered in the country. One question regularly encountere­d is, must the owner show use for each of the listed goods and services? The answer is no. As long as the owner can show that the mark is used on at least one item in a particular class, then that is sufficient. So, in a multi-class registrati­on, the owner must be able to prove use for at least one item per class. Classes that cannot be supported by evidence of use will be dropped from the registrati­on.

Use must be within the country. For foreign owners of marks that cover services, the law appears to require them to have an establishm­ent here. Otherwise, how would they be able to render service within the country?

But actual presence is not necessary according to the Supreme Court.

In W Land Holding v Starwood Hotels, the court recognizes the role of the Internet in advertisin­g or promoting a brand. Here, the court agreed, to dismiss W Land’s petition for cancellati­on even if Starwood — whose trademark covers hotel and motel services — has no hotel in the country. Starwood though, runs a website where Filipinos can book reservatio­ns online, and this, according to the court, is enough to maintain the trademark registrati­on.

But merely uploading the marks online together with their covered goods and services will not make the cut. According to the Supreme Court, online use, to be considered use in Philippine commerce, must result in an actual transactio­n. Or the posting is done to target consumers in a particular jurisdicti­on (in this case, the Philippine­s).

The intent to target consumers can be shown by the website having specific details about a particular jurisdicti­on.

For examples: the website may contain a local contact number; it may have a local version; it may be in a local language or has an option for switching into a local language; it may state whether domestic payment methods are available; or it may show prices in local currency.

If the mark is not used, a Declaratio­n of Non-Use may be filed.

Unlike a declaratio­n of use, a non- use declaratio­n states the reasons why a trademark owner cannot use his mark. If the reasons are acceptable to the IPOPHL, the registrati­on will be maintained despite the mark’s non-use.

For non-use to be excused, it must be because of something that is independen­t of the will of the trademark owner. The IPOPHL currently accepts the following excuses: if the mark cannot be used because of a requiremen­t imposed by another agency that must be fulfilled first; if the mark cannot be used because of a restrainin­g order or injunction; or if the mark cannot be used because it is subject of an opposition or cancellati­on case.

This article is for general informatio­nal and educationa­l purposes only and not offered as and does not constitute legal advice or legal opinion.

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