Company’s trademark – the most valuable economic asset, says expert

PETALING JAYA: Fake websites often involve misuse of brands and companies online, with the Internet making cyberspace the fastest growing sphere in counterfeit trade.

Malaysian Intellectual Property Organisation (MyIPO) corporate communication head Aktar Sahari said a brand or company trademark played multiple functions in representing goods and services in the marketplace.

“It assists consumers make informed choices for quality, and is also an effective medium of advertising.

“In general, a company’s brand or trademark is the most unique identifying element and also the most valuable economic asset,” he said.

As MyIPO developed various initiatives to streamline trademark application and registration processes, more awareness was needed especially among brand and company owners on trademark ownership.

“It is important to register trademarks because owners have exclusive rights to use their brands in trade. They also have the right to take legal action against anyone using their trademarks without consent,” he said.

The importance of trademark registration also provides for strategic brand protection, which is crucial in protecting the valuable and intangible asset, Aktar said.

“Such an approach will help in successful legal action against infringements.

“Trademark owners can lodge complaints under the Trade Description Act with the Domestic Trade and Consumer Affairs Ministry in case of brand or trademark misuse,” he said, adding that other laws governing trademarks included the Trade Marks Act and Trade Marks Regulations 1997.

If the trademark was not registered, Aktar said brand or company owners would not be able to take legal action under the provisions of the Trade Marks Act against the infringer.

“However, action may be instituted under law, where the trademark owner has a duty to convince the court that the infringing act had misled the public and the infringing goods or services may be mistaken as his goods or services.

“But this process is very contentious and costly,” he added.