Why is trademark protection for business development important…?
Much has been written about trademarks and the sense of their protection. However, whenever we meet with entrepreneurs or participate in various events where entrepreneurs present their achievements, we once again find out that talking about the essence of trademarks is necessary.
It is surprising, but it turns out that even huge market players can overlook that their valuable products/services are identified among customers primarily by the name or logo. They also do not notice that with the increase in the popularity of “their brand”, there often appears to be someone “willing” to reserve this particular name, but for their own benefit, since the entrepreneur has neglected this option.
Effects, consequences – and what next?
It turns out that the lack of proper care of one’s property, uniqueness (in the worst scenario) results in the fact that such an entrepreneur can no longer use a given brand, because it is not theirs or never even was theirs (because he did not have such knowledge in advance).
What then? It often happens that the company has to implement a plan B – costly and uncertain rebranding is tantamount to a certain failure, a waste of time and money.
Remember, Entrepreneur!
In Poland, brand protection (the right to exclusive use) begins with its registration, and not when it begins to be used, as is the case, for example, in the USA. They have a lot of experience in disputes about the right to the brand, we always have the same, proven advice. Entrepreneur (!), take care of protection before you invest in a brand! Make sure it is actually yours! Otherwise, you will make a nice gesture to your competitor by giving him your creative work on a platter.
What is a trademark anyway?
Let us remind you that a trademark, commonly known as a “brand”, is a designation (word, logo, color, or a combination of these elements) that is used to identify and distinguish the products or services of a given company from those of competitors.
Trademark protection is crucial for any business for several reasons:
- Identification: A trademark allows consumers to recognize and identify the products or services of a particular brand. This is part of brand building and customer loyalty;
- Safeguarding interests: Protecting your brand protects your investment from being exploited by competitors;
- Competitive advantage: Having a strong brand can bring a competitive advantage in the market, and ultimately – lead to more sales and an increase in the entrepreneur’s market share;
- An instrument of attack and defense: Having a registered trademark gives a company a legal tool to chase infringers, which includes the possibility of claiming damages and demanding the return of profits obtained by the dishonest entrepreneur.
So what does it give?
Trademark protection not only protects the financial interests of the company, but also builds its market value and trust among customers. It is, or at least should be, a key element of business strategy and development of enterprises in the long term.
Where and how can you protect your brand?
Generally, entrepreneurs decide at the beginning of their path to protect a trademark in Poland or in the European Union. The decision to choose one of these routes requires consideration of several important issues, such as the scope of protection, planned investments, target recipient and costs.
Scope of trademark protection
- Poland (EN):
Registration of a trademark in Poland provides protection only in Poland. Therefore, the protection applies only to the domestic market, which may be sufficient only for companies operating mainly locally or under a trademark that is relevant only to Polish consumers (e.g. a Polish slogan). When thinking about the scope of use, you need to remember about future plans, not only the present.
- European Union (EU):
Registering an EU trade mark provides protection in all 27 EU member states. A uniform registration enables protection throughout the European market, which facilitates the management and enforcement of rights to a trademark as an identification of a given entrepreneur in relation to specific goods.
The protection of the EU trademark, in the long run, gives opportunities for greater development, with the availability of products/services of the entrepreneur outside Poland. It allows you to avoid the risk that, for example, a competitor will appear in Germany who will register a given trademark earlier when we were acting and thinking about protection only locally.
Remember:
Date of trademark filing = date of claiming priority over others.
Registration procedure:
- Poland (EN):
Trademark application is filed in the Polish Patent Office. The procedure is conducted in accordance with the provisions of Polish law. It lasts about half a year.
- European Union (EU):
Trademark application is filed at the European Union Intellectual Property Office (EUIPO) in Alicante, Spain. The procedure is conducted on the basis of consolidated provisions of EU law (regulation). It lasts about half a year.
Costs:
- Poland (EN):
Registration and maintenance costs are lower than for a European Union trademark. Official fees for filing a trademark application in 1st class (+ registration) cost PLN 890.
- European Union (EU):
The costs of registering an EU mark are higher than for a national mark, but registration provides for uniform protection within the EU. The official fees for filing a trademark application in 1st class (+ registration) are 850 EUR.
It is worth remembering that for small and medium-sized enterprises, EU support for trademark applications is provided in the form of non-refundable vouchers granted under the SME Fund. The funds are awarded until the pool for a given year is exhausted.
Summarizing…
The choice between registering a trademark in Poland and the European Union depends mainly on the company’s development strategy and its plans for operating in given markets. For companies planning to expand into other EU countries, an EU trademark is definitely a more justified investment, as it guarantees uniform protection over a wide area.
On the other hand, smaller companies, focusing mainly on the domestic market, may find benefits in a cheaper procedure for registering a trademark in Poland, the protection of which does not extend beyond Poland.
Before making a decision, it is worth consulting with a lawyer specializing in intellectual property law to choose the best solution tailored to your individual needs and company strategy. At FGGH IP, we are happy to advise entrepreneurs, after learning about the specific needs of the company and the planned expansion. Every decision must be based on human capital and long-term plans – this is extremely important.
Author: Helena Gajek
