Trademark Registration in India: The Advantages a Business Gets From It
A sign that helps to differentiate a product of one producer from another or a company from its competitors is called a trademark. By attaching an indication to a product or service, a company can create an image in the minds of customers that lasts for a long time. A perfect example of a trademark is the red colored thumb that is always attached to the Thums-Up cold drink.
In India, a company can register:
Once any of these receives a trademark registration, only the owner has exclusive rights to use it. In simpler words, only the company can use the trademarked word, slogan, logo, etc. For example, only Apple Inc. has the right to put the partially eaten apple symbol on its products.
Why obtain a trademark registration?
In addition to distinguishing a product from others, a brand is an intangible asset for a business. It protects not only the owner of the property but also the brand. Some other reasons to obtain the trademark registration online are:
- It ensures that every consumer will easily recognize the product through the logo or name.
- It offers a legal safeguard against duplicate products and counterfeit services.
- It builds a sense of trust in customers, which in turn leads to loyal and repeat buyers that achieve the ultimate goal of profitability for any business.
- It can be sold, franchised or transferred at any time, making it an asset to the company.
An essence of registering a trademark in India
India’s law for trademark registration is called the Trademarks Act 1999. When a business applies for a trademark, it has to select from 45 different classes. These are categories of products and services that are defined by the nature of the business. Once a trademark is registered, it is entered into a registry that maintains all TMs of a particular class. This is done to keep track of all logos, symbols, words, etc. registered trademark.
A trademark is valid for ten years. Registration can be renewed for another decade, provided an application is submitted within a postulated deadline.
Advantages of Trademark Registration
- an intangible property
For a trade, any property has value. A trademark is considered by law to be property that is identifiable and intangible. It means that the brand has value because it is the symbol of the reputation of the product or service. Furthermore, a trademark registration works similarly to other assets of a company. It can be sold or transferred at any time.
A common brand, on the other hand, cannot be separated from the business, that is, an unregistered TM is always attached to the company. If another company wants to acquire the goodwill that comes with a common trade mark, they have to buy the entire trade and not just the mark.
- the exclusive right
A registered trademark can only be used by the owner of the brand and the product or service it serves. If someone other than the owner makes unauthorized use of it, you face legal charges. The authorized legal remedies that come with TM registration is the most significant benefit of this. Some of the actions that can be performed are:
- sue for infringement
- Delivery of infringed items
- pay for damage
- A major deterrent
The presence of a trademark discourages other business owners from using the same or a similar trademark on their products or services. It guarantees that a good maintains its surplus value.
- A promise of security
If a business wishes to obtain a loan, it can use the trademark in a manner comparable to real estate. In other words, a registered trademark can be pledged as collateral to obtain a bank loan.
- Right to licenses and others
Only a registered trademark is entitled to:
- Use the symbols® or “R” on an item or service.
- License the brand. It is registered in the trademark registry. Gives the licensee the legal right to initiate any proceedings in case of infringement.
- Be transferred to another entity, person or company.
- Get registration is some foreign territories. This allows for brand protection on a global level while expanding your operations.
- As evidence in the process
The act of registering a trademark is taken as proof of the validity of the registrations and the rights it entails. In case legal action is required related to the mark, the certification accredits a person as the owner of the mark. The original registration certificate is taken as evidence until proven otherwise.
- A right to action
Under the Counterfeit Goods Act 1997, the owner of intellectual property, which in this case would be a trademarked item or service, has the option of bringing criminal or civil action against a company or individual who has been involved in the forgery. The CGA also grants the same right to anyone who has an interest in counterfeit goods.