Update on Brexit - Part 4

Although it seems talks are still continuing between EU and the British government, it looks like we should seriously consider the possibility of a hard Brexit as per January 1st 2021.This overview is intended to guide our international colleagues (outside of the EU) on the key things to consider when it comes to managing a trademark porfolio and trademerk related disputes if there is indeed No Deal.

1) Consequences for existing EU trademarks or EU design registrations
An EU trademark registration or a registered design will automatically be split into a right for the EU and a right in the United Kingdom. No certificate is provided for the divisional registration in the UK. The English registration keeps the same registration number, just with a prefix added to it
- EU trade mark: prefix UK009
- International Registration designation European Union: prefix UK008
- Union design: prefix 9
- International design registration designating EU: prefix 8
Note: it will thus be an English national registration, even if it concerns an International Registration. So this is no longer part of the International Registration). When renewal is due, this must be done separately for each of the instances (WIPO and UKIPO)

2) Consequences for pending applications
If the application has not yet been completed into a registration by December 31st 2020, there will be a grace period of 9 months. Until September 1st 2021, a request for an English national registration can be submitted to UKIPO. This means that the application in the United Kingdom keeps the same application date as the EU application. There are costs associated with this (similar to the cost of a national UK filing). It is up to the trademark owner whether or not he wants to apply for a parallel right in the United Kingdom.

3) Consequences for new applications
From January 1st 2021, English representatives will no longer be allowed to deal with the European trademark authorities. Only representatives established in the European Union are allowed to file new EU trademark or EU design applications. This also applies to irregularities, disputes and any other problem with existing trademarks / models. Only representatives based on the continent are allowed to handle these issues.

4) Communicate changes in time - avoid unnecessary costs
Since EU registrations are split automatically, it is important to make sure all the holder's details are entered correctly. Is the applicant still located at the same address as shown in the EU register? Is the legal form unchanged? In the event of a split, the English registration will automatically receive exactly the same contact details as were in the EU register. If these are not accurate, these have to be updated at two different instances both having a cost. It’s better to anticipate, correct everything now in order to avoid unnecessary costs.

5) Not everything is split automatically
EU registrations are automatically split into a United Kingdom registration. However, not all details are included in that split. Security rights (for example, pledge rights) or registered licenses are not automatically transferred to the new UK registration. After the split, these types of additional data must be re-registered into the UK register. The advice is to do this within 12 months.

6) Genuine use
After the split-off, a new term for normal & genuine use will start running in the United Kingdom. If a trademark is over five years old at the time of its birth into the UK register and has not been put to use in the United Kingdom, a cancellation action for lack of use cannot be started immediately. Until January 1st 2026, holder can rely on the normal use in the European Union. This also applies to a claim on reputed / well-known brand.

What can Abcor do for you
In order to anticipate the above situation, a special Brexit desk has been set up for our international customers, under the supervision of Ellen Streekstra (one of our senior European trademark attorneys).

Why is it advisable to have a representative within the EU for handling EU trademarks and EU designs:
 to ensure that all correspondence automatically continues to go through the e-commerce portal of the EUIPO;
 to monitor renewals properly and to warn customers about the fraudulent invoices;
 to ensure that a European trademark representative can act directly on potential issues.

What about costs
We will make sure our office is appointed representative for existing registered Union rights, at NO COSTS for the applicant or agent. We will honor this, regardless of the amount of registrations or cases involved.

If you have any questions whatsoever, please get in touch with our Brexit desk, who will be happy to help. Drop us a mail at brexit@abcor-ip.com- or call +31 (0)71-5763116. (Source image: freepik.com.)

trademark-registration

Latest news
Rituals vs. The Body Shop: Battle of the Brands
The Bulldog rightly claims damages from Red Bull
Trademark Escobar parfum contrary to public order
Abcor team in World Trademark Review 1000
Louis Keijzer passes BBMM exam with flying colours
Our Clients
Follow Abcor
claimant
defendant
claimant
defendant

IP quiz Trademarks

Puma is one of the bigger sports and lifestyle brands in the world. The core-business is the design, development and sale of (sports) shoes, (sports) clothing and accessories. In 1960, Puma registered an international trademark for a device designed in 1958: the formstrip. Since then, Puma has registered approximately 90 formstrip trademarks with validity in the Benelux or the European Union. Puma claims that this is a serial mark. Monshoe is a wholesaler of women's shoes and related products. The company designs and develops Monshoe shoes which it largely markets itself. Monshoe sells its women's shoes under the brands Shoecolate and Pearlz. The shoe Shoecolate is offered in various colour combinations. Puma claims that Monshoe infringes its well-known formstrip trademark. Monshoe contradicts this and states that the average consumer will not perceive the device of Monshoe on the sneakers as a trademark. And if the public will recognize a trademark in the decoration, it will not make the connection to Puma. According to Monshoe, the formstrip logo is not a well-known trademark within the meaning of the BVIE and the UMVo. There is no likelihood of confusion because the sign does not or hardly evoke any association with Puma among the public. In light of the above, who is right? Does this constitute decorative use or linking to a well-known trademark?