
Trademarks / Trademark Law / International Protection |
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Enforcement In
addition to a Trademark Watch service, it is important that the marketplace
also be watched. This can be done by encouraging members of the trademark
owner’s organization, including agents, employees, distributors and
licensees, to keep a watchful eye on the market and to identify and report
potential infringements.
Once
a trademark owner determines that the trademark is being used by another party
without authorization, it is necessary to consider action against such use.
Depending upon the jurisdiction, such action may take the form of infringement
proceedings, an action for unfair competition, or, in British law countries, an
action for passing-off, which is a type of unfair competition.
Although
most foreign countries have trademark laws that provide for injunctive relief
and monetary damages in the case of trademark infringement, such laws are
usually not as far-reaching as those in the United States.
The
rights accorded a trademark registration may be far narrower than in the United
States. The comments previously made with respect to widely varying standards
used to determine similarity apply equally as well in the context of
infringement and unfair competition situations.
Certain
countries, particularly developed nations and those that have been the subject
of intense lobbying by the United States, have adopted effective mechanisms for
enforcement of trademark rights, but many others are hopelessly ineffectual,
and often corrupt.
There
are some countries whose penal laws provide criminal remedies against
infringing acts and counterfeiting. These should be considered as an
alternative to civil action, since they are conducted by the local authorities
at great cost savings to the trademark owner. However, many times local law
enforcement personnel may be reluctant to take action in connection with
intellectual property matters, or worse yet, may be corrupt or sympathetic to
potential defendants who sometimes receive prior warning concerning proposed
anti-counterfeiting raids.
In
addition to trademark infringement, many countries also provide an action for
unfair competition, although the grounds may not be as flexible as in the
United States, which has, not surprisingly, developed an enormous body of case
law relating to acts of unfair competition. In most countries that follow
British law, such as the United Kingdom, Ireland, Australia, New Zealand,
Singapore, Hong Kong, and India, to name a few, there is no general cause of
action for unfair competition. Rather, such countries have an action for
passing-off, which is a restricted type of unfair competition. The elements of
a case for passing-off, generally speaking, consist of a misrepresentation,
made by a trader in the course of trade to his prospective customers or end
users, that is calculated to injure the business or goodwill of another trader
and that actually does or will do damage to the business or goodwill of the
plaintiff. Although actions for passing-off may be effective in many
circumstances, they are also quite complex and expensive proceedings when they
are contested. It should also be noted that in many jurisdictions it is
possible for the tribunal to issue an award of costs against the losing party
for the prevailing party’s litigation costs. This often forces parties to
consider carefully whether to bring an action with questionable merits merely
as a bargaining chip, as is often done in the United States, since the eventual
price of that chip can be quite high.
In
certain countries, including the United States, it is also possible to deposit
a local trademark registration with the local customs authorities, who will
conduct spot checks of imported goods to make sure that the imported goods
bearing the trademark are authorized. If unauthorized uses of a registered
trademark are discovered, the products will be confiscated and the trademark
owner will be notified, following which, within a short period of time, the
trademark owner may bring action against the infringing goods. This can be a
very effective tool in combating trademark counterfeiting and infringement.
Although not all customs authorities are as proactive as in the United States,
an increasing number, thanks to the requirements of the GATT-TRIPS, WTO, will
offer some procedure whereby trademark owners may notify the customs
authorities of shipments suspected of containing infringing material, pursuant
to which the officials may seize the allegedly offending goods until a judge
can decide the merits of the dispute.
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© Copyright 2002 Ian J. Kaufman - Posted July 2002
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