WEBINAR SERIES 2020 – TOPIC 4/10Trademark Law Basics (English)

Webinar on 27 May 2020 – 5 p.m. to 6 p.m.

Speakers

Alexandra DellmeierRechtsanwältin / Attorney at Law (Germany)Certified Intellcual Property Attorney

Karolin Schech (née Ernst)Rechtsanwältin / Attorney at Law (Germany)

F. Andrea Breier, LL.M.Rechtsanwältin / Attorney at Law (Germany)

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Attorney at Law -Certified IP Attorney

LL.M. (IntellectualProperty)

Attorney at Law

Speakers

ALEXANDRA DELLMEIER

FREIA ANDREA BREIER

KAROLIN SCHECH (née Ernst)Attorney at Law

I. Introduction – economic value of a trademark

II. What is a trademark from a legal point of view?

- Trademark functions

- Types of trademarks

- Case Study

III. How can a trademark right be acquired?

- Trademark development

- Searches

- Choosing the appropriate protection system

- Overviews on costs and timing

IV. What benefits can be derived from a trademark?

V. LexDellmeier online trademark application

VI. Q & A

VII. Conclusion and outlook on the next webinars

AGENDA

I. Introduction –What is the economic value of a trademark?

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TRADEMARKS CONTRIBUTE SIGNIFICANTLY TO THE VALUE OF AN ENTERPRISE

Industry Ø Trademark value to company value*

1. Food / beverages 81%

2. Textile / clothing 77%

3. Consumer electronics 64%

4. Household goods 51%

5. Industrial goods / suppliers 35%

6. Trade / Retail 25%

7. Financial services 18%

8. Energy services 17%

Average across all sectors 46%

*Enterprise value: determination of overall sector-specific sales multiples (FINANCE multiples) of the evaluated year

Average percentage

Source: BRAND RATING Markenwert-Datenbank

Share of trademark value in company value

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OVERVIEW –INTELLECTUAL PROPERTY RIGHTSIntellectual Property (IP)

Non-technicalIP Rights

Company names,

work titlesetc.

Domains

Trademarks

Designs

Copyrights

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OVERVIEW –INTELLECTUAL PROPERTY RIGHTSIntellectual Property (IP)

Technical IP Rights / others

Topo-graphiesPlant

varieties

Patents Utility models

II. What is a trademark from a legal point of view?

Trademark functions

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TRADEMARK FUNCTIONS

Eligible for protection astrademarks are all signs whichare capable of distinguishingthe goods or services of one enterprise from those of otherenterprises.

1. Definition

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TRADEMARK FUNCTIONS2. Functions

Guaranteeing a certain level ofproduct quality

Individualization of goods orservices as such by a certain

company

Information aboutcharacteristics that affect the

image of the product

GuaranteeCommunicationIndication of origin

Types of trademarks

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TYPES OF TRADEMARKS 1. Word signs, letters, numbers

Trademark Registered for (inter alia)

BMW Vehicles and parts thereof; motors.

MAutomobiles and parts thereof, as far asincluded in class 12; miniatures ofautomobiles.

X5 Vehicles and parts thereof.

725 Motor vehicles and their parts.

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TYPES OF TRADEMARKS 2. Figurative signs / device marks (= only figures – no letters/numbers)

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TYPES OF TRADEMARKS 3. Combinations of word and figurative signs (= word/device marks)

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TYPES OF TRADEMARKS 4. Three-dimensional signs (= 3D marks)

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TYPES OF TRADEMARKS 5. Sound marks

6. Colour marks

Jingles from radio stations Advertising jingles

Kraft Foods Schweiz Holding GmbH

Deutsche Telekom AG Deutsche Post AG

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TYPES OF TRADEMARKS7. Other types

Other presentations

Multimedia marksTouch marks

Smell marks

Case Study

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CASE STUDY

Welche Schutzrechte erkennen Sie?

Weltweiter Schutz?

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CASE STUDY

Welche Schutzrechte erkennen Sie?

Weltweiter Schutz?

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Weltweiter Schutz?

CASE STUDY

Which IP rights do you see?

Weltweiter Schutz?

• Trademarks (word marks and word/device marks)https://euipo.europa.eu/eSearch/#advanced/trademarks/1/100/n1=MarkVerbalElementText&v1=Veuve%20Clicquot&o1=AND&c1=CONTAINS&sf=ApplicationNumber&so=asc

• 3D Mark (for „inventive“ packaging)https://euipo.europa.eu/eSearch/#details/trademarks/W01440189

• Colour markhttps://euipo.europa.eu/eSearch/#details/trademarks/000747949

• Indication of geographical originhttps://ec.europa.eu/info/food‐farming‐fisheries/food‐safety‐and‐quality/certification/quality‐labels/geographical‐indications‐register/#

III. How can a trademark right be acquired –in Germany and/or the EU?

Road Map: Timing, planning, realization & costs

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ACQUISITION OF TRADEMARK RIGHTSRoad Map: Timing, planning, realization & costs

Name finding (idea)+ 2–3 alternatives

Searches (Identity + Similarity)1-2 weeks

Application / Registration (Trademark / Domain etc.)

Discussion of the results and decision

P R O D U C T – Germany + EU (3 classes)

Registration1-9 months (depending on strategy)

Certificate (= Registration)

1-9 months

Marketing ProductionDefinition of the goods and services

Creative / agency services (internal or external)ca. 5.000 – 50.000 EUR

Attorney‘s service (internal or external)ca. 200 EUR

Attorney‘s service (internal or external)ca. 1.600 – 4.500 EUR

Internal decision

Attorney‘s service (internal or external)German trademark: ca. 1.200 EUR

EU‐Mark:  ca. 2.000 EUR

LEGAL COSTS for 10 years of TRADEMARK PROTECTION = LEGAL ANCHORINGProtection German Trademark: ca. 3.000 EURProtection EU Trademark:           ca. 6.800 EUR

Trademark development

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ACQUISITION OF TRADEMARK RIGHTS1. Name finding (the “idea”)

Strong Marks, e.g. Weak Marks, e.g.

• At least 5 letters

• Fanciful, i.e. no usualbeginnings or endings of wordslike "dolo", "bene", "san" in thefield of pharmacy

• Non-descriptive

• Short: ABB, NEC, LBS

• Letters / numbers: K2, M

• Descriptive / suggestive: HYPOBANK

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Absolute bars to protection

ACQUISITION OF TRADEMARK RIGHTS1. Name finding (the “idea”)

• Lack of distinctiveness, e.g. „premium“, „top“, „best“, etc.

• Descriptive/suggestive, to be keptfree for competitors, e.g. „Apple“ for a „fruit store“

• Generic names, e.g. „mobile“ formobile phones

• Deceptive signs, e.g. „THE E-COMMERCE AUTHORITY“ (in the absence of officialrecognition)

• Signs contrary to public policy or morality, e.g. „Kill your Darling“

• Sovereign symbols, e.g. flags

Always in view of the claimed goods / services!

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ACQUISITION OF TRADEMARK RIGHTS2. Drafting of the goods and services

• Which products are currently sold?

• Which products might be sold in the future and should already becovered by a trademark application?

• What about the goods and services of direct competitors?

• Are the goods and services grouped in the correct classes according tothe „Nice Classification“ (45 Classes)?

https://euipo.europa.eu/ec2/ (= EUIPO online classification assistant)

Drafting a list of goods and services

Searches

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ACQUISITION OF TRADEMARK RIGHTS3. Trademark Searches

Collision riskProprietor of earlier right can block or stop marketentry

Information / Accounting

Risk of receiving warning letter / action for injunction / opposition / cancellation action / request fordamages

DamagesSerious consequences

Destruction of marketing materials / products

Image damage (customers, retailersetc.)

a. Why search?

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ACQUISITION OF TRADEMARK RIGHTS3. Trademark Searches

Rule: all prior rightsi.e. trademarks, company names, domains, designs, title rights

BUTCost considerations

Basically already before/during thedevelopment of a new trademark

Latest: before applicationand/or use of thetrademark

b. What is to be searched?

c. When is to be searched?

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ACQUISITION OF TRADEMARK RIGHTS3. Trademark Searches

RuleSearch in all countries in which the trademark is to beregistered and/or usedBUT: Cost considerations

Searching tools

Trademarks – identicalPublic databases by trademark officeshttp://register.dpma.de/DPMAregister/marke/uebersichthttps://euipo.europa.eu/ohimportal/de/homehttp://www.wipo.int/romarin/

Comany names - identicalCommercial companyname registers (e.g. D&B)

Domains – identicalDomain databaseswww.united-domains.de

Similarity searchesThrough lawfirms/trademark/IP specialists

d. Where is to search?

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ACQUISITION OF TRADEMARK RIGHTS3. Trademark searches

Costs vary greatly depending on the type and scope of searches

Cost factors for trademark searches

Identity or similaritysearches

Number and nature ofclasses to be searched

Number of countries tobe searched

Format / legal assessment of the report

e. Costs

Trademark Application(s)

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Weltweiter Schutz?

ACQUISITION OF TRADEMARK RIGHTS4. Application: Different trademark protection systems

Trademark protection systems

Is „worldwide“ protection possible?

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4. Application: protection systems

National TrademarksGerman Patent and Trademark Office (GPTO), Munich (Germany)United States Patent and Trademark Office (USPTO), Washington D.C. etc.

European Union TrademarksEuropean Union Intellectual Property Office (EUIPO), Alicante (Spain)

International RegistrationsWorld Intellectual Property Organization (WIPO), Geneva (Switzerland)

ACQUISITION OF TRADEMARK RIGHTS

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4. Application: protection systemsApplication strategies and selection of the appropriate system

• Goods / services are sold in one country only

• Country is not a member of the Madrid System (IR)

• German, US or other national country as basis for an International Registration

National trademark

• Products are sold in at least two countries of the European Union

• No need for protection outside the European Union

EU trademark

International Reg.

• Goods / services are also sold outside the European Union or in multiple countries

ACQUISITION OF TRADEMARK RIGHTS

Overview on costs and timing

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Overview of costs and time schedule – comparison DE and EU

Application Examination forabsolute grounds

for refusal

Registration Opposition proceedings

COSTS + DURATION: Germany

Duration and costs from application to registration DE trademark with up to three (3) classes – smooth proceedings (no objections and/or opposition proceedings) and without prior searches:

• Duration from application to registration: approx. 1 to 6 months• Costs from application to registration: approx. EUR 1.200,00 – 1.500,00 (incl. EUR 290,00 official fees)• Protection then exists for 10 years from the filing date; within this time usually no further costs; extension

necessary after 10 years (costs approx. EUR 1.450,00 (incl. EUR 750,00 official fees))

Example German trademark(GPTO)

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Overview of costs and time schedule – comparison DE and EU

Application Examination forabsolute grounds

for refusal

Opposition proceedings

Registration

Example EU trademark (EUIPO)

COSTS + DURATION : EU

Duration and costs from application to registration EU trademark in one (1) class – smooth proceedings (noobjections and/or opposition proceedings) and without prior searches:

• Duration from application to registration: approx. 5 to 7 months• Costs from application to registration: approx. EUR 1.800,00 – 2.000,00 (incl. EUR 850,00 official fees)• Protection then exists for 10 years from the filing date; within this time usually no further costs; extension

necessary after 10 years (costs approx. EUR 1.550,00 (incl. EUR 850,00 official fees))

IV. What benefits can be derived from a trademark?

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IV. Welchen Nutzen kann man aus einem Markenrecht ziehen?

• „Monopoly“ for the registered trademark

• Exclusion of third parties from using the identical or similarmarkfor identical or similar goods/services

• A trademark contributes to the company value (on average 46 %)

V. LexDellmeier’s website tool ‐Online Trademark Application(s)

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V. LexDellmeier Online Trademark Application

• Currently available in German – English version will follow very shortly• https://lexdellmeier.com/en ‐ category „online“:

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V. LexDellmeier Online Trademark Application

• Currently: in German, e.g.• German trademark application: https://lexdellmeier.com/de/markenanmeldung‐de

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V. LexDellmeier Online Trademark Application

• We will examine and execute your inquiry immediately after receipt

• One of our trademark attorneys will take care of your trademark application

• You will be contacted immediately in case of questions and/or uncertainties

• If you select the „EXPRESS“ option, your application will be filed within 48 hours(Mon‐Fri) and an „accelerated examination“ will be requested with the GPTO

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V. LexDellmeier Online Trademark Application

YOUR BENEFITS: 

• Three categories of your choice (BASIC, STARTUP, PRO), according to your needs

• Efficient and uncomplicated way to your trademark application/registration

• Immediate order possible for German and EU Trademarks – 24/7 availibility of thetool

• International Registrations: possibility of cost estimates and prior strategic inquiries

• WE take care for the time‐consuming preparation of the list of goods/servicesaccording to your specifications and needs

• WE take care of complicated searches for prior rights – upon request

• For category PRO: WE take care for the payment processing and deadlinemonitoring (incl. renewals) of your trademark

VI. Q & A

VII. Conclusion and outlook on the    next webinar topics

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VII. Conclusion and outlook

Webinar 5: Wednesday, 17 June 2020, 5 p.m. to 6 p.m.: Brand Value & Financial Instruments (English)

Webinar 6: Wednesday, 1 July 2020, 10 a.m. to 11 a.m. – Designrecht 1 x 1 (German)

Webinar 7: Wednesday, 1 July 2020, 5 p.m. to 6 p.m. – Design Law Basics (English)

All dates and topics with registration links:

https://www.lexdellmeier.com/en/events

Thank you forattending!

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