What Are The Disadvantages Of Enterprises Not Registered Trademarks?

In short, trade marks are trademarks.

A mark used by producers and operators in order to distinguish the goods they produce or run with those of other producers or operators.

Such markings are usually composed of text, graphics or text and graphics.

The familiar "Moutai" trademark is the word trademark; Benz's Mercedes Benz trademark (a triangle coat ring) is a graphic trademark; Phoenix Phoenix's trademark "phoenix" is composed of the words "phoenix" and "Phoenix bird", which is a combination trademark of words and graphics.

Trademark refers to the legal fact that the trademark user shall apply for registration to the Trademark Office of the state (the Trademark Office of the State Administration for Industry and Commerce) according to the conditions and procedures prescribed by law.

In China, trademark registration is the premise of trademark protection and the legal basis for determining the exclusive right of trademark.

Once the trademark user obtains the trademark registration, it marks that it obtains the exclusive right of the trademark and is protected by law.

A trademark used by an enterprise is not registered. The most fatal weakness is that the trademark user does not enjoy the exclusive right to use the trademark.

That is to say, you can use this brand if you use this trademark, which makes the trademark's basic role in marking the source of the merchandise affected, and also causes the trademark representative's role in the quality and reputation of a commodity to be greatly reduced.

For example, the "blue sky" brand electric rice cooker produced by A company is very cheap and very popular with consumers.

But the "blue sky" trademark is not registered, so some others.

It is thought that this kind of pot sells well and sells good prices. It sells the "blue sky" brand on its own rice cooker.

As a result, the market sales of A enterprises have dropped rapidly, and the reputation of the "blue sky" trademark has fallen sharply. Many consumers are holding the "blue sky" brand electric rice cooker produced by other enterprises, requiring A enterprises to replace or compensate for economic losses.

Although this situation is beyond the expectations of A enterprises, it should be expected.

A enterprises request the trademark authorities to stop other enterprises from using the "blue sky" trademark. However, because the trademark is not a registered trademark, A enterprises do not enjoy the exclusive right to use the trademark, and the competent authorities of the trademark office can not accept the request of the A enterprise.

Another weakness of an unregistered trademark is that once the other person has registered the trademark first, the first user of the trademark can no longer use the trademark. The lesson in this respect is very profound.

According to China's trademark law, the original acquisition of exclusive right of trademark is only obtained through trademark registration, and the application for trademark registration applies the principle of prior application, that is, for an unregistered trademark, who applies for registration first, the exclusive right of the trademark will be granted to whoever.

Therefore, no matter how long a company uses a trademark, if it fails to register the trademark, the trademark exclusive right will be granted as long as someone else applies for registration.

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Another weakness of an unregistered trademark is that an unregistered trademark may be the same or similar as a registered trademark used on the same or similar commodity, thereby causing infringement.

By the end of 1999, the total number of registered trademarks in China has reached nearly one million.

In the case of new trademark registration, the rejection rate of the application is almost 70% without prior inquiry.

That is to say, the probability of using an unregistered trademark is the same as that of a registered trademark on the same or similar commodity, or 70%.

In other words, the possibility of infringement is 70% if an unregistered trademark is used.

Because the thirty-eighth provision of China's trademark law stipulates that "without the permission of a registered trademark, the same or similar trademark is used on the same or similar commodity on the same or similar commodity, which is a violation of the exclusive right to a registered trademark".

Torts should bear the legal consequences of infringement.

Therefore, the use of unregistered trademarks, regardless of your original intention, always has the possibility of violating the exclusive right of others to use registered trademarks.

If infringement is to be punished, it is necessary to compensate for economic losses, which will affect the production and operation activities of enterprises.

For the normal operation of enterprises, for the development of enterprises, and for the purpose of respecting the exclusive rights of others, the enterprises that use unregistered trademarks should apply for trademark registration.

The unregistered trademark also has one weakness, that is, unregistered trademarks can not form industrial property rights, so they can not be used as intangible assets.

Because China's trademark law stipulates that the exclusive rights of registered trademarks are protected by law, unregistered trademarks are not protected by law, and their users do not enjoy the exclusive right to use trademarks.

Therefore, in strict sense, only registered trademarks are industrial property rights in our country. Only registered trademarks can become intangible assets of enterprises.