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WEEKLY NEWS - JUNE 02, 2008

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CTM fee reduction in sight

Managing Intellectual Property

Fees for Community trade marks could be cut before the end of this year

At last week's EU Competitiveness Council meeting, the Portuguese Secretary of State for Justice João Tiago Silveira requested that the Commission comply with the Council's recommendation of May 2007 for an immediate reduction in fees for application, registration and renewal of Community trade marks.

The minutes of the meeting note that "the Council took note of comments by the Portuguese delegation and of information given by the Commission".

OHIM now has a surplus of more than €300 million, which is growing by €1 million a week.

The Office believes the fees should be reduced to help reduce the surplus. However, some member states have expressed concern about the potential impact such a reduction would have on national offices.

Despite the conclusions of the Council meeting in May 2007, the Commission has not yet produced concrete proposals for a reduction.

However, if EU member states agree to reduce the fees, it is expected that they could be cut by about 30%.

It is understood that Internal Market Commissioner Charlie McCreevy, who attended the meeting, indicated that a proposal would be forthcoming later this year.

Portugal has been one of the more vocal member states arguing in favour of a reduction.

Speaking to Managing IP recently, the head of the Portuguese IP office and chair of OHIM's Administrative Council, Antonio Campinos said: "If there is a surplus then it is logical to reduce the fees. The reality is it is due to sound management."

He added: "If we don't use the surplus, others will use it on agriculture or fisheries or whatever. The money will disappear to things that have nothing to do with the IP system."