European Commissioner Charlie McCreevy has put forward proposals to reduce the cost of applying for Community trade marks by about 40%
Following an agreement by EU member states in September, as reported by Managing IP, the CTM application fee is likely to be reduced form €1,750 to “around €1,000”.
The reduction is required as OHIM, the Office that administers CTMs, has a surplus of more than €300 million.
McCreevy said: “It will mean considerable savings for European companies - in particular SMEs. The fee structure itself will be simplified, significantly reducing red tape and the administrative burden in the handling of trade mark fees, to the benefit of both users and the OHIM.”
The fee reduction will have to be formally approved by EU member states through the so-called comitology process, and is likely to be effective sometime next year.
As part of the deal reached by member states, measures will be taken to pass up to 50% of renewal fees to member states to promote the trade mark system.
However, as this will take several years to implement, part of the existing surplus will be passed to national offices in the meantime.
Read the inside story on how the landmark CTM deal was negotiated in the November issue of Managing IP, part of the special feature on surviving the credit crunch.
