When setting up, most businesses typically start the necessary steps to register their names as corporate names, but omit to protect the name as a trade mark.
Naming a new business is easy, but it is necessary to think about how to protect the name and whether or not the name infringes the rights of others before choosing the name and registering the new corporation.
One must differentiate between trade marks and trade names. A trade name is the official name of a business. It is the actual registered name of a corporate body. Companies use this trade name on letterheads, bank accounts and in official dealings to identify the business.
A trade mark can consist of names, words, signatures, letters, numbers, drawings, symbols, addresses, hallmarks, stamps, pictures, vignettes, notices, packages or any other mark or combination of marks having a distinctive form and being used – or intended to be used – to distinguish services or to distinguish goods or products of whatever origin, or to show that the goods or products are owned by the owner of the trade mark, due to their manufacturing or selection for trading purposes.
While a trade name identifies the business itself, trade marks identify goods or services.
Once the trade name becomes a valuable asset, it may become a target for competitors. Therefore, in order to ensure protection, it should be capable of registration and should not infringe others' trade marks. As there is no single database that comprises all registered trade names, business names and trade marks used in the various countries, it is advisable before registering a trade name to carry out a full trade mark availability search to clear the name for use. Following the search, apply for trade mark registration to protect your trade name.
It is also worth mentioning that an owner of a trade mark can sue for infringing uses of the trade mark. The Trade Mark Law provides criminal remedies for infringement of trade marks in the form of fines and/or imprisonment. To enjoy trade mark protection and to avoid being liable for trade mark infringement, it is recommended to consult with a trade mark attorney at the time of setting up the business. This will enable businesses to avoid the risk of losing a trade name due to the existence of a prior identical or similar trade mark and allow businesses to have a sustainable corporate name capable of building the goodwill of the business.
 |
| Lara Ababneh |
Al Tamimi & Company
Dubai International Financial Centre
6th Floor, Building 4 East
Sheikh Zayed Road, Dubai
United Arab Emirates
Tel: +971 4 364 1641
Fax: +971 4 364 1777
info@tamimi.com
www.tamimi.com
