What is a Trademark?

A trademark is a brand name, logo or symbol associated with the goods or services of a company or individual. A trademark can contain words, letters, numerals, symbols or a combination of these. It identifies and distinguishes a company’s products or services from its competitors.

Why is Trademark Registration Important?

In India, trademark registration is regulated by the Trade Marks Act, 1999. The registration of a trademark is not compulsory in India. It is voluntary under the Act. However, there are many benefits of trademark registration in India. Registering a trademark for a company that wants its goods or services to stand out from the rest is essential. Trademarks are the basis for creating a company’s brand and trust with customers, enabling them to enhance goodwill.

Trademark registration secures the trademark and grants the benefits of trademark protection. It assures the customers that the goods or services of the business are unique in the market. It grants protection against goods or services containing a similar trademark causing confusion in the minds of the public. When a trademark is registered, any unauthorized usage of the trademark for similar goods or services results in infringement.

Advantages of Trademark Registration

Exclusive Usage Rights

One of the significant benefits of trademark registration is that it grants exclusive rights over the trademark. The trademark owner can apply the same for all the products or goods falling under the classes for which it is registered. The trademark registration provides the exclusive right to take legal action against third parties who use a similar or identical mark without authorized permission for their products.

Builds Goodwill

The other benefit of trademark registration is that it helps to establish goodwill and trust in a brand. The goodwill of the brand increases when it becomes popular amongst customers. It helps to create regular loyal customers who recognize products or goods from its brand and opt for the same brand. A trademark having a good reputation and goodwill can also help obtain funds from financial institutions.

Differentiates Products and Services

A trademark aims to distinguish goods and services from its competitors and create a brand identity. Trademark registration makes it easy to commercialize or market a product or service with a unique brand identity in line with the market requirements. The brand identity communicates the company’s quality, vision and several other features of the products and establishes its uniqueness amongst customers.

Ensures Product Quality

Trademark registration ensures the quality of the product or goods. Customers link the product’s quality with the brand. It creates an image of the quality of a particular brand in the market which helps to attract new customers. Thus, customers buy goods with a popular trademark in the market.

Helps in the Creation of an Asset

The trademark is an intellectual property of a company. Thus, a trademark is the asset of the company. A registered trademark provides its owner with the right to sell, assign, franchise or commercially use the trademark, providing a potential source of income.

Usage of Ⓡ Symbol

When the trademark is registered, its owner can use the Ⓡ symbol on the logo. The Ⓡ symbol signifies to the third parties that the trademark is registered and cannot be used by them without authorized permission. It ensures that customers can be sure that the products or goods of the brand are original products of high quality.

Protection against Infringement

When third parties use a registered trademark for their products or goods without the owner’s permission, it amounts to infringement. It means that if a third party violates the registered trademark, the trademark owner has a right to take legal action against them for infringement. In a case of infringement, the court can order to stop the third party from using the registered trademark and even give back the profits made by using such a trademark to the registered owner.

Protection for Ten Years

Trademark registration is valid for ten years. Once it is registered, it cannot be used in an unauthorized way by a third party for ten years. Thus, it helps to protect the brand for ten years in a cost-effective manner. After ten years, the owner should apply for renewal of the trademark for ten more years.

Attract Customers

Customers generally choose popular trademarked products or goods. Popular trademarked products or goods have the customers’ trust regarding the quality and source. It creates a positive image of the company. Thus, many customers are attracted, which helps in the growth of the business.

Requirements for application of Trademark:

A. For Individual Applicant:

1. 1. Logo or Brand Name in jpeg format.
   2. Business activity.
   3. Power of attorney in favour of Trademark Agent.
   4. Adhar Card of Applicant.

B. For MSME Registered Body Corporate:

1. 1. Logo or Brand Name in jpeg format.
   2. Business activity.
   3. Power of attorney in favour of Trademark Agent.
   4. Adhar Card of any one Director / Partner.
   5. Board Resolution
   6. MSME Registration Certificate

Approximate Cost structure for trademark application:

*After Application of trademark if any Objection or Hearing will come then separate fees to be charge other than mentioned above.

Important points before application of trademark:

1. You can put “TM” after a trademark application and “R” after registration.

3. The status of the trademark application is to be decided after the trademark hearing, it may be accepted or refused by the trademark department.

4. The application of a Trademark does not guarantee that it is to be registered; it will be decided after a trademark hearing only.

5. If a trademark application is refused by the department then applicants have the option to file a revised fresh application with some changes in brand name and logo and separate fees to be charged for the same.

6. It will take approx. 2 to 3 years to register a trademark ( up to 1 year in case of Expedite Application was filed).