UK trademark system is quite different from the EU trademark system. The UK has left the European Union on 31 January 2020. The Withdrawal Agreement between the United Kingdom and the EU was finally ratified by the United Kingdom Parliament and the European Parliament. Therefore, the risk of a “No-Deal Brexit” has now been effectively eliminated.
Introduction to UK Trademark
A trademark is a kind of intellectual property in that innovative and unique symbol or word(s) is applied to represent a business or its products. Once registered, that same symbol or those words cannot be used by any other business as long as it remains in use and proper paperwork and fees are paid.
Other intellectual properties like patents that are granted for 20 years, trademarks never end. Organizations do need to apply for them and receive ownership confirmation with the U.S. Patent and Trademark Office (USPTO) to claim protection from copycats.
Over some time, trademarks become synonymous with a company name so that you don’t even need to see the name to recognize a particular organization. For example, If you see the apple shape with the bite taken out that Apple uses as its logo, the golden arches McDonald’s registered decades ago, or the swoosh logo that Nike features on all of its products.
The fact that we simply associate symbols and words with companies and their brands is one of the biggest advantages of their use. When a customer sees a familiar logo or phrase, they have instant recognition which can drive preference and hence sales and profits.
European Union Trademarks
EU trademark or also known as the European Union trademark (EUTM) named Community Trade Mark (CTM) until 23 March 2016 is a trademark that is pending registration or has been registered in the European Union as a whole instead of a national level within the EU.
The EU trademark policy constitutes a centralized trademark registration practice in Europe where single registration provides security in all member states of the EU. The European Union trademark system is unitary. Thus, an objection against a European Union trademark application in any member state can disqualify the whole application as European Union trademark registration is enforceable in all member states.
The European Union trademark system is administered by the EU Intellectual Property Office, which is located in Alicante, Spain.
About Brexit
Brexit leads to the “British exit,” according to the U.K.’s decision in a June 23, 2016 vote to leave the European Union (EU).
The vote’s result resists expectations and roiled global markets causing the British pound to fall to its lowest level against the dollar in thirty years. Former Prime Minister David Cameron, who called the referendum and campaigned for the United Kingdom to remain in the European Union, announced his resignation the following day. Theresa May who took place of Cameron as leader of the Conservative Party and prime minister who resigned as party leader voluntarily on June 7, 2019, after facing severe pressure to resign and failing 3 times to get the deal she negotiated with the European Union approved by the House Commo sons. The following month, Boris Johnson, a former Mayor of London editor of The Spectator newspaper and foreign minister was elected prime minister.
Brexit and UK Trademark
The Withdrawal Agreement between the United Kingdom and the EU was finally ratified by the United Kingdom Parliament and the European Parliament. Therefore, the risk of a “No-Deal Brexit” has now been effectively eliminated.
The Withdrawal Agreement stipulates that during a transition period that will last until 31 December 2020, EU law remains applicable to and in the United Kingdom. Thus, until 31 December 2020 EUTMs will still protect trademarks in the United Kingdom.
1) Registered European Union trade mark before the end of the transition period
United Kingdom IPO will create a comparable United Kingdom trademark for each registered EU trademark (EUTM) on 1 January 2021. Each of these United Kingdom rights will:
- Be recorded on the United Kingdom Trademark Registry
- Have the same legitimate status as if you had applied for and registered it under United Kingdom law
- Keep the original European Union trademark filing date
- Keep the original priority or United Kingdom seniority dates
- Be a fully independent United Kingdom trademark that can be assigned, challenged, renewed, or licensed separately from the original European Union trademark
Owners of European Union trademarks registered before the transition expiry will automatically acquire a corresponding registered (and enforceable) the United Kingdom right at no charge. It is to be noted that the United Kingdom IPO will only create a comparable United Kingdom trademark for European Union trademarks registered and granted before 1st January 2021.
You will not have to inform the United Kingdom IPO of any earlier effective dates, as the retention of existing priority and seniority dates in comparable United Kingdom trademarks will be automatic.
If you do not want to hold the new right then you may opt-out of holding it. If you are opt-out then the comparable right will be treated as if it had never been registered or applied under United Kingdom law. Opt-out requests could be submitted after 1 January 2021 only.
When a comparable United Kingdom trademark is created, a separate renewal fee will apply for the existing European Union trade mark and every comparable United Kingdom trademark. The fees will have to be paid separately to EUIPO and IPO. The comparable United Kingdom right will retain the existing renewal date of the corresponding European Union trademark for future renewal. A comparable United Kingdom trademark with a 10-year renewal date falling at any time after 1 January 2021 will be subject to a United Kingdom renewal action and fee.
Read more: What Are Unregistered And Registered Design Rights In UK?
2) Pending European Union trade mark before the end of the transition period
Where an application for a European Union trade mark is pending on transition expiry, this will not be converted into a corresponding United Kingdom application.
Thus, if you have a European Union trade mark application that is still pending (i.e., which has not been granted) on 1 January 2021, you will have a 9 months grace period to apply to register a comparable United Kingdom trademark. To retain the earlier filing date of the pending European Union trademark, it must relate to the exact trademark that was the subject of the European Union trademark application. The usual United Kingdom trademark filing fees will apply.
Owners of corresponding UK trademark and registered designs acquired under the Withdrawal Agreement will not be required to have a United Kingdom correspondence address in the three years following transition expiry. They will be entitled to retain the correspondence address for the related Community registered design or European Union trade mark (even if this is not in the United Kingdom).
Last but not least, the position after transition expiry may also be affected by any agreement reached during the transition period between the EU and the United Kingdom that governs their future relationship.
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