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What is a trademark?
A trademark is often
referred to as a brand or a brand name and is used by businesses as an
identification sign to distinguish their goods or services from those of their
competitors. A trademark is defined in the Trademarks Act 2002 as "any
sign capable of being represented graphically and distinguishing the goods of
one person from those of another…" and can be a name, picture, signature,
color, word, shape, sound, smell or any combination of these so long as it is
distinctive.
Why should my business register its trademarks?
Many businesses have
distinctive brands or signs but for whatever reason do not take the effort to
protect their right to the exclusive use of that name or sign. The reason for
this may be that some in the business community believe that by incorporating a
company under a particular name or registering a domain name they have
exclusive rights to use that name and the ability to prevent others from doing
so. This is untrue.
Registration of a
company name or domain name does not of itself allow the owner of the
registered name to take action if a competitor starts using the same or a
similar name. The ability of a business to prevent someone else from using a
similar or even identical company name or domain name is largely dependent on
the reputation and goodwill connected to the name, that is, how well known it
is, and whether the name is a registered trademark. The business's reputation
in the market place determines the extent to which the business will be able to
enforce their rights under the Fair Trading Act 1986 or a common law action in
passing off. However, these actions are often complex, can result in costly
legal bills and require the plaintiff to precisely identify and prove the
damage suffered as a result of the other trader's conduct.
Additionally, if you
operate locally as opposed to nationally and have a strong local reputation,
other businesses may be able to establish themselves in a different area of the
country using your brand name. As you do not have a reputation in that area of
the country, and common law rights such as passing off rely heavily on
nationwide reputation, you will be powerless to stop the new business using
your brand name.
The best protection is
obtained by registering the brand as a trademark under the Trade Marks Act 2002.
Contact us
If you have further queries, please contact Tannet
24 hours Malaysia hotline：603-21418908;
24 hours Hong Kong hotline：852-27837818;
24 hours Hong Kong hotline：86-755- 36990589;
Email: mytannet@gmail.com
TANNET GROUP : http://www.tannet-group.net, http://en.tannet.com.my