Trademark Registration : Small Investment, Big Return!

In an era in which digital and social media reign supreme and unfair competition is rampant, the success of a business is critically dependent on the brand image it projects. When seeking to maximize the protection and value of its brand image, an organization must capitalize on its competitive edge and exercise sound governance by registering its trademarks.

While trademark rights crystallize with use, registration provides the trademark owner with a number of significant and highly beneficial advantages. Here is a brief overview.

1. Exclusivity and presumption of ownership: A trademark registration certificate grants essential and unquestionable rights beyond those provided by use, including a substantive right: exclusivity in Canada. Indeed, once a certificate is issued, the owner retains the exclusive right to use the trademark across the country for all the products and services listed in the registration application. In addition to Canada-wide exclusivity, the registration certificate initiates a presumption of ownership and use according to the details contained in the application.
2. A tool of choice in a dispute: In the event of litigation, once a formal notice claiming exclusive rights to the trademark based on a certificate of registration has been sent, the opposing party will have no choice but to face facts and see that the presumptions apply and will certainly complicate any further judicial process. Similarly, should the opposing party seek to apply for registration, it is quite likely that the examiner at the Canadian Intellectual Property Office (CIPO) will deny the application. The existence of a trademark therefore enables the owner to benefit from greater control by CIPO examiners, who will not grant applications for trademarks that could create confusion.
3. Development of international growth: Through an international agreement, the Trade-Marks Act gives a Canadian registrant the right to register the trademark abroad within a six-month period and benefit from the same application date as in Canada. This mechanism provides the Canadian owner with significant protection since it prevents competitors from applying to register the same trademark, or any other trademark that could create confusion in a foreign jurisdiction, and blocking the initial owner's access to the trademark.
4. Value creation: It is indisputable that intellectual property constitutes a major intangible asset that is key in the context of financing, transactions and strategic partnerships. Business partners and financial institutions all see the value of an organization's patronage, and the paramount symbol of this goodwill is the trademark. A portfolio of registered trademarks can therefore add to an organization's value.

In short, it is important to emphasize that a trademark safeguards an organization's reputation, image and patronage and thus also attests to the quality of its products and services and enables consumers to see a strong connection between the quality of the products and services and the organization itself. For all these reasons, it is clear that trademark registration provides enormous added value to all businesses seeking to protect their image and reputation. Should you have any questions regarding the registration of your trademarks, do not hesitate to contact one of our intellectual property experts.