May 27, 2007

Lower Community Trademark fees?

The IPKat echoes a MIP article which reports the EC plans to reduce the fees charged by the OHIM for trademark registrations. The reason is that fees paid by users seem to exceed the overall costs of the CTM system.
I understand that people like to see taxes going down. But in the case of trademarks, what should be taken into account? The money spent to register a sign, or the possible value of trademarks once they are registered? The less expensive a trademark gets, the more registrations there will be. Which also means it makes easier the job of people engaged in abusive or disrupting registrations...

3 comments:

FG said...

Cédric, you're only seeing the empty half of the glass.

The examination & opposition processes are quite effective bars to abusive registrations. Just look at how many applications are rejected.

"The less expensive a trademark gets, the more registrations there will be."

...which also means smaller firms will be able to apply for EU-wide protection at an earlier stage of developpment. This means better market security for their business further expansion.

"in the case of trademarks, what should be taken into account? The money spent to register a sign, or the possible value of trademarks once they are registered?"

We are talking about an administrative procedure, so we shall look no further than administrative costs.

TM valuation (for transactions of accounting purposes) are another matter, where each case is particular.
While the "quality" of the legal protection of a trademark has to be taken into account for TM evaluations, I think a TM value depends mostly on its marketing edge and the effort put into it.

cedric manara said...

I understand your point. I have a domain name background much more than a trademark background, hence this point of view!
But you are right to point out that there is an administrative control in the case of trademarks, which does not exist for electronic names.

cedric manara said...

Why not use the money to fight counterfeting? It would make sense to use money originating from trademark registrations to defend them!