Advantages and disadvantages of registered and unregistered trademarks

At the beginning of the creation of any enterprise, or even during its rapid development, products and services are introduced to the market, which should not only be unique and attractive to the consumer, but also be distinguished by their original name from the name of the goods or services of competitors. However, its proper protection is necessary for the safe and successful existence of such a name. Therefore, most often the question arises about the necessity for trademark registration (TM), which is an important step in the process of formation and existence of a company in the market.

Unregistered trademark may become a barrier to achieving the goal of the company. The mark you created, promoted by you and already known can be used by unfair competitors. Consequently, poor-quality and inappropriate products (services) of one enterprise or entrepreneur may be distributed under the well-known TM of another enterprise, resulting in loss of trust and goodwill of the latter. In this case, you will need to take a number of appropriate actions to appeal the misuse of the designation (logo), in accordance with the current law, which will lead to unplanned financial expenses.

To prevent and avoid possible problems while using your logo, company name or trademark, you can register it under the law and receive a certificate for the mark for goods and services. This security document will give you the unique right to use and profit from this trademark.

The official registration of your mark for goods and (or) services has the following advantages:

·        Positioning the company and its goods/services on the market among competitors;

·        Legal protection of your activity name;

·        Increasing company prestige;

·        Guarantee the uniqueness of your mark;

·        Protecting your services/goods from illegal copying;

·       Protection against unfair competition;

·       You will not become a violator of the rights of the legal owner of a similar or analogous trademark, if you use this mark legally (at the same time you will be able to avoid the obligation to compensate for damages caused by illegal use);

·       You will be able to avoid extra expenses of fighting for your mark;

·      You will be able to sell your trademark or transfer the rights to use it for financial benefit;

·      After receiving the Certificate on the mark for goods and services, you have an opportunity to register a domain in the .UA zone;

·      Also, you will be able to affix the warning label (® and ™) in the name of your product.

As we see, registration of a trademark (mark for goods and services - terms that mean the same thing) is necessary for those entrepreneurs who wish to have exclusive (monopoly) right to use their own designation that distinguishes goods, services and in general their activities in the market from the number of competitors.