In the present time one thing which is very crucial for all the businesses is their intellectual property. In such properties many aspects have been covered, which includes trademark registration, copyright, patent registration, GI, design registration etc. in the current blog we are particularly going to discuss regarding the trademark protection, its renewal as well as risks if you are late in your trademark renewal. Maybe you are aware about the fact that trademark protection has been given for 10 years at a time. After that the owner of the trademark needs to renew it. There are many risks if you are late in your trademark renewal, hence one must take care of such small things which may affect your business badly. Generally there are various risks involved if one will not renew the expired trademark on time but here we are going to discuss seven most important ones.
What is Trademark Renewal?
Once you apply for the protection of a trademark, your application will go through multiple steps and after that if the trademark registry is finalized your application, you will obtain the trademark registration for 10 years. At a time one will get protection for 10 years only. After that period of protection one needs to renew his or her trademark registration. Trademark renewal is very necessary in order to ignore the various risks if you are late in your trademark renewal.
Through a renewal procedure, the initial 10-year trademark protection period may thereafter be extended for an additional 10-year period. However, you will once more have to file an application for renewal, which is something you cannot do without a trademark attorney. Renewing a registration requires a lot of paperwork and formality, just like registering a new vehicle does. Trademark attorneys with experience in trademark law are necessary to complete all the requirements of the renewal process. Hence it is suggested to take help of an expert while renewing your trademark.
What are the Seven Risks if you are Late in your Trademark Renewal?
In order to save your business against the various risks if you are late in your trademark renewal, you must renew your trademark on time otherwise you have to face the following issues:
Competitor May Use Your Mark
Although it is not allowed to take registration of trademarks on similar or identical marks, there are chances that competitors may take the registration on your mark in some way. We cannot ignore the mere possibility as well. In the market once the brand has been created there are a lot of people who start using the similar trademark. Hence you must not risk your trademark by not renewing it on time. It may cause heavy loss to your business or you may miss your trademark, these are the two risks if you are late in your trademark renewal.
Re-registration May not be Allowed
Out of the multiple risks if you are late in your trademark renewal, one is a failed attempt to re-register your trademark. For the time you ignore to renew your mark after its expiry, if someone else took registration on the similar mark then when you will apply for the re-registration, there are chances that your application may be rejected. In this way you will lose the right over your trademark. Re-registration may not be allowed in case it is already registered by somebody else. If this happens you and your business have to suffer a lot.
Late Fees for Renewal
One risk which you are surely taking by not renewing your trademark on time is late fees. Renewal of trademark is not available for an unlimited time period. There is a fixed time for the renewal of the trademark within that period you need to renew. A grace period of six months may also be given. After the period of renewal has expired and you didn’t renew your mark, then you need to pay the extra fees for the renewal of the trademark. Hence in order to ignore any such extra financial burden you must renew your mark on time.
Additional Agent Fees
Once the time for renewal is lapse, the process for the renewal becomes more completed. Now it becomes compulsory to hire an attorney with experience who can help you out with the same. First the attorney needs to check regarding the late fees, then needs to do agreements with the competitors not to register a similar kind of trademark or not to use the trademark. Meanwhile he also needs to check if any application for the registration has been filed on the similar mark. If any such application is found then the attorney needs to file an objection against the same. All these things cannot be done by a layman, hence one needs to hire an attorney which will amount to additional agent fees.
Limited Countries
It is a well known fact that a trademark can be registered in multiple countries. If your business is present in multiple countries then you need to register your trademark in different countries and accordingly need to renew the same. If in any country you didn’t renew the license and someone else had taken registration on the similar or identical mark in that country, then you cannot get the registration on the same mark in the same country. This will not only limit your geographical presence but also hinder your business.
Limited Classes
There are a total 45 classes under the trademark law. According to the business activities these classes have been applied to your business. Before the registration of your trademark you need to figure out in which class your business will fall. Accordingly you will get the registration. Out of the many risks if you are late in your trademark renewal, one is limitation on class. It means if you didn’t renew on time and someone else took the registration on the similar or identical mark under the same class then you cannot register your mark under the same class again. In this way a limitation of classes has been put.
Loose Brand Value
One of the most important things for any kind of business is its brand value. Trademark is one of the factors which creates brand value of the business. Once your trademark is expired and you did not renew it for a longer period and someone else took registration on the similar or identical mark then your brand value will be decreased in the mark. This will cause you a heavy loss hence it can be said that it is one of the key risks if you are late in your trademark renewal.
Conclusion
Timely renewal of trademarks is crucial for safeguarding businesses against various risks if you are late in your trademark renewal. Failure to renew a trademark can lead to competitors exploiting the mark, potential rejection of re-registration applications, imposition of late fees, and additional expenses incurred in hiring attorneys to navigate the complex renewal process. Additionally, the risk of losing registration in specific countries and classes may limit the business’s geographical and operational scope. Moreover, the loss of brand value due to an expired trademark can have a detrimental impact on the business. To avoid these risks if you are late in your trademark renewal and maintain legal protection, businesses must prioritize the timely renewal of their trademarks, seeking expert assistance when necessary.
