The Coverage of Trademark Law
The trademark law, as the name suggests, protects the trademarks applied by individuals and legal entities. In India, there are several statutes and ancillary legislations that are serving as veils of protection for the trademarks. These include the Trademarks Act of 1991, the Customs Act of 1962, and the Companies Act of 1956.
Such a law is needed at a time when numerous brands and products are entering the market. Setting up a trademark can help you establish the branding of your products and services. Indeed, having a trademark for your own offering is necessary for it to stand out among competitors. In a way, it is helping your company generate more revenues.
It is only but necessary and imperative for you to protect your own trademark. In this day and age, there are many counterfeit products trying to compete with the original ones. They are deceiving the customers from the authentic offering. You have to fight for your trademark; otherwise, you will lose a portion of the market, effectively hurting the flow of your earnings.
When applying for a trademark, make sure to choose a unique and distinctive emblem that will truly represent your firm and the nature of its business. After that, do some research to see if your chosen trademark in mind is already existing to avoid duplication and legal problems.
Familiarize the Trademark Law and Why It is Essential
Established brand names have already gained recognition among the consumers in the market. It makes them vulnerable to be copied by new entrants claiming to have the same brand. This is where the importance of trademark law comes in. It makes sure that the brand and the brand owner are protected from potential dilution of the trademark’s value should there be copycats.
With this, the trademark has the following functions seen to help the brand owners.
Once the brand owner gets approval of the trademark, it becomes officially recognized as an asset. Through registration, the brand owners acquired the exclusive rights of using the trademark. They are effectively preventing anyone from using the same or even a similar brand name, mark, or logo. This helps in establishing a brand for the company because you can differentiate your products and services.
Let us have some examples. Products such as Apple and Samsung have instant recognition because their logos are distinct. The same goes with popular social media networking sites, including Facebook, Twitter, Instagram, and Viber, among others. Streaming apps—like Netflix, Amazon, and Spotify, to name a few—have also set up a unique identification.
Ensuring the Market of Product and Service Quality
As the products and services gain popularity, so is their brand name and trademark. With the customers knowing the company’s offering, they can associate the quality of the products to the business itself. Some products and services even become trusted brands among consumers. This is why a trademark is necessary to protect the reputation of the business.
With brand names gaining traction, businesses can increase their prices because consumers are also paying for the brand now. For example, luxury items Prada, Dior, Chanel, and Versace are charging their customers a much higher price compared to other brands of the same kind. They have proven through the years the quality of products, making the astronomically high prices justifiable. At the same time, customers are seeing these products as a symbolic status.
Increasing Brand Security
As mentioned, an officially registered trademark gives the owner not just a relative right but exclusive rights to own the branding. It also gives the brand owner the right to not allow anyone from using his or her trademark, especially those who are profiteering under the trademark and its goodwill. At the same time, the legal owner of the trademark has the right to sue anyone using his or her trademark.
Promoting Your Brand Across the World
The social media platforms have opened the market to global competitors, making it an effective channel for advertising. Having your own trademark can help you advertise your products and services even better, especially at the advent of a booming e-commerce business. Again, it will all boil down to brand recognition.
When you register your business, it is really important to know the trademark law. This can help you protect your business from counterfeit offerings deceiving the public. At the same time, you will be avoiding potential lawsuits.
3E Accounting is here to help you in every step of the way. Apart from accounting and business advisory services, we are also providing assistance to register the trademark of your dream company. Reach out to our team today. We are more than happy to help you.