Saturday, October 12, 2024
Saturday, October 12, 2024

Is Trademark Registration Compulsory For E-Commerce Companies?

by Swati Raghuwanshi
E-Commerce Companies

Each and every person has a right to protect one’s creation which is made using one’s skill. This is the reason that the lawmakers have made certain laws which give legal protection to the innovations or properties created. Such laws are called IP Laws and the rights which are exercised over self- made properties are called Intellectual Property Rights (IPR). Before, deeply understanding the main topic which is regarding whether trademark registration compulsory for e-commerce companies or not, it is important to first understand the concept of trademark and trademark registration and the meaning of e- commerce companies. In the current blog we will discuss all of them for your clear understanding. 

What is a Trademark?

Trademark is an important kind of Intellectual Property Right. Each and every individual/ business/company creates a brand and something which represents that brand. This representation can be in the form of a logo or symbol, which allows the general public to distinguish one product or brand from that of another. For, e.g two brands of coffee like Brew and Nestle, are differentiated by their different brand names and logos. When you asked any professional whether to make trademark registration compulsory for e-commerce companies or not. They will surely suggest that either trademark registration compulsory for e-commerce companies or not you must register it. This is because of the various benefits this registration offers. 

Each business always tries to make their logo look the best and eye-catching so as to attract customers. There are two factors of a brand/product that attract the consumers: Quality and Logo. If the logo is pleasing to the eye, then only consumers buy the products and can check the quality. Therefore, in order to gain publicity, logos/symbols are the main focus of the business. To draw the consumers towards their logos, a lot of money and skills are needed. This off course does not happen overnight, instead requires many days to obtain the best results.

This is where trademark plays a very crucial role. It keeps the brands and logos safe and prevents them from being copied. In the absence of a trademark, it would have become very easy for anyone to make the same kind of brands and logos, hence stealing away the credit, appreciation and hard work of the creators in a fraction of second. In order for one to prove that one has a legal right over one’s brand, Registration of a trademark is a must. This stops the competitors from hindering one from using their brands and logos freely.

What do you Mean by Trademark Registration? 

No law says that a trademark registration compulsory for e-commerce companies. However, a trademark if registered renders more benefits in comparison to that of an unregistered trademark. Therefore, it is better to register a trademark. The link through which one can register a trademark is www.ip.india.gov.in Various details regarding the Applicant and the trademark class (there are 45 trademark classes in total, and the applicant has to choose any class under which his/her business activity lies) are asked in the registration application form. A payment fee of Rs 4500/- has to be made subsequent to which an acknowledge receipt is generated, which proves that the Registration of trademark is successful.

This trademark registration is now valid for a period of 10 years, which can surely be renewed after its expiry. This means that one can use the brand and logo freely without any obstacle for a minimum span of 10 years. Moreover, if anyone tries to copy it, this trademark registration receipt/ certificate acts as evidence of ownership of the brand in the court of law.

What are E-Commerce Companies? 

E- Commerce companies or electronic companies, as the name suggests, are companies which sell or resell goods and services online, may be through a website or social media etc. E.g. Amazon, Mesho, Myntra, Flipkart etc. Nowadays, online business is growing rapidly. Almost every product or service is available online. As the majority of people do not have time due to their busy schedules, to go out shopping. Hence, they prefer online shopping because it is very comfortable. They are just one click away from buying or selling anything they wish.

Whether Trademark Registration Compulsory for E-Commerce Companies or not? 

Question which arises here is whether the trademark registration compulsory for e-commerce companies. The products or services which these e- commerce businesses sell require compulsory registration of trademark or not. The answer to this question is NO. However, trademark registration for them is beneficial. This is because, in case of any conflicts which result in court proceedings, the side of the one who has registered the trademark stands stronger. There are some websites through which a number of different sellers sell their goods and services. Some of these websites allow only those sellers to sell their goods who have their trademarks registered. Hence, in such cases registration becomes mandatory. 

Trademark Class for E-Commerce Businesses 

You must be aware about the 45 classes of the trademark. These classes are for bifurcating the registration of different goods and services. It helps in the differentiation of the product and services. Also it’s very important to choose the right class while registering for a trademark. Without choosing the class your trademark registration cannot be complete. While doing registration for e-commerce businesses one must register a trademark in class 42 which is there for the e-commerce businesses. 

Process of Trademark Registration for E-Commerce Companies 

In the current blog, whether the trademark registration compulsory for e-commerce companies or not has been discussed in detail. Hope now it is clear whether trademark registration compulsory for e-commerce companies or not. They must register their trademark in order to promote their brand. If you as a e-commerce business owner wants to register your brand follow the steps given below: 

  • The very first step to register a trademark, is of course the creation of a trademark, which is obtained only after creating a brand and a logo, to represent it. Only unique logos can get legal protection.
  • It is always better for one to register a trademark with the help of an agent or lawyer, as it reduces the chances of any mistakes and objections. Hence, in such cases, form TM- 48 has to be filled which acts as the power of attorney, authorizing an agent or lawyer to register for trademark on behalf of the proprietor.
  • Once the form is filled, the registrar checks if the trademark is as per the Trademarks Act, 1999. And only if the registrar is satisfied, then he grants the registration certificate.
  • The registrar waits for a few days before granting the certificate. If no objection regarding the use of the trademark is raised, then only he grants the certificate.
  • After the trademark is successfully registered, the registrar notes down all the important
  • details regarding the registration in his register.

Conclusion 

In the current blog an ambiguity regarding trademark registration compulsory for e-commerce companies or not has been discussed. Hope now it is clear that trademark registration is not mandatory, neither in the case of traditional business nor e- commerce business. However, registration can render many benefits, when it comes to conflicts in the court. Moreover, the majority of consumers wish to buy products whose trademark is registered as they find it more trusted as compared to other products. Hence, each and everyone must register their trademarks, in order to be safe to run business.

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