The IP Court’s new approach expands the defensive options in non-use disputes for the owners of widely-known trademarks. If a company lacks sufficient evidence of the challenged trademark’s use within the last three-year period, its position can be relied on the brand’s reputation and its wide awareness.
It is highly advisable to prepare a robust defense against a non-use claim in two directions. First, collect evidence of use: sales, deliveries, advertising, documents regarding the introduction of branded goods into the commercial turnover, and other materials covering the challenged period. Second, work to confirm the wide awareness of the challenged trademark and the plaintiff’s bad faith.
The brand’s reputation can be substantiated by its market history, ratings, media coverage, advertising materials, sales data, promotional activities, market share, and the results of sociological surveys or market research. The reputation of a widely-known brand may persist even after it is no longer available for purchase as consumers continue to recognize the trademark and associate it exclusively with the legitimate owner company.
A sociological survey can serve as key evidence. It reveals the brand’s level of awareness, identifies which company consumers associate the trademark with, and assesses the likelihood of confusion if the mark is used by another party. This is particularly important for famous brands: brand awareness can remain for years, even if the company has reduced or ceased its business operations in Russia.
It is also crucial to analyze the plaintiff’s activities: when the company was founded, what it does, why it chose this particular designation, and whether it has any prior connection to the brand, the trademark owner, or the relevant market. If the plaintiff was not a partner or did not participate in the brand’s development but is attempting to obtain a widely-known mark, this may confirm its bad faith.
Favorable Rospatent’s decisions can also be helpful. If the local PTO has refused registration of a similar trademark application by the plaintiff on the grounds of confusion between the marks and/or misleading ability grounds, such conclusion should be used in court. It helps to prove that the plaintiff is acting in bad faith by continuing to insist on early termination of trademark protection, which does not remove the legal obstacles to registering the brand in its name, since the absolute grounds for refusal will remain even in case of non-use cancellation of the prior trademarks.
Upon receiving of a pre-trial letter or a non-use claim, one should assess the evidence of the trademark’s use, the brand’s reputation, and the plaintiff’s intentions. If the trademark owner provides convincing evidence of its brand’s wide awareness with the consumers, its exclusive association with the owner company, and supports the risk of misleading consumers, this will strengthen its legal position and help to protect the trademark.