It is wise to use trademarks to protect your firm’s intellectual property (IP), to gain a competitive edge in your chosen industry. Trademarks are governed by British and European regulations, so what happens when the UK leaves the EU? Turner Little asks: how could Brexit change trademark protection?

1. How Could Brexit Change Trademark Protection?
It iswise touse trademarks toprotectyourfirm'sintellectualproperty(IP),togainacompetitiveedge
in your chosen industry. Trademarks are governed by British and European regulations, so what
happens when the UK leaves the EU? Turner Little asks: how could Brexit change trademark
protection?
Brexit benefits
In June 2016, the UK votedinfavourof leavingthe EU. Afterthe referendum,the value of the Pound
against the US Dollar fell to its lowest point since the 1980s. Recently, Prime Minister Theresa May
saidthe UK will pursuea'hard'Brexit policy,tomake the UK“afullyindependent,sovereigncountry.”
Brexit could potentially bring key benefits for small businesses. The falling value of the Poundcould
make it easier for foreigners to buy UK goods, potentially creating new revenue streams for British
exporters.Alsothe UK governmentwill nolongerbe boundtoadhere to EU regulation,soWhitehall
may be able to create a more beneficial regulatoryenvironmentforsmall businessesinareassuchas
trademark laws.
Effect on trademarks
There isalotof uncertaintyonhow Brexitwill effectIPlaws.Manyfirmsare interestedinsafeguarding
theirEU trademarks,whichalsocurrentlyapplyinthe UK.The problemlieswiththe legislationwhich
created EU trademarks in 1993 (EU Council Regulation 40/94). Specifically, this regulation doesnot
state what the consequences are for these trademarks when a country leaves the EU.
The EU trademark system is a single registration process, so the owner has exclusive rights to the
relevant IP in all member territories. The owner of an EU trademark can prevent third parties from
using the same/similar marks for identical/related goods and services. EU trademarks are unitary,
meaning that their protectionis extended to all member states,not just some nationsand here lies
the problem.
EU trademarks apply in the UK, as they are unitary. But once Brexit has occurred, these trademarks
will nolongerapplyin the UK, so in theory,the ownerof an EU trademarkcouldlose theirIP rights
in the island nation. This potentially means that UK trademark protection would require a national
proceeding, althoughitisunclearhowthis will playoutafterBrexitcomesintoeffect.Many experts
assume that Whitehall will provide EU trademark holders with the means to register these as UK
trademarks.
It is vital that your company takes Brexit into consideration,whendeterminingfuture license and IP
agreements, as the above listed provisions will only be transitional. Many agreements include
territorial provisions,withthe scope typicallydefinedasthe 'EuropeanUnion.' It isnot yet clearhow
this will be interpreted,once Brexit has come into force. It is therefore advisable for your firm to
change anyexistingIPagreements,redefiningthescope toincludethe 'UnitedKingdom,'beforeBrexit
becomes a reality.
Registering trademarks
We will notknowhowBrexitchangesUKtrademarkregulationuntil theremoval processiscompleted.
Therefore, it is key that you take the potential ramifications of Brexit intoaccount when registering
new trademarks. It is advisable to enlist expert aid here, due to this uncertainty. Turner Little can
supply you with the trademark registration advice your firm requires.

2. Turner Little
Turner Little was foundedin 1998 and it has since become a well-established UK based professional
Company Registration Agent, Registered Bank Intermediaries and Business Consultants, as well as
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