Key takeaways
- Registering a company name with the Registrar of Companies does not give you trademark rights in that name.
- Trademarks are registered separately with the National Intellectual Property Office under the Intellectual Property Act No. 36 of 2003.
- Search the trademark register before you commit to a brand, not after you have printed the signage.
Many founders assume that once the Registrar of Companies approves their company name, the name is theirs. It is a reasonable assumption, and it is often wrong. The company register and the trademark register do different jobs, and only one of them protects a brand in the marketplace.
Two registers, two purposes
Name approval under the Companies Act No. 7 of 2007 prevents another company from being registered under the same name. It is an administrative control on the companies register. It does not stop a sole proprietor, a partnership or an overseas business from trading under a similar name on similar products.
A registered trademark works differently. It gives the owner exclusive rights to use the mark for the goods and services it is registered for, and a basis to act against confusingly similar marks.
Where businesses get caught out
The most common problem is discovering, after launch, that someone else already holds a registered mark that is close to the new brand. The second is registering a mark in one class of goods or services while the business actually trades in several. The third is treating a domain name or social media handle as proof of ownership, which it is not.
What to do before you launch
- Search both the trademark register and the companies register for identical and similar names.
- File a trademark application in every class that covers what you sell now and plan to sell soon.
- Align the company name, domain and social handles with the mark you are applying for.
- Diarise the renewal date once the mark is registered, so protection does not lapse.
This article is general information about the law in Sri Lanka at the date of publication. It is not legal advice, and you should obtain advice on your specific circumstances before acting.