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IP-NEWS

No IP protection in Russia for EU companies

On 6 March 2022, the government of the Russian Federation adopted a decree (which is already in force) that allows Russian entities and individuals to use inventions, designs and utility models registered in Russia by holders based in ‘unfriendly’ countries without their consent and without paying any compensation. The list of ‘foreign states who commit hostile acts against Russian legal entities and natural persons’ includes i.a. all EU countries.

The Russian authorities are ready to extend the measures of this Decree to trademarks as well. Moreover, on 8 March 2022 the Russian Government issued another law for the restriction of IP rights, which allows the government to list specific goods in respect of which particular provisions of IP law may be waived. This might include trademarks as well.

The above-mentioned legal norms constitute a flagrant violation of several International IP treaties to which the Russian Federation is a member.

Companies of such ‘unfriendly’ countries that stopped business in the Russian Federation can no longer defend their IP-rights in the Russian Federation. This may result in irreparable damage, not only for legitimate trademark holders but also for the public who will be purchasing these fake products and who will no longer have any certainty about the quality of the products offered under the specific trademark.

Even though the recent Russian legislation is very political and comes from authorities that are hard to influence or have a dialogue with, appropriate measures should still be taken in order to stop infringements. Therefore, ECTA (European Communities Trade Mark Association)  suggests that the European Commission files a complaint against the Russian Federation before the World Trade Organisation (WTO).

Whether the European Commission will act remains to be seen. We will keep you informed about all new developments.