A trademark is one of the most valuable components of a company’s functioning, which can provide it with a significant competitive advantage. Trademarks are a method of protecting symbols that are proprietary to a company. Hence, it consists in confidential information that describes the processes or things that characterize the organization. It can be a phrase, a slogan, a symbol, or a mixture of these aspects. To qualify for a trademark, the information must correspond to specific points. It must have commercial value for the company, must be known to a limited number of people, and fall under such documents as consent to conceal data for the persons by whom it is used.
The 3M logo is an example of a trade mark. The red or black combination, the font, the fact the curves of the “3” lay tangent to the “M” are is something that is universally recognized by a majority of Americans. This distinguished icon is protected by a trademark and prevents competitors from attempting to use a similar replication of the logo to market their own product. Trademark protection extends beyond of a logo and can protect a phrase, symbol or any unique design that can be used to identify a source of a service and/or product but does not specifically protect the service or product. Filing a trademark is important to protect the identification of a company or product but also has additional legal benefits. If the holder of a trademark does business internationally the Madrid Protocol can provide options additional protection. The Madrid Protocol is an international treaty that allows a trademark owner to seek registration in any county and participates in the Madrid Protocol by filing a single application. The resulting registration is subject to the local laws and rules of each country and does not guarantee international protection. Before a trademark can be registered for it must be proved that one has either used the mark in commerce or has the intent to use it in commerce. The term for a trademark is 10 years and can be renewed as long as the owner continues to use the trade mark but also takes some maintenance to keep it properly protected. The owner must file for renewal within the year before each successive 10 year period. Additionally, within each 10 year period the owner must file an affidavit of use between the fifth and sixth year of use.
According to the United States Patent and Trademark Office ‘trade secrets consist of information and can include a formula, pattern, compilation, program, device, method, technique, or process”. To be considered a trade secret is needs to be used in commerce and provide opportunity for advantage to the owner over anyone who does not understand it or know it. A trade secret is limited because it only provides the owner protection of misappropriation. If a trade secret is disclosed to the public in any form the trade secret and associated protection is lost. Trade secrets do not have a set time frame of protection. Trade secrets do not protect against individual discovery but can be protected as long as the product or services is valuable and the owner takes reasonable steps to protect the discovery of it. There is no registration process with the government because this would require disclosure of the trade secret. The responsibility falls upon the owner to protect the secret. While this may sound difficult to do effectively The Coca-Cola Company has been protecting the recipe for original Coke successfully since 1891.
Unlike a trademark, a trade secret is characterized by large scales. The first concept includes the protection of the name, logo, packaging of a product or service under a trademark. A trade secret as an intellectual property includes such concepts as patent, copyright, and trademarks. The unauthorized acquisition, use, or disclosure of such secret information in a manner contrary to honest commercial practices by others is regarded as an unfair practice and a violation of the trade secret protection.
The protection of the trade secret takes place in compliance with two mandatory forms. It can be said that the most important of them becomes through the creation of agreements, contracts, and procedures for establishing documentary protection of intellectual property. Another form of ensuring the security of the phenomenon under study is the establishment of specialized technologies to ensure physical and electronic security and confidentiality. Violation of these aspects may entail judicial punishment and be considered improper behavior by judges.
Therefore, unauthorized access to confidential information for the purpose of further dissemination may entail legal consequences in the form of compensation for the company’s loss. Also, an injunction may be imposed, stopping the production of products under a stolen trade secret. Criminal penalties include imprisonment or an unlimited fine. These sanctions can be applied to both forms of protection of the company’s trade secret. To obtain legal access to a trademark, it is necessary to obtain an agreement from its holder, so the owner of the secret can appoint a particular person to access and use the trade secret information. At the same time, a non-disclosure agreement between the licensor and licensee is signed and strictly observed.