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European patent firms increase hourly rates, despite coronavirus

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In Europe, the coronavirus pandemic continues to rage on. Many economic sectors are close to being on their knees. Others, like the life sciences sector, are booming. This is thanks to the unprecedented demand for respirators, analytical equipment and vaccines to help combat the COVID-19 virus.

Moreover, the ongoing coronavirus pandemic has not fazed European patent firms. Patent law outfits have maintained, or even slightly raised, their hourly rates. Indeed, according to data from 52 firms from France, Germany, the UK and the Netherlands, during 2020 European patent firm fees saw an increase of between 3.5 and 4.8%.

Interestingly, hourly rates for partners and associates have recently increased to different degrees. Firms did not raise their hourly rates evenly across litigation, prosecution and advisory work. However, rates in litigation experienced the weakest growth.

Hourly rates

UK litigators lead hourly rates

Partners and associates charge the highest hourly rates for their litigation work, as demonstrated across all European markets. Unsurprisingly, the fees of UK litigation practices in law firms and mixed patent firms remain ahead of their counterparts. London partners in the top segment charge around 700 euros for their litigation work, with the average hourly rate for partners around 600 euros. This amount includes litigator fees in both pure and mixed law firms. (See: German firms lag behind in market fees)

In other major European patent jurisdictions, litigators can only dream of such amounts. Surprisingly, it is not the German or French litigators who are hot on the heels of their London counterparts. Rather, litigators in Amsterdam and The Hague charge the highest hourly rates for partners. However, in terms of associate fees, Dutch firms bring up the rear. They average out at 258 euros.

Well-known in European patent circles is the lucrative nature of the London market. London litigation firms’ high hourly rates are also a result of the complex and extensive proceedings conducted at London’s patent courts. What’s more, London law firms regularly score points through the coordination of pan-European litigation. Here, firms often deploy young partners and large teams of associates.

Looking at pure law firms in the field of patent litigation, the gap between London firms and the rest of Europe becomes even wider (see: Big gap between UK and German law firms). On average, London partners charge 735 euros. Their associates charge 450 euros.

From high-profile to bread and butter

In Germany, on average a litigation partner in a pure law firm charges 298 euros less than a partner in London. However, the difference between London and German associate fees is only 124 euros.

Hourly rates

Higher operating and wage costs compared to Düsseldorf, Mannheim and Munich naturally impact the high London fees. But, in the global litigation business, both markets are of roughly equal importance. Thus, the different hourly rates depend on local market conditions.

For example, German law firm work is significantly more diverse than the mobile communications and life sciences patent-centred work of London’s firms. In Germany, the range varies from straightforward patent litigation for Mittelstand companies in various technical fields, to complex connected cars and biotech disputes of global importance.

Furthermore, in terms of the complexity of high-profile instructions, the German market is in no way inferior to London. As such, some market-leading German litigation teams charge hourly rates at London levels.

Quinn Emmanuel, for example, is known among competitors to have extremely high fees. The German team is considered the most profitable in the country, outstripping even top M&A firms. A sizeable proportion of Quinn Emmanuel’s 40.6 million euro turnover in 2020 came from patent litigation for clients such as Daimler and Qualcomm. Even with an extremely high workload, such turnovers could not be achieved with the average German hourly rates.

German firms too modest

The average German patent litigation firm cannot charge such fees. Some reasons are historical. For example, for many years payment was linked to the official scale of fees for lawyers and patent attorneys, set by the German government. It was not until the 2000s that Germany established alternative billing models.

Today, hourly rate may be the predominant instrument for billing clients. However, many German firms offer fees that are too low in high-profile cases. UK and Dutch firms demand significantly higher fees in parallel proceedings.

In addition, the competition in Germany is fierce. For almost ten years, the German litigation market has boomed, with numerous UK and US firms joining the traditional players. Most recently, Herbert Smith Freehills established a patent team in Düsseldorf. Numerous spinoffs, such as Taliens or Ampersand, are breathing life into the market. Still more patent attorney firms, like Vossius & Partner or Viering, Jentschura & Partner, are entering the lucrative segment with litigation teams of their own.

But the newcomers can rarely charge the high hourly rates of the market leaders – at least at the beginning.

Room for improvement

In all European markets, the number of mixed firms where patent attorneys and lawyers work together is growing. However, according to the JUVE Patent survey, in Germany, France and the UK litigation teams charge hourly rates below the market average. No data is available for Dutch firms.

Such mixed firms arose when patent attorney firms stopped passing on lucrative litigation work to specialised law firms. Instead, they deployed their own litigation departments with lawyers. Additionally, law firms increasingly include patent attorneys. In the French market especially, their number is increasing.

Hourly rates

In German and French law firms, where this approach is most widespread, partner and associate hourly rates tend to be much lower than pure law firms. (See: Structural deficit in litigation departments of mixed firms)

As newcomers, litigation departments of mixed firms often had to stand out in their segment through competitive pricing. Furthermore, lawyers seem to be guided internally by the fees of their patent attorney colleagues. As a rule, the two professional groups in these firms charge roughly the same rates – regardless if work is litigation, advice or prosecution.

The hourly rates of patent attorneys in firms that specialise in litigation, but do not employ their own lawyers, shows how much catching up there is to do. This is especially true in German mixed firms. According to JUVE Patent’s data, these patent attorney firms charge 427 euros per partner hour and 334 euros per associate hour. This is almost 60 and 30 euros more respectively than specialised colleagues in mixed firms.

Differences despite common market

Although patent attorney firms do most of their prosecution work with EPO patents, significant price differences exist between countries. Here too, UK prosecution firms take the lead, followed by the German patent attorney firms.

Hourly rates

Purely in terms of the number of patent attorney firms in both countries, UK and Germany firms share the bulk of European prosecution work. UK firm partners charge around 150 euros more than their German counterparts, with UK firms charging an average of 60 euros more for an associate than a German firm. Partners and associates from French firms lag slightly behind. (See: No common market in European prosecution work)

Here, differences in the filing of national patents may have an impact. But, since most of the firms’ work goes into filing European patents, the different hourly rates in this segment are surprising. After all, French, German and UK patent attorneys operate in a common market before the EPO.

The question arises as to why a company should pay different fees to French, German or UK patent attorneys to file a European patent. Perhaps higher costs for travelling to Munich or The Hague could objectively justify this.

But the EPO is looking to switch to more frequent oral hearings. As such, travel costs could cease to be a future argument. It is unlikely that patent attorney prices will come under pressure any time soon. On the contrary, only a few firms with a high backlog are likely to raise their hourly rates in coronavirus times.

Hourly rates

Waiting game

During 2020, JUVE Patent collected much of its current data on hourly rates. Dutch patent firms provided their figures at the beginning of the year, shortly before the first European lockdowns. Most firms gave their data after the first lockdown or towards the end of 2020. JUVE Patent collected data from French firms shortly before Christmas.

In many interviews, patent firm partners reported that the pandemic has impacted their clients in differing degrees. For example, the pandemic hit automotive sector companies hard. On the other hand, companies in the life sciences sector are inundated with orders.

However, many litigators and patent attorneys report that, across all sectors, clients tend to pursue the same IP strategy as in 2019. Companies are still litigating for technical IP rights at a high level, continuing to seek advice on licensing agreements, and research and development collaborations. Clients keep filing patents in core technology for AI, novel biotechnological medicines, or in mobile communications.

Associates step up

Companies from sectors under pressure from the crisis, such as the car industry, exercise a flexible response. For example, many are filing divisional applications or surrendering their patent protection in less important markets. A German patent attorney says, “Key technologies continue to be patented.” Even in the car industry, clients continue to file and defend patents for core technologies.

Patents continue to be crucial assets for companies from all industrial sectors. As such, hourly rates are not yet under such high pressure. Lawyers and patent attorneys are using other means to help companies that find themselves in difficulty. For example, firms are reducing the size of their advisor teams, or billing fewer hours than actually worked. In some instances, associates instead of partners do the required work.

Therefore, the hourly rates alone do not demonstrate the extent to which the work of patent firms is changing in the crisis. At best, the development on turnover rates can shed light on current industry pressures. However, so far there are no such statistics. Hourly rate development over 2021 may provide more clarity.

JUVE Patent’s methods: In 2020, JUVE Patent asked 360 IP firms from France, Germany, UK and the Netherlands to deliver data on their hourly rate regarding litigation, prosecution and advisory work. All firms are active in the patent field, with 52 firms delivering the data. Only in a few of the sub-categories is the data not meaningful. For example, Dutch patent attorney firms have not provided any information.

In 2019, JUVE Patent collected data from patent firms in France, Germany and the UK for the first time. Here, it received data from 38 firms. JUVE Patent has converted the UK firms’ figures in pounds into euros based on the exchange rate on 31 December 2020.

Source: https://www.juve-patent.com/news-and-stories/people-and-business/european-patent-firms-increase-hourly-rates-despite-coronavirus/

Patents

Most read news of the week: 3 April

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Our editorial staff’s pick of the most-read news stories of the last week: strange lights in the US, Facebook’s teleportation and the date when we’ll be back to normal after Covid-19

What are the most read news stories of the last week? What were the trending topics in the world of innovation? What was talked about on social networks around the world? In order to answer these questions, we have selected the news items which, over the past week, have had the most visibility on our portal and have ignited the curiosity of our readers.

Most read news items of the week

Covid: when will we return to normal? ISS sets the date

coronavirus normal virologistAn authoritative study carried out by the Istituto Superiore di Sanità, the Bruno Kessler Foundation and the Italian Ministry of Health has just been published. It is a statistical and epidemiological analysis of data from the Covid-19 pandemic in Italy. The researchers collected the numbers from the Italian regions and processed them to determine a date by which we can finally ‘return to normal’. The study is entitled “Return to normal: COVID-19 vaccination under mitigation measures” and sets out the period in which we can finally say goodbye to the restrictive measures and Coronavirus infections. READ THE ARTICLE

Strange lights in the US sky: Professor Aaron Coyner’s explanation

On the night of Thursday 25 to Friday 26 March 2021, many residents of the Northwestern states spotted eerie flying lights in the sky above their heads. The phenomenon was particularly visible in Oregon and Washington state. Citizens have reported to local authorities the presence of elongated luminous objects whizzing through the dark night at an extremely high speed. Naturally, the strange lights were captured in dozens of photographs and amateur videos that immediately went viral on social networks. Questions from concerned citizens became more and more numerous and insistent. Aaron Coyner, professor of physics at Southwestern Community College in Webster, North Carolina, stepped in to try to restore calm. FIND OUT MORE 

Zuckerberg: “Virtual reality will enable teleportation by 2030”

facebook teleportIn a recent episode of the well-known US podcast “The Information’s 411”, Mark Zuckerberg announced the arrival of an important innovation in the field of Virtual Reality. It’s about teleportation. No, it’s not a joke. The founder of the world’s most widely used social platforms has assured us that within 10 years the new models of Oculus Rift – the virtual reality glasses developed by the Californian high-tech company acquired by Facebook in 2014 – will allow us to meet friends, play games and visit faraway places without moving from our sofa at home. A real revolution in the field of Virtual Reality. READ THE FULL ARTICLE

You might also be interested in -> “Urban Sun”: the artwork that eliminates Covid-19

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Source: https://www.thepatent.news/2021/04/03/most-read-news-of-the-week-3-april/

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Weekend inventions by Corneliu

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Weekend inventions are environmentally friendly products, Air by Corneliu brand, which, by implementing creative-innovative concepts, contributes to increasing the quality of life

MicroU

Potrebbe essere un'immagine raffigurante giaccheMicroU, an ecological and multifunctional alternative to glasses pouch, with a protective and cleaning function, without resorting to wet napkins. Technical Problem Solved by MicroU: multifunctional capacity (protection and cleaning), eliminates the use of wet napkins, small dimensions (thickness 3mm, weight 30g), duration of use 5-10 years, washable (wash easily). The MicroU has a wide range of use and can be used successfully for cameras, smartphones, tablets, laptops, ebook readers, etc.

SeptoBirCor hand sanitizer

Potrebbe essere un'immagine raffigurante cosmeticiSeptoBirCor contains, in addition to alcohol and / or chlorine, basic oils (flax, avocado, mustard, olives, macadamia nuts, hemp, grape seeds, wheat germ, sweet almonds, castor, etc.), bee complex (honey, propolis, pollen, royal jelly), emollients and antiseptic oils (lavender, cloves, marjoram, sage, coriander, etc.). SeptoBirCor has a double effect: the hands are disinfected and, at the same time, hydrated, eliminating side effects such as dehydration, irritation and the appearance of skin cracks.

The Air by Corneliu Soap

Potrebbe essere un'immagine raffigurante il seguente testo "SAPUN CORNELIU AIR by Inventii de weekend"The Air by Corneliu Soap contains over 9 basic oils (flax, avocado, mustard, olives, macadamia nuts, hemp, grape seeds, wheat germ, sweet almonds, castor, etc.), a bee complex (honey, propolis, pollen, royal jelly) and antiseptic essential oils (cloves, lavender, marjoram, sage, etc.). The Air by Corneliu Soap is available with alcohol or chlorine, it can be customized as needed (solid / liquid). It does not contain NaOH.

BircoR

BircoR is a soap support made of natural materials (stone) of different shapes and sizes. Placing the soap on the BircoR support is a challenge in order to achieve the static and dynamic balance. This action disconnects us from the hyper-alert rhythm of everyday life, leading to biorhythm regulation. BircoR: reduces stress, improves dexterity, brings us closer to nature.

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Source: https://www.thepatent.news/2021/04/02/weekend-inventions-by-corneliu/

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Covid: when will we get back to normal? ISS sets the date

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The ISS study “Return to normal: COVID-19 vaccination under mitigation measures” has indicated the date by which we will reach a “zero-Covid” level in Italy

When will we return to normal? When can we say goodbye to masks, social distancing and restrictions? When will we start going out in the evening, playing sports and travelling around the world again? These are the questions that each of us has asked (and Googled) at least once in the last few months. The answers are usually very general and not very scientifically founded. In the last few hours, however, there may be an important breakthrough. In fact, an authoritative study carried out by the Istituto Superiore di Sanità (ISS), the Fondazione Bruno Kessler and the Italian Ministry of Health has just been published. It is a statistical and epidemiological analysis of data from the Covid-19 pandemic in Italy. The researchers collected the numbers from the Italian regions and processed them to determine a date by which we can finally ‘return to normal’. The study is entitled ‘Return to normal: COVID-19 vaccination under mitigation measures’ and sets out a timeframe in which we can finally say goodbye to restrictive measures and Coronavirus infections.

You may also be interested in → Covid-19: a video shows how the virus spreads in a school classroom

Covid: when will we get back to normal? ISS sets the date

“We estimate,” say the authors of the study, “that with at least 4 vaccinations per day per 1000 inhabitants, it will be possible to eliminate the restrictive measures within 7 to 13 months from the start of vaccination. The experts point out that these times depend on numerous variables. The most important are the number of vaccines administered and the transmissibility of the virus. “It will be necessary to vaccinate at least 500,000 people a day and to keep infections below the threshold of 50 positives per week per 100,000 inhabitants. A 20% increase in the incidence of variants of the virus could extend the time frame by up to two years. If we manage to meet the parameters set by the ISS, then the situation in Italy should improve considerably by July 2021. However, we will have to wait several more months to reach the “Zero – Covid” level (zero restrictive measures and zero infections). The study assumes that the infamous ‘zero quota’ will not be reached by Italy until January/February 2022 at the earliest. “In any case,” assure experts from the Ministry of Health and the ISS, “with the vaccine there should be 80% fewer deaths than without vaccinations between now and February.

Read also → Two drugs already on the market are effective against Covid-19: confirmation

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Source: https://www.thepatent.news/2021/04/02/covid-when-will-we-get-back-to-normal-iss-sets-the-date/

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Decathlon Fights Pentathlon, Delhi High Court Restrains Usage of ‘BOSS’ and more

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Decathlon Fights Pentathlon, Delhi High Court Restrains Usage of ‘BOSS’ and more

Decathlon Fights Pentathlon, Taylor Swift Faces Lawsuit Against ‘Evermore’ Album, Gucchi Mushroom Applied for GI Tag, and more brought to you by the Trademark Attorneys at BananaIP (BIP) Counsel

INDIAN TRADEMARK UPDATES

Delhi High Court Restrains Usage of ‘BOSS’ Trademark in Infringement Case

Internationally renowned musical instrument manufacturer, Roland International, recently obtained a favourable decision from the Delhi High Court in a trademark infringement and passing-off suit. Roland International filed the suit against Sandeep Jain, and his companies ‘Hi Tone Electronics’ and ‘Janata Electronics’ alleging infringement of its ‘BOSS’ trademark, which was being used in connection with keyboards, synthesisers, and other musical instruments. Sandeep Jain refuted the claims of passing off, asserting that the mark used by him incorporated the prefix ‘Hi Tone’, which made his mark significantly different from Roland International’s mark. The Delhi High Court, while assessing the claim of passing off, found that Jain was the prior adopter of the marks ‘BOSS’ and ‘Hi Tone BOSS’ in India, and Roland International failed to prove that its marks had reputation in India prior to such adoption by Sandeep Jain. However, the Delhi High Court took into account the public interest aspect of passing-off cases, and awarded an injunction against Sandeep Jain. The injunctive order stated that Jain’s use of the ‘BOSS’ and “Hi Tone BOSS’ marks must be restricted only to his current catalogue of products, so as to prevent any confusion among the public, and to avoid any association with Roland International’s goods.

Citation: Roland Corporation v Sandeep Jain & Ors. [CS(COMM) 565/2018 & CS(COMM) No. 6/2018]

Decathlon Initiates Trademark Infringement Suit Against Pentathlon

Decathlon Sports India, a leader in production of sporting goods, has recently initiated a trademark infringement suit before the Ghaziabad District Court, against NCR-based Pentathlon. Decathlon claims that Pentathlon has illegally, and in a mala fide manner, copied its registered trademark and tagline, and is passing off its substandard goods as those of Decathlon’s. It was further claimed that the font and colour scheme used by Pentathlon in its logo is exactly the same, and Pentathlon has also imitated Decathlon’s tagline “Sport for All – All for Sport” while creating its own tagline “Sports for Everyone – Everyone for Sports”. Pentathlon has rebutted Decathlon’s claims, stating that it sells goods of other brands such as Nike, Yonex, Wilson, Cosco, and Nivea, alongside its own branded cricket accessories, whereas Decathlon mostly sells goods under its own brands, and therefore, consumers are unlikely to be confused between the two companies.

INTERNATIONAL TRADEMARK UPDATES

Relatives of Jimi Hendrix Found Guilty in Trademark Infringement Suit

In a recent decision by the District Court of the Southern District of New York, late musician Jimi Hendrix’s brother, Leon Hendrix, and niece, Tina Hendrix, were found to be indulging in infringement of the ‘Hendrix’ and ‘Jimi Hendrix’ trademarks. The suit was instituted by Experience Hendrix LLC, the owner of the above trademarks, who had also obtained a permanent injunction against Leon and Tina Hendrix’s use of the same in 2019. The present suit was filed after the legendary guitarist’s relatives established and operated a not-for-profit music school, ’Hendrix Music Academy’, and also sold merchandise bearing the name and likeness of Jimi Hendrix. The District Court found the actions of Leon and Tina Hendrix as violative of Experience Hendrix LLC’s exclusive rights over the trademarks, and contrary to the permanent injunction passed in 2019.

Shell Emerges Victorious in Trademark Infringement Case in China

The Beijing Intellectual Property Court awarded Shell International and Shell China damages to the tune of RMB 5.5 million (approximately $851,000) for trademark infringement by several Chinese entities. The suit revolves around the sale of automobile lubricants by 5 Chinese companies, that incorporate packaging, designs, and trademarks that are deceptively similar to Shell’s products. The infringing entities were found using marks such as “SheH” and “HLIEX”, which were significantly similar to Shell’s house mark, and its registered mark “Helix”, along with Shell’s logo. The Beijing Intellectual Property Court also granted permanent injunction against the five infringing companies, restraining their use of the deceptively similar trademarks.

Taylor Swift Faces Lawsuit Against ‘Evermore’ Album

Grammy award winning singer/songwriter Taylor Swift has been targeted in a trademark infringement suit before the US District Court in Utah, filed by a Utah-based amusement park, ‘Evermore’. The amusement park had filed the suit after it noticed a quick increase of internet traffic on the park’s website, soon after the launch of Swift’s album Evermore in December 2020. The suit alleges that Taylor Swift, by incorporating certain imagery in her music videos and merchandising, has infringed upon the park’s logo and aesthetic. The suit further claims that by selling merchandise under the mark Evermore, Swift has also engaged in counterfeiting, as the trademark Evermore is owned by the amusement park. Taylor Swift’s team, however, has refuted all claims of trademark infringement, and has claimed that the suit is frivolous and irresponsible, as there is no chance of confusion between the album and the amusement park.

BRAND LICENSING UPDATES

Clarks Seals Licensing Deal for First-Ever ‘Minecraft’ Shoes

Footwear giant Clarks has recently penned a deal with video game developer Mojang Studios, to release a line of footwear inspired by the world’s best-selling video game, Minecraft. The shoes will be available in several retail stores in the Australian and New Zealand market for both boys and girls, in several colour combinations inspired from the game. The new line of shoes will be packaged in a special Minecraft box, and each pair will also be accompanied by a hidden Minecraft collectible toy.

H&M Collaborates with Rocha for New Collection

Swedish apparel retailer H&M has partnered with Irish fashion designer Simone Rocha to bring a new spring collection. The H&M X Simone Rocha line designed for women, men, and children, includes bubble silhouettes, romantic prints, traditional plaid and silky hair ribbons. The agreement marks a milestone for the Irish designer as it is her first venture into childrenswear and menswear.

DOMAIN NAME DISPUTE UPDATES

Sportswear Manufacturer Fined in Reverse Domain Name Hijacking Case

Italian sportswear company Lotto was recently made to pay approximately $237,00 USD in attorney’s fees, after it was found to be indulging in reverse domain name hijacking. Lotto had instituted a cybersquatting case under WIPO’s Uniform Domain Name Dispute Resolution Policy (UDRP) against the domains LottoStore.com and LottoWorks.com, which had been honestly obtained by an individual, David Dent, to be used in connection with his online gaming business. As the initial suit was decided in favour of Lotto, Dent was forced to file a suit before the US District Court for the District of Arizona to appeal the same. The Court found that Lotto was engaging in reverse domain name hijacking, and accordingly ordered Lotto to compensate Dent for the attorney’s fees incurred by him.

GEOGRAPHICAL INDICATION UPDATES

Gucchi Mushroom Applied for GI Tag

After the successful inclusion of saffron in the list of Geographical Indication(GI) products, Jammu & Kashmir has filed an application to include Doda Gucchi Mushroom as a GI. Locally called Gucchi or Morel, the mushroom, is priced at over ₹20,000 a kg, making it the costliest mushroom in India. Gucchi is famous for its spongy, honeycomb texture and unique flavour, as well as its medicinal and anti-inflammatory properties. The application has been filed by NGO Borderless World Foundation.

GI Products at Airports

In a bid to attract more customers and generate additional revenue, the Karnataka Government is planning on showcasing the state’s Geographical Indication (GI) products at state airports, railway stations and bus stands. Karnataka has more than 42 GI’s granted to it, including GI such as Mysore silk, Mysore agarbathi, Dharwad pedha amongst others. The government is also planning on expanding the plan to other states as well depending on the response it receives from the home state.

Authored and compiled by Uma T.S, Shreya Chaddha & Varun Gopalakrishnan

About BIP’s Trademark Attorneys

The Trademark News Bulletin is brought to you by the Trademark/Copyright, IP Transactional Strategy Divisions of BananaIP Counsels, a Top IP Firm in India. Led by Sanjeeth Hegde, BIP’s trademark attorneys are among the leading experts in the field. If you have any questions, or need any clarifications, please write to [email protected] with the subject: Trademark News.

The weekly trademark news initiative is a part of their pro bono work and is aimed at spreading trademark awareness. You are free to share the news with appropriate attribution and backlink to the source.

Disclaimer: Kindly note that the news bulletin has been put together from different sources, primary and secondary, and BananaIP’s reporters may not have verified all the news published in the bulletin. You may write to [email protected] for corrections and take down

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