You are using an outdated browser and your browsing experience will not be optimal. Please update to the latest version of Microsoft Edge, Google Chrome or Mozilla Firefox. Install Microsoft Edge

September 22, 2023

Balancing Conflicting Rights of Geographical Indications in Vietnam

Managing Intellectual Property

The most familiar and well-protected IP rights are copyrights, patents, and trademarks. However, geographical indications (GIs) are also protected by TRIPS, and are perhaps the most contested rights worldwide.

Like a trademark, a GI identifies the origin of goods, but refers to a particular region which yields product qualities that cannot be replicated elsewhere. In practice, most GIs relate to agricultural products, and many originate from Europe, such as the terms Champagne, Mozzarella, and Parmesan. Due to the fundamental relationship between place and product, there have been major arguments that producers outside a specified region are not permitted to use the place name on product labels, no matter how similar their product is to the GI-protected product. A few years ago, a series of European GIs for cheese products were opposed in Vietnam by U.S. producers who considered the terms common names that should not be monopolized under the GI protection scheme. In addition, the overlapping rights between trademarks and GIs and their historically tempestuous relationship add more trauma to lawmakers and IP practitioners.

Amid this controversy, Vietnam has joined many international agreements with regard to IP and GI rights, including the TRIPS Agreement, the CPTPP, and the EU-Vietnam Free Trade Agreement (EVFTA). Although Vietnam’s IP Law has been amended to reflect these agreements, Vietnamese lawmakers still bear a heavy responsibility in drafting and issuing legislation to further guide the implementation of the amended law, to not only correctly reflect Vietnam’s international commitments, but also to balance the rights of many sides with conflicting interests regarding GIs and trademarks. This legislation includes an upcoming circular regarding industrial property rights (the “draft Circular”).

Information Transparency

The CPTPP requires GI applications or petitions to be published for opposition, and provides procedures for opposing such GIs. In addition, it requires Vietnam to “make available information sufficient to allow the general public to obtain guidance concerning the procedures and the processing for filing applications or petitions to ascertain the status of specific applications and petitions.” However, Vietnam still has no public database of GIs, apart from the corresponding publications in the IP Gazette. The establishment of such a database, including the status of GI applications and registrations and relevant information and forms for opposing a GI application or requesting the cancellation of a registered GI, is crucial for meeting this requirement.

Under current practice and as provided under the draft Circular, the contents of GI applications to be published in the IP Gazette include the abstract of the specific characteristics of the product bearing the GI and the product name bearing the GI. However, in practice, the IP Gazette has not yet specified, as required under the CPTPP, (i) an indication of the individual terms for which the protection is disclaimed in the case of multi-component terms seeking protection as GIs, or (ii) an indication of whether the GI application also includes a translation or transliteration of the name for which protection is sought.

Common Terms and Fair Market Access

The amended IP Law clearly states that a GI will not be registered if it has become the common name of goods according to the perception of relevant consumers in the Vietnamese territory. However, there is still no guidance on how to determine whether a term is the “common name.” Vietnam must issue guidance on this, taking into account the CPTPP’s provision that such factors could include dictionaries, newspapers, and relevant websites, and the way the goods are marketed and used.

In addition, exceptions in the EVFTA concerning the prior use of terms such as Asiago, Feta, Fontina, and Gorgonzola state that GI protection over those names would not bar anyone in Vietnam from continuing to use the names if they had been using them in good faith before 1 January 2017. However, to date, there is no guidance or confirmation on this, leaving the companies who satisfy such conditions in limbo.

It should be noted that the guidelines under the CPTPP are a non-exhaustive list, therefore any guidance for Vietnam should also be open. In addition, it will be more practical if a non-exhaustive list of common names is made publicly available to ensure the free use of generic terms will not be threatened by future GI applications.

Prior Trademark Rights

Under the amended IP Law, a GI will not be protected if it is identical or similar to a trademark that is currently protected or is pending under an application with an earlier filing date or priority date, if the use of that GI is likely to cause confusion as to the commercial origin of the goods. The draft Circular also stipulates that within the GI examination procedure, when the IP Office identifies marks that are identical to or closely resembling the GIs, it must notify the owner of the mark and invite opinion on the GI’s registration. This could be interpreted to mean that the IP Office would not be entitled to refuse ex officio a GI when it is confusingly similar to a prior trademark, but only when there is an objection from the trademark owner—a potential conflict with Article 117 (Refusal to grant protection) of the IP Law.

Conflict between prior trademarks and GIs has actually happened—for example, the case of the “Tan Trieu” pomelo, which was granted a GI registration certificate by the IP Office in 2012 to the Dong Nai Province People’s Committee. However, the IP Office had already granted two trademark registrations for the identical sign “Tan Trieu” to Tan Trieu Que Huong Private Enterprise in 2008, also for pomelo products. The IP Office later invalidated the trademark registrations, leaving many doubts for the public.

Meanwhile, under the TRIPS Agreement, if a trademark has been applied for or registered in good faith, or if rights to a trademark had been acquired through use in good faith before the GI was protected, whether such trademark is identical or similar to a GI shall not prejudice eligibility for or the validity of the registration or use of the trademark. However, neither the IP Law nor the draft Circular touch upon this matter. Therefore, to clear up any possible conflict between owners of trademark and GIs, the law should have clearer guidance on this issue.

Outlook

Vietnam’s efforts to rebuild its existing legal system when entering the global playing field have been commendable, and the amended IP Law and draft Circular both show promising changes. However, practical measures still need to be adopted in the country’s legal framework to truly facilitate IP rights for GI and trademark owners.

This article first appeared in Managing Intellectual Property.

RELATED INSIGHTS​ 

June 23, 2023
April and May witnessed intriguing developments within Vietnam’s intellectual property community. On the legislation side, of particular note was the issuance of Decree No. 17/2023/ND-CP on April 26, coinciding with World IP Day. Decree 17 provides guidance on implementation of the 2022 Intellectual Property Law with regard to copyright and related rights, and has garnered significant attention due to several issues, especially the liability of intermediary (internet) service providers and copyright violation in the digital environment. Additionally, two noteworthy IP cases have emerged, albeit with limited public disclosure and awareness of specific details. Nonetheless, these cases are expected to have far-reaching implications. Copyright: Criminal Case Against Unauthorized Broadcasting of Football Matches For a considerable period of time, Vietnamese football enthusiasts have enjoyed being able to watch matches on TV and online from numerous top global football leagues. While many of these broadcasts were legitimate, with the rights purchased by Vietnamese and regional broadcasters, the unauthorized transmission and broadcasting of football matches on the internet has become increasingly prevalent. Authorities have seemingly faced challenges in curbing this issue through criminal action. In a positive development, in early May the Hanoi police decided to open a criminal proceeding against the unauthorized transmission and broadcasting of high-profile overseas football matches after a rigorous two-year investigation. Prior to this decision, authorities encountered difficulties in accurately determining the relevant laws and the nature of the violation to meet the requirements for prosecution. Specifically, they grappled with the question of whether a football match, or more specifically, a recorded video of a football match, could be considered a copyrighted work. If copyright protection extended to football matches and/or recorded videos, then transmitting and broadcasting these matches directly through the internet could be deemed illegal acts of copying or distributing (copyrighted) works, as outlined in Article
May 23, 2023
Life sciences specialists at Tilleke & Gibbins’ office in Bangkok have contributed a new “Life Sciences Commercialization in Thailand” chapter to the Life Sciences Global Guide from Practical Law. The Q&A-style guide provides strategic information for companies active in the life sciences sector in Thailand. The chapter covers a number of key areas: Overview of the life sciences sector Pricing, government funding, and reimbursement: National health care system, price regulation and reimbursement Distribution and sale Cross-border trade and parallel imports Advertising and engagement with patient organizations Patents: Conditions for patentability, registration, length of protection, infringement, international treaties Trademarks: Requirements, registration Competition law issues: Authorities and legislation, commercial contracts and competition law, licensing approvals and formalities Product liability: Regulators, medicinal product liability law, liable partners, defenses, product liability claims, remedies Practical Law, produced by Thomson Reuters, is the world’s leading legal know-how resource for business lawyers, publishing a huge range of guides covering hundreds of jurisdictions and practice areas. The full “Life Sciences Commercialization in Thailand” section can be found on the Practical Law website.
May 19, 2023
On May 16, 2023, Myanmar’s Intellectual Property Department (IPD) announced an extension of one more month for submission of notarized appointment of representative forms (or “TM-2 forms”) and for payment of official filing fees for trademarks. The new deadline for payment and submission is June 30, 2023. The IPD had announced in April 2023 that fee payments and submission of notarized TM-2 forms for trademarks prior to the enforcement of the Trademark Law (i.e., from October 1, 2020, to April 2, 2023) had to be completed by May 31, 2023. However, technical issues have hindered the IPD’s online filing system, which has had to undergo maintenance procedures. The extension until June 30, 2023, gives mark owners more time to prepare the necessary notarized TM-2 forms for their mark applications filed prior to enforcement of the Trademark Law . For more information on the country’s new trademark system, or on any aspect of protecting intellectual property rights in Myanmar, please contact Tilleke & Gibbins at [email protected].
May 15, 2023
Southeast Asia’s remarkable growth as a destination for foreign investment—including a 42 percent increase in 2021, according to a joint ASEAN-UNCTAD report—has brought with it innovation as well as the desire to protect that innovation. Investors are increasingly seeking to patent the proprietary technology that is a crucial component of so many businesses today, and a burning question for patent applicants is whether artificial intelligence (AI) technology and software are patentable in Southeast Asia. The short answer is that it depends, as the patent laws in Southeast Asia are not uniform. Is it Patentable? While AI tools tend to be newer, the older and more familiar question is whether computer software is patentable, and many jurisdictions do have specific rules on this issue. Pure software, or software characterized only by source code, may not be patentable, but it can be protected under copyright laws. AI-related software may involve complex algorithms, datasets, and training methodologies that can be challenging to disclose in a manner that satisfies the enablement requirement in practice. Algorithms, mathematical methods, and abstract ideas are often considered non-patentable subject matter in many jurisdictions. While software implementing AI may involve innovative algorithms, securing patents for algorithms alone can be challenging in some jurisdictions. Also, the patent laws of Indonesia, Myanmar, Thailand, and Vietnam specifically list computer programs as unpatentable subject matter. However, a possible workaround would be to describe the software as connected to a tangible medium. This method could overcome an unpatentable subject matter rejection during substantive examination. Furthermore, in Indonesia, a computer program can be patentable if its characteristics (i.e., instructions) have a technical effect and function to solve a tangible or intangible problem. The most liberal of Southeast Asia’s patent regimes—Singapore’s—even addresses AI innovations. The country has a special fast-track scheme for examining AI patent