Trademarks, domain names and keywords

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August 11, 2008

Number of domain name registrations on the increase

Companies are reserving domain names and search terms, in addition to trademarks, to an increasing extent. The numbers of domain name applications are returning to the level of the year 2000. Companies are building their brands more and more efficiently and also reserving search terms suitable for their brands as well as domain names according to their brand or trademark at an earlier and earlier stage.

Companies are indeed on safest ground when they protect their trademarks and domain names as early as possible.

The statistics published by FICORA (Finnish Communications Regulatory Authority) show that the number of Finnish domain name registrations has increased. Until 2003, the number of fi-domain name registrations was below 6000 each year. When the registration regulations were softened in 2003, the number of domain name registrations was already almost 29 000. The numbers for 2004-2005 were again smaller, but both in 2006 and in 2007 the number of fi-domain name registrations was already about 35 000. Almost 27 000 domain names have been registered so far in 2008.

Side effects

Increasing pace and competition also give rise to adverse effects, such as companies that offer domain registration services at very high prices and on vague grounds. These companies may offer the registration of a domain name corresponding to a business name or a trademark, for example, on the grounds that a third party is going to register the domain name in question. In cases like these, we recommend that you contact our trademark attorneys.

FICORA, which grants the fi-domain names in Finland, reminds on its web pages that, according to the Domain Name Act, the applicant answers for the domain name not being based on a protected name or trademark of another party. The names registered in Finland are entered in the Trade Register, the Register of Associations, or the Foundation Register, and the trademarks which are in force in Finland are registered either in the Trademark Register of the National Board of Patents and Registration of Finland or in the Office for Harmonization in the Internal Market (OHIM).

More and more trademark applications being filed

The trademark application filings are also increasing in Finland and in the world. By the end of August of the current year, the number of national trademark applications filed in Finland exceeded by almost 300 that of the corresponding period in 2007. Over 4100 national applications were filed in 2007, while in 2003 there were almost 1000 fewer applications. The number of the Community trademark applications covering the whole European Union area has also been on the increase for almost the entire 21st century. The total number of applications in 2007 exceeded 88 000.

Trademarks and search engine keywords

The relationship between the keywords marketed by search engines, i.e. the so-called keyword advertising, and the exclusive right conferred by trademark protection is controversial in the world. It has been possible to purchase even another party's trademark as a keyword from a search engine company. Thus, for example, a European car manufacturer could buy a trademark owned by an Asian car manufacturer as a keyword, and get customers to visit his own web site through a paid-for link shown in the results of search. In resultant disputes, the search engine company has argued, among other things, that it is selling ad space, not keywords. The search engine company therefore considers that it does not infringe other parties' trademarks. As a result of litigations, the search engine company has introduced a complaint system in several countries to make it easier to defend trademark rights. Keyword disputes are very likely to keep legislators and courts busy in future as well.

To ensure rights and to avoid disputes, we recommend that all intellectual property rights be protected without delay. The trademark experts of Forssén & Salomaa Oy' are pleased to help you in protecting and defending your trademark rights.

For more information, please contact our trademark attorneys.