In recent months, UK businesses have faced a surge in sophisticated trade mark scams, with two primary methods dominating the landscape. These scams are often highly convincing, using official-looking logos, email addresses, and carefully crafted wording designed to pressure businesses into making hasty decisions.
In this article, our trade mark solicitors highlight what to watch out for, the potential consequences of falling victim to these scams, and practical steps you can take to protect your business and your intellectual property.
If you are reading this because you are concerned about a trade mark scam, or need practical advice on protecting your intellectual property, our experienced trade mark solicitors are here to help. We’ll make sure your rights are properly protected and that your business stays safe from fraudulent demands.
Contents:
The fake law firm scam
One concerning scam involves emails purportedly sent from law firms warning that another party is interested in registering a trade mark you have been using without formal registration. These emails often appear highly credible and include:
- Use of real law firm names and lawyers’ names: Scammers frequently impersonate legitimate law firms and named legal professionals to sound credible. The individuals mentioned are not associated with these firms, and the communication is entirely fraudulent.
- Urgent action demands: These emails often mention that if recipients fail to respond quickly, the scammer will assume they consent to the registration and proceed to file for the other party. This creates unnecessary urgency and panic.
For example, businesses have reported receiving notices that falsely allege a competitor is about to register a similar mark, creating pressure to act quickly without verifying the legitimacy of the email. These tactics are designed to both confuse and exploit business owners who may not be familiar with trade mark processes.
The final reminder scam
A “final reminder” email is another fraudulent method used to instil urgency and panic. These emails claim to give business owners a “last chance” to register their trade mark before a third party.
An example of this type of communication might read:
"This is your final reminder regarding the trademark filing for [your mark]. Another party has recently submitted intent to register the name. Our legal team has confirmed that this party has minimal use of the name, whereas your business shows documented active use and brand establishment."
The email urges the recipient to respond within 24 hours and apply to the UKIPO or EUIPO to “secure their rights.” Note that legitimate trade mark advisors or agents would never send emails threatening the registration of competing marks in this manner. Such claims are fraudulent and highly unprofessional.
The WIPO renewal scam
Another common scam involves fraudulent invoices purportedly from the World Intellectual Property Organization (WIPO). These scams target businesses by requesting illegitimate payments for trade mark renewals or approval fees.
Key indicators of this scam include:
- Misleading invoices: These invoices often have incorrect currencies, unofficial email addresses, or inaccurate representations of the WIPO logo. For example, WIPO fees are invoiced exclusively in Swiss Francs, and any request for payment in another currency is a red flag.
- Unusual payment requests: Legitimate WIPO payments may only be made via recognised methods: current accounts at WIPO, credit card payments, bank transfers, or postal transfers.
- Phishing emails: The emails might appear to come from institutions with official-sounding names or acronyms similar to “WIPO” or falsely linked to intellectual property organisations.
To help businesses identify scams, WIPO has issued guidance, including the document “5 Ways to Identify a Misleading Invoice”. Key points to remember include:
- Always check the currency of the invoice (WIPO invoices are issued only in Swiss Francs).
- Correspondence using languages other than English, French, or Spanish is likely fraudulent.
- Be suspicious of correspondence with an unofficial address or logo. WIPO’s official details are:
World Intellectual Property Organization
34, chemin des Colombettes
CH-1211 Geneva 20 Switzerland
www.wipo.int
Scammers often use unofficial email domains. Always verify that communications originate from “wipo.int” and check links and URLs before clicking on them.
What are the consequences of falling for trade mark scams?
Engaging with these scams can have devastating consequences for businesses, including:
- Financial loss: Once a payment has been sent to a scammer, it is often impossible to trace or recover the money. This can severely affect the cash flow and financial health of businesses.
- Loss of trade mark rights: Businesses may unknowingly miss critical deadlines for genuine registrations or renewals, leaving their IP assets unprotected. In some cases, scammers may pose as facilitators but fail to complete the trade mark process.
- Confidential information disclosure: Providing sensitive details (e.g., account numbers or trade secrets) to scammers could lead to further exploitation. Scammers could also misuse this information to harm the business’s reputation.
How do I protect my business from trade mark scams?
To protect your business against trade mark scams, consider these practical measures:
- Verify communications: Double-check all communications before responding or making payments. Verify email addresses, contact names, and details, and if unsure, call the sender back using an independent contact number (e.g. the official number for the organisation mentioned).
- Appoint a trade mark representative: Working with a qualified solicitor or trade mark solicitor can help protect your business. These professionals handle correspondence on behalf of your business, reducing direct exposure to scams. They will also ensure all deadlines are met and processes are completed correctly.
- Educate your team: Train employees to recognise common trade mark scams and phishing tactics. Ensure staff know how to report and respond to suspicious communications.
- Stay updated with WIPO guidance: Familiarise yourself with guidance such as WIPO’s “5 Ways to Identify a Misleading Invoice”. Regularly review best practices for spotting fraudulent communications.
Summary
As scammers employ increasingly sophisticated techniques to target businesses, it’s important that you remain informed and proactive. Falling victim to these scams can lead to significant financial and reputational damage, as well as a loss of trade mark rights critical to protecting your brand.
By appointing trusted trade mark representatives, educating your team, and consistently verifying communications, you can protect your business and protect your intellectual property against these targeted scams.
At Harper James, our experienced trade mark solicitors can help you in navigating trade mark processes while protecting your valuable intellectual property rights. Don’t hesitate to reach out if you need support or advice. Together, we can ensure your business stays one step ahead of the scammers.