Regarding intellectual property objects to note when conducting franchising
The objects of intellectual property that an F&B business need to pay special attention to in the process of expanding its business chain include trademarks and know-how – two factors that make up the restaurant’s brand and reputation. A know-how is automatically protected when it meets all the conditions, while a trademark needs to be registered to receive legal protection.
In order to successfully register for trademark protection abroad, enterprises should first conduct a search to assess the registrability of the mark, thereby taking appropriate development steps. Businesses can choose to register their trademarks by applying for registration through the Madrid Agreement/Madrid Protocol system or by applying directly to the destination country through the IP representative organization in the country. there.
It is necessary to register for trademark protection as soon as possible to avoid the risk of trademark infringement, theft, and imitation. The choice of the appropriate application method depends on the number of countries designated to register as well as the financial ability and actual conditions of the restaurant because these two methods have certain differences in cost and cost. How and when to complete the registration procedures. Usually, if you are applying in more than one country at the same time (whose countries are also members of the Madrid Protocol or Agreement), registering through the Madrid system will be more beneficial for businesses when it comes to saving costs. fees and time than applying directly.
In addition, businesses also need to be aware of competitive risks. By sharing know-how and expertise in the business, some franchisees, in fact, after the end of the franchise agreement have created their own brand based on what they have learned from the franchisor.
In summary, an F&B business needs to have appropriate strategies and preparation and study carefully the law, especially the law on intellectual property, as well as the political, economic, cultural and social situation. The national association is aiming to minimize barriers and risks in the process of expanding its business chain abroad.