Benefits of trademark registration

By: Atty. Rey Christian M. Guintibano on May 7, 2026

IN today’s competitive and brand-driven marketplace, a business’ trademark is one of its most valuable assets and protecting it is essential.

The Intellectual Property Code of the Philippines (IP Code) recognizes this and provides a legal framework through registration with the Intellectual Property Office of the Philippines (Ipophl). While some protection may exist even without registration, the law makes it clear that registration is the proper way of establishing and enforcing ownership.

The IP Code provides that the owner of a registered mark has the exclusive right to prevent third parties from using identical or similar signs for goods or services that are identical or related, where such use would likely cause confusion. It is important to note that the law presumes confusion in cases where the mark and the goods or services are identical.

Another benefit of registering a mark with the Ipophl is that a certificate of registration serves as prima facie evidence of the validity of the registration, the registrant’s ownership, and the exclusive right to use the mark for the goods or services covered.

Prior to the current framework, jurisprudence used to state that prior use of a mark could prevail over registration. However, this position has since been clarified by the Supreme Court.

In Zuneca Pharmaceutical v. Natrapharm Inc., Natrapharm registered the mark “Zynapse” in 2007, while Zuneca had been using the mark “Zynaps” as early as 2004, both for medicines. The court ruled that the ownership of a trademark is acquired through good-faith registration, not merely prior use. While prior use remains relevant in determining bad faith or in protecting a good faith prior user from infringement, it is no longer a mode of acquiring ownership.

Thus, although Zuneca had used a similar mark earlier, the court declared Natrapharm a lawful registrant, while Zuneca was protected from infringement liability as a good-faith prior user.

The Supreme Court further clarified that, while the Philippines follows a first-to-file system, this rule is not absolute and is subject to the requirement of good faith. In Lim et al. al. v. See, the court explained that the party who first registers a mark generally acquires the rights over it, but such registration must be made in good faith.

A registration obtained with knowledge of another’s prior use, or creation of a similar mark, constitutes bad faith and will not confer ownership rights. In this case, the court found See to have acted in bad faith for filing an application despite knowledge that ownership belonged to another.

In addition, registration also provides practical benefits from a business perspective. Registered marks are recorded and published by the Ipophl, making them accessible for public inspection. This allows businesses, investors and third parties to verify ownership and assess risks when entering into transactions. It also facilitates licensing, franchising and brand management, as the existence of a registered mark provides a clear and recognized basis for commercial dealings.

It should be noted that, even without registration, certain marks, particularly those which are well-known, may still be protected under Philippine law. However, these protections are generally more limited and require more extensive proof compared to the rights granted by registration.

In Fredco v. Harvard, Fredco sought to cancel Harvard University’s registration of the “Harvard” mark in the Philippines, claiming prior use through its predecessor. The Supreme Court held that well-known marks, such as “Harvard,” are protected in the Philippines under the Paris Convention, even without registration or actual use in the country.

It further explained that the IP Code provides that a mark considered by competent authority to be well-known internationally and in the Philippines, whether or not registered, cannot be registered by another. Accordingly, Harvard University’s superior rights to the “Harvard” mark were recognized, and Fredco’s registration was canceled.

Ultimately, while unregistered marks may receive some level of protection, trademark registration remains the most reliable and effective way to secure rights over a brand. It provides a clear legal basis for ownership, strengthens enforcement, reduces uncertainty, and supports commercial transactions.

Trademark registration is not just a legal formality, but a practical step toward protecting and maximizing a brand’s value.

Rey Christian M. Guintibano is an Associate of Mata-Perez, Tamayo & Francisco (MTF Counsel). This article is for general information only and is not a substitute for professional advice where the facts and circumstances warrant. If you have any question or comment regarding this article, you may email the author at info@mtfcounsel.com or visit MTF website at www.mtfcounsel.com

The article was published at the More to Follow Column at The Manila Times on May 7, 2026. Please see this link.

https://www.manilatimes.net/2026/05/07/business/top-business/benefits-of-trademark-registration/2337394

#IntellectualProperty, #IP, #IPLaw, #Trademark, #TrademarkRegistration

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