Trademarks in Vietnam 2024

Trademarks in Vietnam 2024 - Intellectual Property Office of Vietnam

Trademarks in Vietnam 2024 – Intellectual Property Office of Vietnam

TRADEMARKS 2024

VIETNAM

Nguyen Anh Tuan, Nguyen Ngoc Ly, Ngo Trang Linh

(Bizconsult Law Firm)

LEGAL FRAMEWORK

Domestic law

  1. What is the primary legislation governing trademarks in your jurisdiction?

The primary and fundamental legislation governing trademarks in Vietnam includes the Law on Intellectual Property No. 50/2005/QH11 dated 29 November 2005, as amended by Law No. 07/2022/QH15 dated 16 June 2022, which became effective as of 1 January 2023 (except provisions on the protection of trademarks being signs of sound, which became effective as of 14 January 2022, and provisions on the protection of experimental data for agro-chemical products, which shall become as of 14 January 2024) and Decree 65/2023/ND-CP dated 23 August 2023 guiding the Law on Intellectual Property, which became effective as of 23 August 2023 (IP Law).

International law

  1. Which international trademark agreements has your jurisdiction signed?

Vietnam is a member of the following international agreements:

  • the Madrid Agreement Concerning the International Registration of Marks and the Madrid Protocol Relating to the Madrid Agreement Concerning the International Registration of Marks;
  • the Paris Convention for The Protection of Industrial Property;
  • the Agreement on Trade-Related Aspects of Intellectual Property Rights;
  • the Trademark Law Treaty;
  • the Comprehensive and Progressive Agreement for Trans-Pacific Partnership;
  • the Free Trade Agreement between Vietnam and the European Union; and
  • the Regional Comprehensive Economic Partnership Agreement.

Regulators

  1. Which government bodies regulate trademark law?

The IP Law is adopted by the National Assembly of Vietnam, while the government of Vietnam promulgates the Decrees to guide the implementation of the IP Law and the Ministry of Science and Technology issues the Circulars guiding in detail the implementation of the IP Law and the Decrees.

The Intellectual Property Office of Vietnam issues decisions or regulations guiding the IP Law, Decrees and Circulars in respect of professional and technical expertise and issues on examination and registration of intellectual property objects.

REGISTRATION AND USE

Ownership of marks

  1. Who may apply for registration?

In general, any natural persons or legal entities, regardless of nationality, may directly or through an intellectual property agent to apply for trademark protection in Vietnam. However, specific requirements of the applicant shall be applied for the registration of collective or certification marks. Two or more applicants may jointly file a trademark application in Vietnam and then become the joint owners of such trademark.

Scope of trademark

  1. What may and may not be protected and registered as a trademark?

Any distinctive and visible sign includes letters, words, numerals, figurative representations, holograms, three-dimensional shapes, colors or any combination thereof or sound signatures can be registered and protected as a trademark. Sound marks that are not presented in the form of graphical representations are currently not eligible for protection as trademarks. Collective and certification trademarks can also be registered if they are strictly regulated. Smells are not stipulated in the IP Law as signs that can be registered as trademarks in Vietnam.

The IP Law provides list of conditions where a sign is not registered as a trademark:

  • signs identical or similar to the national symbols of Vietnam and other countries (in particular, national anthem, flag and emblem) or international;
  • signs identical or similar to the emblems, flags, armorial bearings, abbreviated names or full names of Vietnamese state bodies, political organizations, socio-political organizations, socio-political-professional organizations, social organizations or socio-professional organizations or international organizations, unless permitted by such bodies or organizations;
  • signs identical or similar to names extends to pen names, stage names, pseudonyms, aliases or portrait of national or international caudillo, heroes or famous personalities of the domestic or foreign countries;
  • signs identical or confusingly similar to official signs and hallmarks indicating control and warranty adopted by the international organizations unless permitted or such seals are registered as certification marks by such organizations;
  • signs that are merely descriptive and that may serve in trade to designate the kind, quality, quantity, intended purpose, value, geographical origin or other characteristics of the goods or services;
  • signs that are the inherent shape of a product or resulted from necessitate technical qualities of the product; and
  • sign that contains original works of authorship, unless duly permitted.

Unregistered trademarks

  1. Can trademark rights be established without registration?

Under the IP Law, trademark rights shall only be established when they are nationally registered with the Intellectual Property Office of Vietnam (IPVN), or they are internationally registered in accordance with the international trademark registration agreements to which Vietnam is a signatory. Requirements on the establishment of trademark rights through registration does not apply to well-known marks where their rights are established based on use in accordance with article 75 of the Law on Intellectual Property and article 6-bis of the Paris Convention for the Protection of Industrial Property.

Famous foreign trademarks

  1. Is a famous foreign trademark afforded protection even if not used domestically? If so, must the foreign trademark be famous domestically? What proof is required? What protection is provided?

Under the Law on Intellectual Property, a famous trademark is defined as a mark that is widely known by part of relevant people in the territory of Vietnam. This means that a mark that is famous in other countries may not be accepted as famous in Vietnam if no or very few Vietnamese people in Vietnam know about it. The following criteria will be considered for assessment, determination a mark is famous:

  • quantitative number of the relevant consumers who have known the mark through the acts of purchase, use of goods, services bearing the mark or through the advertising activities of the goods, services bearing such mark;
  • the domain of the territorial area in which goods or services bearing the mark are distributed, circulated;
  • the sales of goods or the revenue from provision of services bearing the mark or the quantitative number of goods that were sold, the services which were provided;
  • duration of continuous use of the mark;
  • wide reputation of goods, services bearing the mark;
  • number of countries granted registration to the mark;
  • number of countries recognizing the mark is famous; and
  • assignment price, licensing price, value of fund or capital invested in the mark.

The benefits of registration

  1. What are the benefits of registration?

Except for well-known trademarks, given that trademark rights in Vietnam are established through registration and not use, the major benefit from registration is to provide the owner with the rights to own and exclusive use his or her trademark in Vietnam, particularly:

  • the right to exclusively use the trademark for goods, services registered with that trademark in connection with all activities of the trademark owner;
  • the right to exclusively circulate, offer, advertise or store for sale of goods, provision of services bearing the trademark;
  • the right to exclusively import the goods, services bearing the trademark into Vietnam for sale;
  • the right to exclusively grant the license to the right to use the trademark to others;
  • the right to file opposition to another similar trademark on the ground of likelihood of confusion;
  • the right to prevent and deter others from unauthorized use of his or her trademark; and
  • to create strong legal ground to protect the trademark owner in fighting against infringement acts, unauthorized use, ownership dispute, to facilitate the state authorities (courts, inspectorate agencies on industrial property, Customs office for border enforcement) in settling disputes, infringement action or unauthorized

Filing procedure and documentation

  1. What documentation is needed to file a trademark application? What rules govern the representation of the mark in the application? Is electronic filing available? Are trademark searches available or required before filing? If so, what procedures and fees apply?

A trademark application must include the information and documents as follows:

  • a filing form for trademark registration, which must include:
  • the applicant’s name, address and nationality or domicile;
  • a reproduction of the mark;
  • a description of the mark to be filed; and
  • a description of the goods and services and the corresponding class of the Nice Classification of goods and services;
  • a power of attorney signed by the applicant, if the application is filed through a representative. Neither notarization nor legalization is required (unless the document’s validity is questioned by the IPVN, in which case these formalities may be required);
  • documents certifying the permission to use special signs (national emblems, flags, armorial bearings, abbreviated names or full names of Vietnamese state agencies or organizations or international organizations);
  • proof of registration rights (if required);
  • a certified copy of priority documents, if priority right is claimed; and
  • proof of payment of the official fees; and
  • additional documents if the trademark is a collective mark or a certification mark.

The IP Law governs the representation of the mark in the application as follows:

  • for all trademarks: the reproduction must be legible and clearly presented with the size with size not exceeding 80mm x 80mm and in the exact color (if color is claimed) or black and white;
  • for three-dimensional trademark or shape trademark: the reproduction must be a graphic or photographic reproduction that contains perspective and different views, and a written description of the same is required; and
  • for sound trademark: the reproduction is required in audio file format along with written musical notations.

Filing is possible through an electronic filing system of the IPVN, which provides a set of step-by-step procedures. The applicant is required to have a digital certificate, a digital signature and a registered account approved by the IPVN on its online application receiving system.

Trademark searches are currently unavailable and not required before filing with the IPVN. However, trademark searches can be carried out by IP experts with service fees or on the Registry’s online database, without any fees.

Registration time frame and cost

  1. How long does it typically take, and how much does it typically cost, to obtain a trademark registration? When does registration formally come into effect? What circumstances would increase the estimated time and cost of filing a trademark application and receiving a registration?

Under the IP Law, the duration of examination for registration is 12 months from the legitimate filing date of a trademark application for a straightforward case. In practice, the duration of the examination is longer, from 14 months to 16 months.

The duration of examination of a trademark application may last longer than the practical duration (14 months to 16 months) on one of the following main grounds:

  • The trademark application dossier fails to meet with formality requirements on the application dossier under the IP Law and the applicant is required to fix to satisfy such formality requirements.
  • The trademark does not satisfy conditions and/or requirements set forth in the IP Law as notified by IPVN and the applicant is given the time to clarify, explain or claim IPVN’s notice.
  • The trademark is denied the granting of registration by any organization or person and the applicant acts to defend it against such opposition.
  • Any other ground that the applicant is required by IPVN to clarify related to the application.

The cost of obtaining a trademark registration includes the governmental charges and professional service fees for application filing stage and registration granting stage. The governmental charges will be as follows:

  • For the application filing stage, for filing a trademark application for one International Class of a maximum six goods or services: 1 million Vietnamese dong. If the goods or services of each International Class are more than six, each from the seventh one shall be charged 150,000 dong.
  • If the trademark in the application is decided for registration, the registration granting fee for one International Class of goods/services: 360,000 dong. For each International Class from the second one shall be charged 100,000 dong.

Apart from the governmental charges, the applicant shall pay the professional service fee to the trademark service agent who is authorized by the applicant to file the trademark application. The professional service fee shall be subject to each trademark service agent’s billing policy, normally starting at US$80.

The governmental charges shall be paid by the applicant to the trademark service agent authorized by the applicant to file the application. The trademark service agent shall be obliged to pay the governmental charges to the IPVN.

A trademark registration comes into effect on the granting date thereof for 10 years from the application filing date.

There are some circumstances that may increase the estimated time and cost of the registration process as follows:

  • objections raised by the IPVN;
  • other requests filed in the IPVN (amendment or assignment recordation application filed by the applicant); and
  • opposition filed against the filling trademark.

Classification system

  1. What classification system is followed, and how does this system differ from the International Classification System as to the goods and services that can be claimed? Are multi-class applications available and what are the estimated cost savings?

Vietnam currently adopts the 12th edition of the Nice Classification. Multi-class applications are available and such filing is slightly administratively cost-effective than filing a single-class application. For example, for each class from the second one in an application, applicants only have to pay an official fee of 730,000 dong to file a new application with one class.

Examination procedure

  1. What procedure does the trademark office follow when determining whether to grant a registration? Are applications examined for potential conflicts with other trademarks? Are letters of consent accepted to overcome an objection based on a third-party mark? May applicants respond to rejections by the trademark office?

A trademark application once filed with the IPVN will enter into the stage of a formal examination, which is one month from the filing date. When the application satisfies the formal requirements, the applicant will be notified by the IPVN in writing with the legitimate filing date and the legitimate application number.

Then the application shall be published for public opposition in the IP Official Gazette within two months of the date of notification of formal acceptance, and then entered into the substantive examination stage, which will take nine months from the publication date of the application. The substantive examination is to check and determine whether the trademark would satisfy criteria prescribed by the IP Law and potential conflicts with other trademarks with an earlier priority date for registration.

At the end of the substantial examination duration, if the trademark satisfies all requirements for registration, a notice of registration will be issued by the IPVN, and the applicant shall pay the registration fee. If the trademark is not accepted for registration, the IPVN will issue a notice of refusal to the applicant. The applicant is entitled to appeal against the notice of refusal in accordance with procedures set forth in the IP Law.

The IP Law does not refer to a letter of consent as one of the supporting documents for the substantive examination of the trademark for registration. However, the IPVN in its guidance 15168 issued on 29 December 2020 on some issues in the substantive examination of the trademark applications refers to the use of the letter of consent on a case-by-case basis. The letter of consent will not be accepted in all cases by the IPVN for overcoming the objection based on the third-party marks.

Under the IP Law, the applicants are entitled to act to the IPVN’s refusals to their applications. The deadline for taking the actions is in accordance with the laws of Vietnam in this matter. In some cases, the duration for applicants to respond to the IPVN’s office action made during the formal examination is two months from the IPVN’s notice or three months for notice made during the substantive examination. Only an extension of time can be accepted.

As matters of letter of consent and response or claim against the IPVN’s office actions are rather complicated under the IP Law, the applicants are advised to contact their local trademark counsel for specific advice on specific cases.

Use of a trademark and registration

  1. Does use of a trademark or service mark have to be claimed before registration is granted or issued? Does proof of use have to be submitted? Are foreign registrations granted any rights of priority? If registration is granted without use, is there a time by which use must begin either to maintain the registration or to defeat a third-party challenge on grounds of non-use?

Vietnam applies the ‘first-to-file’ principle for trademark registration. Therefore, neither evidence nor proof of use of the trademark before its registration in Vietnam is required. Unlike other countries, Vietnam does not require trademark owners to submit the affidavit of use/non-use of their registered trademarks annually or at the time of applying for renewal to the IPVN.

Under the IP Law, foreign applicants may claim priority rights from one or more previous trademark applications in another country (being a member country of the Paris Convention, Madrid Agreement, Madrid Protocol) for their new trademark applications in Vietnam with the condition that the new application is filed within six months of the date of the previous trademark application in such foreign country member. For Madrid applications designating Vietnam, a claim for a priority date must be included.

After five years of registration of a trademark, the owner or its licensee of the mark may become vulnerable to a non-use cancellation filed by a party that is required to show evidence of such non-use.

Accordingly, the IP Law regulates that the IPVN shall, at the request of anyone, interested or non-interested, cancel a trademark registration when the trademark has not been used in the territory of Vietnam by the owner, its licensee or other authorized person for five consecutive years without valid reason unless the trademark use is commenced or resumed at least three months before the filing date of the petition for such non-use cancellation. If the trademark owner or its licensee fails to submit sufficient evidence showing its use, the registration may be canceled fully or to the extent of its non-use.

Markings

  1. What words or symbols can be used to indicate trademark use or registration? Is marking mandatory? What are the benefits of using and the risks of not using such words or symbols?

Marking the symbols associated with signifying trademark rights is currently not regulated or mandatory in Vietnam. However, if a trademark has not been duly registered in Vietnam, even if the same has been registered in other countries, the act of using such symbols may be considered fraud under the law, resulting in penalties. Accordingly, one can understand the benefit of such symbols in the protection and assertion of intellectual property rights. The use of the symbols is considered as one of the self-protection of trademark rights by the trademark holder:

  • to indicate the legal status of the mark;
  • to inform the public about the registered trademarks; and
  • to warn any parties intending to use or infringe such trademarks’ rights that the trademark has been exclusively protected.

Appealing a denied application

  1. Is there an appeal process if the application is denied?

For both national applications and international trademark applications, if the IPVN is of the opinion that a trademark cannot be registered, it will issue a notification of refusal and set an extendable deadline for the applicant to respond (administrative procedures).

If the IPVN is dissatisfied with the applicant’s response to the notification of refusal, the Registry will issue a refusal decision that can be appealed within 90 days of its issuance date before the IPVN (the first-time appeal). The first appeal will be then examined from 30 to 45 days and if the IPVN’s decision is upheld, the next appeal (the second-time appeal) may be filed with the Science and Technology Minister, the supervising body of the IPVN of Vietnam for the settle time limit from 45 to 60 days, or an administrative lawsuit before the courts within one year of the date of receipt of that decision may be initiated.

Third-party opposition

  1. Are applications published for opposition? May a third party oppose an application prior to registration, or seek cancellation of a trademark or service mark after registration? What are the primary bases of such challenges, and what are the procedures? May a brand owner oppose a bad-faith application for its mark in a jurisdiction in which it does not have protection? What is the typical range of costs associated with a third-party opposition or cancellation proceeding?

Yes, a trademark is published for opposition by any third party who believes it is or will be damaged by registration of a mark.

There are currently two co-existence mechanisms that are considered to be methods of trademark opposition prior to registration that the IP Law recognizes, including the following:

  • Option 1: Any third party may submit a written opinion and attached documents or citation information to challenge the trademark application only when the subject application is published in the Official Gazette of industrial property without any official fees. Notwithstanding, the IPVN may use such documents as a reference source during the trademark examination process and it is not obligated to handle these opinion letters.
  • Option 2: Any third party can oppose a trademark application within five months of the date of its publication if the decision to grant protection for such trademark has not yet been made. The opposition must be made in writing, enclosed with documents or cited sources of information for proof, and the opposition fee amounting to 550 dong must be paid.

In Vietnam, a third party may also seek cancellation or termination of a trademark in whole or in part with the average official fee for one certificate of trademark registration from 680 dong based on the following grounds:

  • bad faith trademark filings: a petition for cancellation can be made at any time;
  • non-compliance with the requirement for the applicant or the registrability requirements: a petition for cancellation must be filed within five years of the date of grant of protection certificate or from the effective date of international trademark registration in Vietnam; or
  • the registered mark has been abandoned (non-use): the request of termination is possible to file after five years of trademark registration.

Such cancellation petition of a trademark must be submitted in writing to the IPVN with a statement of reasons along with evidence such as documents, records, market research and other materials that demonstrate the grounds for cancellation. In addition to the administrative fees, an opposing party may also have to pay its attorney’s fees, which typically depend on the complexity of the case.

The trademark holder will be notified of the cancellation proceeding and given an opportunity to respond to the petition as well as to defend the validity of their trademark registration. In the proceedings of cancellation and invalidation actions, the IPVN is the initial competent authority to settle and adjudicate the dispute. If dissatisfied by the parties, the case may be reviewed by other competent authorities (i.e, the Minister of Science and Technology or a competent court depending on the request made by either party).

Duration and maintenance of registration

  1. How long does a registration remain in effect and what is required to maintain a registration? Is use of the trademark required for its maintenance? If so, what proof of use is required?

A registration of a trademark is valid for a period of 10 years from the filing date of the trademark, which is renewable with unlimited times, each time 10 years. A renewal application is required to be submitted to the IPVN six months prior to the expiry date. The IP Law provides a grace period of six months after the expiry date with a penalty of late renewal.

The IP Law does not refer to what is required to maintain a trademark registration. However, as a trademark registration may be canceled if it is not used by the trademark owner or licensees or authorized users for five years from the registration date, it is understood that to avoid the risk of being canceled on such ground, the trademark should be used in Vietnam. However, the IP Law of Vietnam does not refer to what ‘level of use’ is considered enough use to defend a registration against a claim of cancellation for non-use of five years. Article 124 of the IP Law stipulates the following actions constitute ‘use’ of trademarks in Vietnam:

  • attach the registered trademark on the goods, packages of goods, business means, service means, business transactional papers and documents;
  • sell, offer for sale, advertise for sale, display for sale, store for sale, transport of goods bearing the registered trademark; and
  • import of goods or services bearing the registered trademark.

Trademark owners may consider taking any of the above-mentioned actions that are a low cost for maintaining their registered trademarks in Vietnam, such as advertisement for sale in mass media, local press, etc.

Surrender

  1. What is the procedure for surrendering a trademark registration?

The trademark holder may, at any time, surrender a registration by filing an application for the trademark’s termination of registration along with the official fee and an affidavit to the IPVN. If the request is filed by the trademark holder’s local trademark agent, a power of attorney in favor of the local trademark agent is required.

Related IP rights

  1. Can trademarks be protected under other IP rights?

Under the IP Law, some types of works are eligible for copyright protection, such as paintings, fine artworks and applied fine artworks that have definitions similar to a trademark definition (combination of drawings, art words or colors). This may result in interpretation that a trademark that has its appearance falling within or similar to a painting, an applied fine artwork may be accepted for copyright protection. This also results in the understanding that not all types of trademarks, for example, a word trademark without stylized letters, designs or logos, may not be protected under copyright or industrial design (in 2-D format, but the chance of success is very low).

Trademarks online and domain names

  1. What regime governs the protection of trademarks online and domain names?

Protection of trademarks online is currently stipulated in Decree 52/2013/ND-CP dated 16 May 2013, amended on 25 September 2021 by Decree 85/2021/ND-CP of the government of Vietnam on e-commerce. Those decrees stipulate rights and obligations of the parties participating in the sale of goods, provision of services in the e-commercial platforms, including the owners or operators of the e-commercial platforms in compliance with the laws and regulations on protection of intellectual property rights.

Domain names are currently governed by Decree 72/2013/ND-CP dated 15 July 2013, amended on 1 March 2018 by Decree 27/2018/ND-CP of the Government of Vietnam on the management, grant and use of internet service and network information. Those Decrees stipulate the conditions, procedures for grant, revocation, withdrawal of domain names (abc.vn, New gTLD), online games, by the Vietnam Internet Network Information Center (VNNIC). One of the conditions for the grant, revocation or withdrawal of domain names is that the domain names must comply with the IP Law.

LICENSING AND ASSIGNMENT

Licenses

  1. May a license be recorded against a mark in the jurisdiction? How? Are there any benefits to doing so or detriments to not doing so? What provisions are typically included in a licensing agreement?

Under the IP Law, which was amended in compliance with the intellectual property provisions set forth in some international agreements on investment and trade to which Vietnam is a signatory, such as EVFTA, CPTPP, etc, registration of a trademark license is an option, not an obligation of the parties to the trademark license agreement. A trademark license agreement becomes effective as of its signing date. However, it should be noted that, if the parties to a trademark license agreement wish to register the trademark license agreement with the Intellectual Property Office of Vietnam (IPVN), the trademark to be licensed must satisfy a condition that it has been registered in Vietnam.

A trademark license agreement must be in writing and contain typical provisions, as follows:

  • the parties (full names and addresses);
  • grounds of license;
  • type of agreement;
  • scope of license;
  • term of license;
  • license fees or royalties; and
  • rights and obligations of the parties to the license.

Apart from the above headings of provisions, the trademark license agreement can be added other provisions subject to mutual agreements between the parties to the agreement, but should not consist of the following provisions that:

  • unreasonably restrict the rights of the licensee, such as terms that prohibit the licensee from improving the IP object (except for trademarks) or compel the licensee to transfer, assign the licensee’s IP improvements free of charge to the licensor;
  • directly or indirectly restrict the licensee from exporting goods produced or services provided under the license contract to territories where the licensor neither holds the respective IPRs nor has the exclusive right to import such goods;
  • request the licensee to purchase all or certain percentage of raw materials, devices, fittings or equipment of the licensor or of other parties indicated by the licensor, which are not for the purpose of ensuring the quality of goods, services that are manufactured, supplied by the licensee; or
  • prohibit the licensee from taking legal action on the validity of the industrial property rights or right to license of the licensor.

The above provisions are prohibited by the IP Law.

Assignment

  1. What can be assigned?

Under the IP Law, all rights of the owner as set forth in the IP Law to the trademark to be assigned shall be assigned, including the ownership rights, the rights to dispose of the trademark, material rights such as rights to exclusively use and exploit the trademark in commerce, rights to prohibit others from using the trademark. However, the IP Law does not specifically refer to, but also does not exclude, goodwill as to one of the components of rights to be assigned. The parties can agree and include goodwill in the list of components to be assigned.

If it is registered for different international classes of goods and/or services, a trademark can be assigned all or some of the goods and/or services, but the assignment must ensure that it will not cause any confusion to the public on the characters, origin or the goods or services bearing that trademark.

Any trademark, with or without the goodwill of business that is not clearly mentioned in the law, can be assigned in respect of all or some of the goods and services for which the trademark is filed or registered. Assignment agreement between the parties must be registered with the IPVN to be enforceable. It is unnecessary to assign other business assets to make it a valid trademark transfer.

The IP Law does not specifically require that other business assets must be assigned together with the trademark to make it a valid transaction. Therefore, whether an assignment transaction of a trademark may or may not include assignment of the business assets is subject to the mutual agreement between the parties to the transaction. A valid transaction means a transaction that satisfies all conditions and requirements set forth by the laws of Vietnam for it to be valid.

Assignment documentation

  1. What documents are required for assignment and what form must they take? What procedures apply?

For the recording of a change of holder or applicant of a trademark, a request form that is either be signed by a party involved or the authorized IP agent, must be filed to the Registry. The following must be provided on a case-by-case basis:

  • the written agreement of assignment signed by the transferor and transferee (original or notarized copy);
  • the original certificate of trademark registration or its duly duplication;
  • a power of attorney signed by a party involved, if the application is filed through a representative; and
  • proof of payment of the official fees.

Upon receiving the above documents, the Registry will examine the request for trademark transfer and issue an office action in case of any objection or further requirements. The assignment will normally be recorded after a period of two months from the filing date for a straightforward case.

Validity of assignment

  1. Must the assignment be recorded for purposes of its validity?

The IP Law mandates the recordation of assignment of a registered trademark or a pending application in the Registry. Assignment agreements are only enforceable only if duly recorded with the IPVN.

Security interests

  1. Are security interests recognized and what form must they take? Must the security interest be recorded for purposes of its validity or enforceability?

Security interests in trademarks are not specifically recognized in Vietnam.

ENFORCEMENT

Trademark enforcement proceedings

  1. What types of legal or administrative proceedings are available to enforce the rights of a trademark owner against an alleged infringer or dilutive use of a mark, apart from previously discussed opposition and cancellation actions? Are there specialized courts or other tribunals? Is there any provision in the criminal law regarding trademark infringement or an equivalent offence?

There are four different routes to deal with the infringement of trademark rights in Vietnam, which shall depend on the nature and degree of the infringement and the infringer’s guilt, namely: civil, criminal, administrative and Customs border enforcement.

Civil remedies

In civil proceedings, the holder of a trademark may seek for any of the remedies as follows: injunction compelling termination of the infringing acts;

  • compelling public apology and rectification;
  • compelling the performance of civil obligations;
  • compelling compensation for damages; and
  • compelling destruction, distribution or use for a non-commercial purpose in respect of infringing goods, raw materials, materials and means used largely for production of trading of the infringing goods provided that such distribution and use does not affect the exploitation of rights by the trademark holders.

Administrative procedures

Administrative measures are a powerful tool, which is primarily taken by the trademark owner in the case of trademark infringement by a third party. The following acts of trademark infringements shall be subject to administrative remedies:

  • committing an act of trademark infringement that causes loss to consumers or the society;
  • not terminating an act of trademark infringement, even if a warning letter has been sent by the trademark holder;
  • producing, importing, transporting and trading in counterfeit goods; and
  • producing, importing and trading in articles bearing a trademark that is identical with or confusingly similar to a registered trademark.

Criminal remedies

Under the IP Law and the criminal code, infringers who commit an act of infringement upon trademarks, geographical indications, copyright and related rights involving a criminal element can be criminally prosecuted.

Provisional urgent measures

The IP Law and the civil code allow the trademark holder, upon or after the initiation of civil proceeding, may request that the court apply other urgent measures that may include seizure, distraint, sealing, ban from alteration of the original state, ban from movement, ban from ownership transfer and such other provisional urgent measures as may be applied according to the provisions of the Civil Procedure Code.

In the event of imports of counterfeit or infringing goods into Vietnam, the trademark holder may consider taking border control actions as regulated by the law.

However, there is currently no special court for dealing with trademark infringement in Vietnam.

Procedural format and timing

  1. What is the format of the infringement proceeding?

When an infringement act is found, investigation needs to be conducted to gather all proofs and evidence of infringement on the goods or services (samples of infringing goods or services, place of infringement activities, distribution network, shops selling the infringing goods or services, wholesale or retail business, price of infringing products or services) and information on the infringer (name and address of company, household business, directors and managers involved in conducting the infringing activities, and their relationship contacts).

Once all proof and evidence of infringement acts are obtained, the trademark owner needs to obtain an assessment of the infringement by a third party that is permitted to provide such assessment and conclusion, currently in Vietnam it is the Vietnam Intellectual Property Research Institution (VIPRI) (http://vipri.gov.vn). Assessment and conclusion of infringement issued by VIPRI is an important document that would be very useful for the trademark owner to thereafter work with local authorities for settlement of the infringement actions under the administrative procedure, civil procedures or criminal procedures.

Once a conclusion of infringement is obtained, the trademark owner can decide the course of priority actions available under the laws of Vietnam to take, subject to what the trademark owner wants from handling the infringement. For example, if the trademark owner just wants the infringer to stop the infringement action without claiming compensation or penalty against the infringer, a demanding letter to the infringer with a written commitment of unrepeated infringement action by the infringer may be suitable.

This action may be relevant to small-scale infringement by an individual, household business or private entrepreneur. However, for the settlement of an infringement of large-scale and complicated, large sales of infringing goods in the market, etc, without claiming compensation, an administrative decision of settlement of infringement with strong administrative penalties from the competent authorities of Vietnam under the administrative proceedings may be considered.

But for a complicated infringement and the trademark owner wants to claim compensation for damages caused from such infringement, a claim to the court to settle the infringement under the civil proceedings would be an appropriate way. However, a serious infringement action causing harm to the health of people or society (for example, infringing pharmaceuticals, infringing foods, infringing drinks) may require a stronger penalty on the infringer by prosecuting the infringer under criminal proceedings.

Administrative proceedings

Trademark holders are entitled to request the Industrial Property Inspectorate Agency (IPIA) under the Ministry of Science and Technology to settle infringement actions through administrative procedures.

In Vietnam, the laws vest the competence of state management and settlement of IPR infringement to various state authorities. For instance, the Market Management Authority (MMA) is responsible for managing the circulation of goods within the market, while the Customs Office handles state management of import and export goods.

Additionally, the Police Force is tasked with investigation and arrest, the Prosecuting Authority oversees prosecuting activities, and the Culture and Tourist Inspectorate Agency manages violations and infringements in the cultural and tourist sectors.

In cases of large-scale infringement actions requiring the involvement of multiple authorities, the IPIA acts as a coordinating agency. It organizes joint efforts to investigate, confiscate infringing goods, and either remove infringing elements from these goods or destroy them if removal is not possible.

Inspection shall be conducted by the joint force at the premises of the infringer where the infringement actions are undertaken. Minutes of inspection shall be made, and infringing goods may be sealed off and blocked or in worse case confiscated. Decision of Imposition of Sanctions to Administrative Violations shall be issued and implemented. Under the Law on Imposition of Sanctions to Administrative Violations, the following administrative sanctions would be imposed on the infringers:

  • stopping infringing actions;
  • a warning;
  • fine;
  • block or confiscate the infringing goods, and force to remove infringing elements from the infringing goods or destroy the infringing goods in case the infringing elements cannot be removed;
  • suspension of business license for a limited duration; and
  • applying a combination of two of the above sanctions.

Under the administrative proceedings, the trademark owner is the claimant and compensation for damages cannot be claimed.

The duration for settlement of an infringement action under the administrative procedure varies from one month for simple cases to four months or even six months for complicated cases.

Civil proceedings

Civil procedure is a complicated procedure at the court as it requires a considerable number of documents, proofs and evidence of infringement actions, two stages of hearings (court at the first instance and court of appeal) from two months to four months or even six months (for complicated cases) of the first instance stage. The duration for the court of appeal is much less than the one required at the first instance stage. The court may seek views, comments from experts in trademark, commercial, financial or technical fields for making judgments.

Under the laws of Vietnam and Civil Procedure Code, the court may issue any or combination of the following against the infringers:

  • stop infringing actions;
  • compensate to the trademark owner;
  • force them to remove infringing elements from the infringing goods or force to destroy the infringing goods if the infringing elements cannot be removed; and
  • suspension of business license for limited duration or withdraw the business license in a serious case.

Under the civil proceedings, the trademark owner is the plaintiff and compensation for damages can be claimed.

Criminal proceedings

Criminal prosecution is only relevant to some types of IPR infringement actions which are stipulated in the Penal Code.

Under the criminal procedure, the infringer shall be prosecuted by the investigation police or procuration authority. Complaints may be lodged with the competent authorities (e.g, the investigation police system from central to local level, by the trademark holder.) Upon receiving the complaint and attached evidence of the IPRs owner, the crime-related competent authorities will conduct their initial investigation with the appropriate cooperation of the trademark owner to verify and determine the infringement if it is suited for criminal prosecution. If there are any criminal signs, the case will be transferred to the procuracy to be further reviewed and submitted to the court if possible.

Under the laws of Vietnam and Civil Procedure Code, the court may issue any or combination of the following against the infringers:

  • stop infringing actions;
  • compensate to the trademark owner;
  • force to remove infringing elements from the infringing goods or force to destroy the infringing goods if the infringing elements cannot be removed; and
  • suspension of a business license for a limited duration or withdraw the business license in a serious case.

The duration for finalizing a criminal case shall depend on a case-by-case basis, depending on when the indictment documents are completed by the investigation police or prosecution authority.

Burden of proof

  1. What is the burden of proof to establish infringement or dilution?

There are no specific regulations on proofs and provableness under the IP Law to establish infringement or dilution. The IP Law only provides general regulations on acts that may constitute infringement of IP rights. Based on such general regulations, the trademark owners shall have to determine what evidence to establish infringement or dilution should be gathered and obtained.

The general experience is that evidence that clearly, directly and persuasively proves likeness or similarity between the infringing trademark and the genuine trademark, which may cause confusion to consumers in distinguishing the genuine trademark and the infringing one or which may mislead the consumers into thinking that they are buying the genuine one, will help and facilitate the state authorities to determine and confirm the infringement acts for taking necessary actions to settle them. However, proof and demonstration are clearly stipulated by the courts for civil proceedings. Basically, the principle of proof and provability is that they must be clear, direct and persuasive.

The IP Law or other laws and regulations of Vietnam do not specifically refer to cases of dilution of the trademark rights, in terms of definition and requirements on the proofs. Proofs and legal demonstration of the dilution are mainly determined and established by the owners of the trademark and their trademark counsel.

Standing

  1. Who may seek a remedy for an alleged trademark violation and under what conditions? Who has standing to bring a criminal complaint?

Under the IP Law, the owner of the registered trademark, authorized user of the registered trademark or any party that is damaged by the act of trademark infringement or any party who discovers acts of trademark infringement that cause damages to the consumers or society shall have the rights to request competent state authorities to settle such infringement.

Serious infringement cases in stipulated business areas such as pharmaceuticals, foods and beverages that cause serious harm to human health may be subject to criminal punishments. The trademark owner, authorized user or any organization or individual who discovers such infringement is entitled to denounce the infringement to the inspection authorities, market management agency or investigation police. Investigation will be conducted and if the infringement acts are subject to criminal laws, the investigation police or the prosecution authority shall proceed with procedure for prosecuting such infringement acts under the criminal laws.

Border enforcement and foreign activities

  1. What border enforcement measures are available to halt the import and export of infringing goods? Can activities that take place outside the country of registration support a charge of infringement or dilution?

Under the IP Law, border enforcement measures are available in the form of Customs control over the import or export of goods bearing intellectual property rights, which the trademark owners or authorized users may take for fighting against the import or export of infringing goods:

  • to temporarily suspend carrying customs procedures to goods that are subjected violating the intellectual property rights; and
  • to check or supervise the customs procedures for import, export of goods having signs of infringement of intellectual property.

The Counterfeits Anti-Smuggling Control and IPRs Protection Force under the customs office system is in charge of Customs control for the above tasks. Customs control measures appear to be effective for stopping and preventing infringing goods, counterfeits from importing, exporting activities through Customs procedures. As to the border trade activities, the border gate Customs offices shall work jointly with the borderland security force and other state agencies to control the import or export of goods in this way.

It should be noted that in the internet age where the physical borderline concept does not exist, goods imported through the internet shall be checked by the customs officers within the post offices.

It should be noted that production or attachment of trademark to goods that take place outside Vietnam may not be considered infringing a trademark that is registered in and protected under the laws of Vietnam, except the following:

  • such activities are on the internet (e-commercial platform); and
  • the domain name of such e-commercial platform is the domain name of Vietnam (.vn) or the e-commercial platform is written and published in Vietnamese or targeted at Vietnamese customers or audiences.

Discovery

  1. What discovery or disclosure devices are permitted for obtaining evidence from an adverse party, from third parties, or from parties outside the country?

Under the laws of Vietnam, except for evidence that is available on the internet and other sources of information, only the police force, such as investigation police, cybersecurity police force, etc, are permitted to conduct an investigation to obtain evidence from an organization or individuals in the country.

Timing

  1. What is the typical time frame for an infringement or dilution, or related action, at the preliminary injunction and trial levels, and on appeal?

The time frame can vary greatly from months to years, depending on the complexity of the case and the deadlines set by the handling authorities.

Administrative proceedings

The time limit for preparing for a first-instance trial of administrative cases, except for cases tried according to summary procedures, cases with foreign elements and cases of lawsuits against voter lists, is as follows:

  • four months from the date of accepting the case in cases where it is an administrative decision, administrative act or disciplinary decision to force dismissal;
  • two months from the date of accepting the case in that case is the decision to resolve the complaint about the decision to handle the competition case; and
  • for complicated cases, the limit time for the trial preparation may be extended for another one or two months.

Within 20 days from the date of the decision to bring the case to trial, the court must open a trial. In cases where there is a legitimate reason, the time limit for opening a court hearing may be extended but must not exceed 30 days.

In practice, the time period for handling an administrative IP case generally ranges from four to 15 months depending on the scale and complexity of the case or infringing act.

Civil proceedings

Pursuant to the current civil code, it takes the court around 15 working days to accept a lawsuit. The time limit for preparation of the first-instance hearing is four months for IP disputes without commercial purpose (which may be extended for another two months) or two months for a commercial IP case (which may be extended for another one month) from the date of acceptance.

During this preparation period, the judge shall check the handover of, access to and disclosure of evidence and conduct the pretrial meditation between the parties involved. At the end of the trial preparation, the judges shall, on a case-by-case basis, issue the decision to bring the case for trial or to cease or suspend the case. 

he trial must be carried out within one month of the date of the decision to bring the case to trial or if there is a legitimate reason, such time limit is two months. Shortly, a first-instance decision can be duly issued within three to eight months from the acceptance date of the petition.

However, in practice, the proceedings at court often take more time due to the backlogs at the court or the limited capability of the judges or the absence of the involved parties from the court session. In general, from lawsuit submission to issuance of a court decision for a straightforward case, it may take approximately one year only at first-instance trial.

If the parties disagree with the judgment, they can initiate an appeal to the appellate court to request the retrial of the case under appellate procedures within 15 days of the date of judgment pronouncement. For a party who was absent from the court hearing or was absent at the time of pronouncement of the judgment for a plausible reason, the time limit for filing an appeal shall be counted from the date the judgment is handed over to such party or publicly displayed, with the stages similar to the first instance stage, such as stages of acceptance, hearing preparation, hearings and verdict. The total time limit for the appeal stage is a maximum of five months.

Criminal proceedings

The right holder may file a petition for handling IPR infringement under criminal proceedings. Within 20 or 30 days of receiving the case files and investigation conclusion reports, the procuracies must issue one of the following decisions:

  • to cease or suspend the case;
  • to return the file for additional investigation; and
  • to prosecute the accused before the court by an indictment.

If the incident, criminal information or prosecution proposal requires inspection and verification at numerous sites or contains many complex elements, the time restriction for handling the denunciation and notification can be extended for another two months.

In the case of prosecution, the time limit for a criminal investigation shall not exceed two months for misdemeanors (which may be extended for another two months), three months for felonies (which may be extended for two times with a maximum extension of five months) and four months for horrific felonies (which may be extended for two four-month periods) and extremely severe felonies (which may be extended for three four-month periods).

The time limit for trial preparation of a criminal case shall be within 30 days for misdemeanors, 45 days for felonies, two months for horrific felonies, three months for extremely severe felonies, from the date of receipt of the case file and such time limit may be extended. The court, within 15 to 30 days upon issuing a decision to hear the case, must hold a trial.

Thus, the time limit for resolving a criminal case, from the time of receiving the denunciation and prosecuting the case to opening the trial, is as follows:

  • For misdemeanors, the time limit for resolving the case is about four months and 25 days; in special cases, the maximum extension is nine months and 15 days.
  • For felonies, the time limit for resolving the case is about six months and 10 days; in special cases, the maximum extension is 14 months.
  • For horrific felonies, the time limit for resolving the case is about eight months and five days; in special cases, the maximum extension is 19 months and 15 days.
  • For extremely severe felonies, the time limit for resolving the case is about nine months and five days; in special cases, the maximum extension is 22 months.

The time limit for appeal against a first-instance court’s judgments is 15 days upon the pronouncement of such judgments. If the defendant or litigant is absent from the court, the time limit for appeal shall be counted from the date the judgment is handed over to such party or publicly displayed.

Limitation period

  1. What is the limitation period for filing an infringement action?

The limitations period for a civil action is three years from the date the trademark holder becomes aware of the infringement.

For an administrative action, the statute of limitations is two years from the date the infringement ceased or the date the trademark holder becomes aware of the infringement.

For a criminal action, the statute of limitations is from five years for less serious crimes, counting from the date a crime is committed. Such limitation period may be extended if the offender commits a new crime, and the time already past must not be counted, and the statute of limitations for the previous crime must be recalculated from the date the new crime was committed.

However, according to the provisions of the current civil code, requesting protection of property rights, unless otherwise provided by this code or other relevant laws is considered as an exception as the statute of limitations will not apply.

Litigation costs

  1. What is the typical range of costs associated with an infringement or dilution action, including trial preparation, trial and appeal?

Litigation costs associated with an infringement or dilution action shall include costs and fees of the courts, fees of the arbitration organizations, attorney fees, fees charged by related service providers, and actual expenses incurred during the litigation.

The following are the costs and fees of the courts for civil cases, administrative cases and criminal cases under the Ordinance on Fees and Charges of the Courts No. 326/2016/UBTVQH14 effective 1 January 2017.

Court costs

First-instance and appellate criminal court cost levels; first-instance civil court cost levels applicable to civil cases involving no monetary value and appellate civil court cost levels; first-instance and appellate administrative court cost levels

Types of court cost

Level (VND dong)

First – instance criminal court cost

200,000

First – instance civil court cost applicable to cases involving civil, marriage and family or labor disputes and no monetary value

300,000

First – instance civil court cost applicable to cases involving business or commercial disputes and no monetary value

3 million

First – instance administrative court cost

300,000

Appellate criminal court cost

200,000

Appellate civil court cost involving civil, marriage and family or labor disputes

300,000

Appellate civil court cost involving business or commercial disputes

2 million

Appellate administrative court cost

300,000

First-instance court cost levels applicable to cases involving civil disputes and a monetary value

Value of disputed property

Court cost level (VND)

6 million or less

300,000

Between over 6 million and 400 million

5% of the dispute value

Between over 400 million and 800 million

20, million + 4% of the dispute value exceeding 400 million

Between over 800 million and 2 billion

36 million + 3% of the disputed value exceeding 800 million

Between over 2 billion and 4 billion

72 million + 2% of the disputed value exceeding 2 billion

Over 4 billion

112 million+ 0.1% of the disputed value exceeding 4 billion

 

First-instance court cost levels applicable to cases involving business or commercial disputes

Value of dispute

Court cost level (VND)

60 million or less

3 million

Between over 60 million and 400 million

5% of the value of disputed property

Between over 400 million and 800 million

20 million + 4% of the dispute value exceeding 400 million

Between over 800 million and 2 billion

36 million + 3% of the dispute value exceeding 800 million

Between over 2 billion and 4 billion

72 million + 2% of the dispute value exceeding 2 billion

First-instance court cost levels applicable to cases involving labor disputes and a monetary value

Value of dispute

Court cost level (VND)

6 million or less

300,000

Between over 6 million and 400 million

3% of the disputed value but not less than 300,000

Between over 400 million and 2 billion

12 million + 2% of the disputed value exceeding 400 million

Over 2 billion

44 million + 0.1% of the disputed value exceeding 2 billion

Court fees

Court fee levels for handling civil affairs

Court fee

Fee level (VND)

First – instance court fee for handling civil affairs

300,000

Appellate court fee for handling civil affairs

300,000

Court fee levels for handling civil affairs related to Vietnamese commercial arbitration

Court fee

Fee level (VND)

Court fee for requesting courts to designate or change arbitrators

300,000

Court fee for requesting courts to reconsider awards of arbitration councils on arbitration agreements or competence of arbitration councils to settle disputes

500,000

Court fee for requesting courts to apply, change or cancel arbitration-related provisional urgent measures

800,000

Court fee for appealing against arbitration-related court rulings

500,000

The arbitration fees shall be subject to the billing policy of the arbitration organizations. For instance, the fees and costs charged by the Vietnam International Arbitration Center are published on its website.

Attorney’s fees associated with a trademark infringement or dilution action are normally on an hourly rated basis, retainer fee and successful fee.

Fees charged by related service providers mean fees payable to experts (trademark experts, evaluators, experts on assessment of infringement, etc), interpreters as requested by the courts or arbitrators and/or relevant parties, depending on the requirements of each case of litigation.

Appeals

  1. What avenues of appeal are available?

In civil proceedings, the losing party in a case can initiate an appeal before the appellate court within 15 days of the date of judgment of the first instance.

As to the administrative proceedings, when having grounds to believe that an administrative decision or administrative act is unlawful or directly infringes upon his or her rights and lawful interests, a person may make a first-time complaint with the person who has issued such administrative decision or the agency that manages the person who has committed such administrative act or institute an administrative lawsuit at court in accordance with the Law on Administrative Procedures.

If the complainant disagrees with the first-time complaint settlement decision, or the complaint remains unsettled although past the prescribed time limit, he or she may lodge a second-time complaint with the direct superior of the person competent to settle the first-time complaint or institute an administrative lawsuit in court in accordance with the Law on Administrative Procedures. If the complainant disagrees with the second-time complaint settlement decision, or the complaint remains unsettled though past the prescribed time limit, he or she has the right to institute an administrative lawsuit in court in accordance with the Law on Administrative Procedures.

As regards civil and criminal proceedings, in case disagreeing with the decision made by the court in the first instance, any party to such decision is entitled to appeal the decision of the court in the first instance, and the court of appeal shall be opened to settle the appeal. A decision issued by the court of appeal becomes effective for implementation and the parties to the decision are not entitled to appeal against the decision made by the court of appeal.

However, under the Civil Procedure Code, a decision of the court in the first instance or of the court of appeal that has already taken legal effect but where law violations or new details according to provisions set forth in the Civil Procedure Code have been detected shall be reviewed according to the cassation or reopening procedures.

As to the arbitration proceedings, an arbitral award may be canceled by the court on the following grounds:

  • at the request of one of the parties; or
  • an arbitral award shall be canceled in any of the following cases:
  • there is no arbitration agreement, or the arbitration agreement is invalid;
  • the arbitration council’s composition or procedures of arbitral proceedings are not compliant with the parties’ agreement or this law:
  • the dispute falls beyond the arbitration council’s jurisdiction: when an arbitral award contains details falling beyond the arbitration council’s jurisdiction, such details shall be canceled:
  • the evidence provided by the parties on which the arbitration council bases issuing the award is counterfeit: an arbitrator receives money, assets or other material benefits from one disputing party, thus affecting the objectivity and impartiality of the award; and
  • the award contravenes the fundamental principles of the laws of Vietnam.

Defenses

  1. What defenses are available to a charge of infringement or dilution, or any related action?

The IP Law stipulates cases where acts constitute the use of industrial property objects and cases where acts would constitute an infringement of intellectual property rights. This means any act that does not fall within such acts would not be considered to constitute an infringement action to intellectual property rights. Apart from that, legal demonstration, provability or even a practical test on the distinctions between the registered trademark and the questioned trademark can be used and exploited by the defendants as another tool to defend them against the charge of infringement by the claimants. The following are open subjections for consideration to build up the defense to a charge of infringement:

  • the defendant has the right to circulate, utilize the products that were lawfully put on the market, including overseas markets;
  • the defendant has used a trademark identical or similar to protected geographical indications where such trademark has acquired the protection in an honest manner before the date of filing applications for registration of such geographical indications;
  • the defendant has used, in an honest manner, people’s names, descriptive marks of type, quantity, quality, utility, value, geographical origin and other properties of goods or services;
  • invalid mark or registration (i.e, the claimant’s trademark is descriptive, laudatory or misleading, or that it has become generic); or
  • the relevant goods and services are not similar, there is no likelihood of confusion between the marks; and
  • the claimant’s trademark has become non-enforceable through non-use.

The IP Law or other laws of Vietnam do not specifically stipulate the matter of dilution, which is greatly subject to the counsel in establishing defenses to the charge of dilution.

Remedies

  1. What remedies are available to a successful party in an action for infringement or dilution, etc? What criminal remedies exist?

We assume that ‘a successful party’ here means a trademark owner or authorized user of the trademark and the remedies here are, of course, those available under the laws.

The IP Law stipulates the following remedies are available to the successful party in an action for settlement of infringement: remedies under the administrative laws, civil laws and criminal laws.

Under the administrative laws, sanctions available for imposing on trademark infringement actions include warnings, fines, seizure and destruction of infringing goods, counterfeits, suspension of business licenses with definite or indefinite duration, re-exportation of imported infringing goods or goods in transit out of the country.

Remedies available under the civil laws to dealing with trademark infringement actions typically include injunctions, public apologies and rectification; compensation for damages; removal of infringing elements from the products, service packages or destruction of the products if the infringing elements are unremovable from the products. The courts may apply one or some of the following civil remedies to an infringer of a trademark:

  • compelling the termination of infringing acts;
  • compelling a public apology and rectification;
  • compelling the performance of civil obligations;
  • compelling the payment of damages;
  • compelling destruction, distribution or use for non-commercial purposes of goods, raw materials, materials and means used largely for the production or trading of intellectual property right-infringing goods, provided that such destruction, distribution or use does not affect the exploitation of rights by IPRs holders.

Criminal remedies include imprisonment, custodial sentences, monetary penalties and prohibitions on offenders holding certain positions or doing certain works.

In some cases that satisfy the conditions and requirements set forth in the Civil Procedure Code or Panel Procedure Code, the courts may issue injunctive relief for the infringing goods, for example, to prevent the infringer from dispersing the infringing goods, or to prevent suspicious goods that are infringing trademark rights from customs clearance for importing into the market. However, injunctive relief is a temporary measure with limited time for the relevant parties (such as the infringer, trademark owner and other relevant parties) to obtain a decision on possible infringement of the trademark from the court or other competent authorities for final settlement.

ADR

  1. Are ADR techniques available, commonly used and enforceable? What are the benefits and risks?

The laws of Vietnam do not refer to the specific ADRs but encourage the dispute parties to settle the dispute through amicable ways, namely conciliation or mediation, without referring the dispute to the courts or arbitration organizations. These ways are subject to mutual agreement between the parties in the contracts or at the time of settlement of dispute. In practice, under the civil procedures, at both arbitration and court proceedings, if the contracts stipulate the mediation procedure before taking legal proceedings, the parties must undertake the mediation procedure, and if the dispute is not resolved through mediation, the parties can bring the dispute to the courts, with arbitrators for settlement.

Currently, the Vietnam International Arbitration Center and the Civil Procedure Code refer to the mediation phase. The advantage of the ADR is flexible, simple and confidentiality of information, but the risk is that it can be broken down by any party, and enforcement of it would require legal proceedings at court or via an arbitrator.

UPDATE AND TRENDS IN TRADEMARKS IN VIETNAM

Key developments of the past year

  1. Are there any emerging trends, notable court rulings, or hot topics in the law of trademark infringement or dilution in your jurisdiction?

Taking effect on 1 January 2023, the IP Law has been amended and supplemented to leverage the existing provisions and to be ready to face the ‘industry 4.0’ era. The Intellectual Property Office of Vietnam has ensured greater ease in filing and leapfrogging of timelines by updates to its system and the digital platform.

* The information in this chapter was accurate as at September 2023.

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