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1. Protection Against Unfair Competition
How can we help
The team at the DESTRA PatentLaw Firm has many years of successful practical experience in protection against unfair competition.
We offer comprehensive legal assistance in matters of protection against unfair competitors, in particular:
- • analysis of the situation (analysis of documents, initial consultation);
- • monitoring of infringement of intellectual property rights;
- • preparation of legal position, defense strategy;
- • approval of the protection strategy;
- • collection of evidence;
- • drawing up and submitting an application to the Antimonopoly Committee of Ukraine;
- • drawing up and submitting a statement of claim;
- • representation of interests in judicial bodies of all instances;
- • compilation and processing of procedural documents;
- • appealing court decisions; participation in negotiations.
The company's image can be damaged both by its own actions (if they are qualified as unfair competition) and by the actions of competitors. And reputational losses are only half of it, there may be fines and civil lawsuits. We recommend acting proactively (analysis of violations of future campaigns, registration of intellectual property objects, monitoring of competitors' actions) to prevent business damage.
2. What is Unfair Competition
Unfair competition is any action in competition that contradicts trade and other fair customs in economic activity, as well as actions defined in Chapters 2-4 of the Law of Ukraine "On Protection from Unfair Competition" (hereinafter - the "Law").
3. Types of Unfair Competition
1. Improper use of the business reputation of the business entity.
2. Creating obstacles for business entities in the process of competition and achieving unfair advantages in competition
3. Illegal collection, disclosure and use of trade secrets.
1. Improper use of the business reputation of a business entity is:
Improper use of designations (name, commercial (brand) name, trademark, advertising materials, design of packaging of goods and periodicals, other designations without the permission (consent) of the business entity that previously started using them or similar designations in economic activity , which has led or may lead to mixing with the activities of this business entity);
Improper use of another manufacturer's product (introduction of another manufacturer's product into commercial circulation under its own designation by changing or removing the manufacturer's designations without the permission of a person authorized to do so);
• Copying the appearance of the product (reproducing the appearance of the product of another business entity and introducing it into commercial circulation without clearly indicating the manufacturer of the copy, which may lead to confusion with the activities of another business entity);
• Comparative advertising (advertising containing comparisons with other persons, goods (activities) of another person, directly or indirectly identifying a competitor or goods or services offered by a competitor). The legality of comparison in advertising and responsibility for non-compliance with the requirements established by law regarding the content of comparative advertising are determined by the Law of Ukraine "On Advertising".
2. Creating obstacles for business entities in the process of competition and achieving unfair advantages in competition.
This type of violation includes:
- Discrediting the business entity;
- Tendency to boycott the business entity;
- Tendency of the supplier to discriminate against the buyer (customer);
- Bribery of an employee, official of the supplier;
- Bribery of an employee, official of the buyer (customer);
- Achievement of unfair advantages in competition;
- Dissemination of misleading information.
3. Illegal collection, disclosure and use of trade secrets.
This type of violation includes:
- Unlawful gathering of trade secrets (obtaining by illegal means information that, according to the legislation of Ukraine, constitutes a trade secret, if it caused or could cause damage to the business entity);
- Disclosure of a commercial secret (acquainting another person without the permission of a person authorized to do so with information that, according to the legislation of Ukraine, constitutes a commercial secret, by a person to whom this information was entrusted or became known in connection with the performance of relevant duties, if it caused or could cause damage to the economic entity);
- Inclination to the disclosure of a commercial secret (inducing a person who was entrusted in the prescribed manner or became known in connection with the performance of relevant duties with information that constitutes a commercial secret in accordance with the legislation of Ukraine, to disclose this information, if this caused or could cause damage to the economic entity);
- Improper use of trade secrets (introduction into production or taking into account during planning or carrying out economic activities without the permission of the person authorized to do so, information that constitutes a trade secret in accordance with the legislation of Ukraine).
4. Liability for Unfair Competition
Taking actions defined by the Law as unfair competition entails the responsibility provided for by the Law, in particular:
- Imposition of a fine (fine in the amount of up to 5% of the income (revenue) from the sale of products (goods, works, services) of the business entity for the last reporting year preceding the year in which the fine is imposed. If there is no income (revenue) or the defendant at the request of the AMCU did not provide information on the amount of income (revenue), a fine is imposed in the amount of up to 10,000 tax-free minimum incomes of citizens);
- Compensation for damage (determined and collected in court);
- Seizure of goods with illegally used designations and copies of products of another business entity (applies in case of illegal use of designations, copying of the appearance of the product in a court procedure, by applying to the court of AMCU);
- Refutation of false, inaccurate or incomplete information (AMCU has the right to make a decision on official refutation at the expense of the violator of false, inaccurate or incomplete information disseminated by him within the period and in the manner determined by legislation or this decision).
5. Protection Against Unfair Competition
Effective protection against unfair competition will be possible if certain conditions are met, in particular:
- Bringing legal documents into compliance with legal requirements, maintaining the validity of patents and certificates.
- Registration of rights to intellectual property objects (trademarks, copyright, inventions, utility models, industrial designs);
- Monitoring of competitors' activities (applications for registration of industrial property, advertising, websites, products, packaging) - in order to detect and timely stop (and sometimes prevent) illegal actions;
- Termination of the violation (filing a statement of violation of the legislation on protection against unfair competition to the relevant institution (for example, AMCU), judicial authorities is an effective way to protect your rights).
6. Statement to the Anti-Monopoloy Committee of Ukraine
Statement of violation of legislation on protection of economic competition (including violation of legislation on protection against unfair competition) by business entities - competitors, suppliers or buyers of the defendant and other natural and legal persons who can confirm that the actions or inaction of the defendant, defined by the specified laws as violations of the legislation on the protection of economic (unfair) competition, may directly and negatively affect their rights.
- 1. The application is submitted exclusively in writing;
- 2. The application is considered within 30 calendar days;
- 3. If it is necessary to obtain additional information that cannot be provided by the applicant, the application review period may be extended by 60 calendar days;
- 4. If you refuse the application, it remains without consideration, but this does not prevent the AMCU from continuing the study on the issues raised in it.
If the applicant believes that his submission of the application may cause negative consequences for him, the AMCU may conduct an investigation on its own initiative. For this, the applicant must submit a reasoned request for the initiation of consideration of the case on the Committee's own initiative.
If the application is submitted without complying with the requirements of the Rules for handling cases, the state representative:
- Leaves the application without movement,
- The applicant is given a deadline to eliminate deficiencies.
(The time of leaving the application without movement is not included in the term of consideration of the application)
The application remains without consideration if:
- In the event that the applicant does not fulfill the specified requirements within the prescribed period (but this does not deprive the applicant of the right to apply to the AMCU with a repeated application);
- In case the applicant refused the application.
Consideration of the application may be stopped:
- At the own initiative of the relevant body of the AMCU, the head of the territorial branch, upon the application of the person who submitted the application, until the completion of consideration by the body of the AMCU, the court of another case related to this application;
- Until the AMCU body or another state body resolves another issue related to it.
The application may be refused:
- If the application is submitted by the same applicant on the same issue, if the issues raised in the previously submitted application are considered on the merits;
- If no signs of violation of the legislation on the protection of economic competition are found;
- If actions or inaction containing signs of violation do not have a tangible impact on the conditions of competition on the market (on the basis of Part II of Article 36 of the Law of Ukraine "On Protection of Economic Competition");
- If the application was submitted after 6 months from the day when the person learned or should have learned about the violation of his rights. However, if the AMCU, the department recognizes the reasons for missing the application deadline as valid, the violated right is subject to protection.
Pay attention! Actions or inactions of business entities, state authorities or local self-government bodies, which contain signs of violation of the legislation on the protection of economic competition, may be reported to the AMCU or its territorial branches, by persons whose rights are not violated as a result of illegal actions in competition. Such notifications are not statements of violations within the meaning of paragraph 2 of part 1 of Article 36 of the Law on the Protection of Economic Competition. Norms regarding consideration by AMCU authorities of statements of violation of legislation cannot be applied to them. If, as a result of such a notification, the AMCU body initiates procedural actions, the person who provided it will not have the applicant's procedural rights in this case. Such a notice may be issued in an arbitrary written form, setting out actions or inactions known to the applicant.
7. Services for the protection of intellectual property rights
Description | Cost, UAH. | |
70301 | Making a statement to the Antimonopoly Committee of Ukraine - coef. 1 | 6000.00 |
70302 | Preparation and filing of an objection against an application for trademark registration - coef. 1 | 6000.00 |
70303 | OFFICIAL FEE for filing an objection to an application for trademark registration [41300] | 2000.00 |
8. Free consultations on the protection of intellectual property rights
We provide consultations on procedures for the protection of intellectual property rights in Ukraine and abroad, as well as written materials.
The following are provided free of charge:
- The first 15 minutes of an oral consultation regarding procedures for the protection of intellectual property rights;
- Standard written materials regarding procedures for the protection of intellectual property rights.
In most cases, free consultations and basic written materials are enough to make a decision to start working with us.