Revised Guidelines for Letter of Consent in South Korea
The Korean Trademark Act (“KTA”) has undergone revisions, bringing South Korea’s much-anticipated Letter of Consent System into effect. This legislative proposal was successfully passed through the South Korean National Assembly on October 6, 2023. The forthcoming amendments, expected to become effective around April 2024—six months following the announcement—bring about significant changes to the letter of consent system.
Under the existing KTA legislation, a letter of consent is currently not recognized as a method to address the requirements set by the relevant Trademark Office concerning a registered trademark. Consequently, parties who mutually agree on coexisting trademarks typically employ a strategy involving the transfer of both the registered and pre-existing trademarks owned by the same entity until the trademark registration process concludes. With the implementation of the new law, a letter of consent can be utilized to navigate refusal decisions in scenarios like those mentioned above, particularly when parties have no intention of registering a similar trademark for similar goods. Notably, the amendments explicitly outline the applicability of a letter of consent to pending applications.
As per data from the Korean Intellectual Property Office (KIPO), approximately 40% of the office’s total trademark activities in 2022 were linked to refusals stemming from conflicts with previously registered trademarks. Given that the current letter of consent is not acknowledged even when the applicant and the trademark owner are affiliated, the integration of the letter of consent system will mirror commercial realities and simplify the registration process when parties opt for the coexistence of their trademarks.
The draft law also introduces protective measures that empower the cancellation of a registered trademark based on a letter of consent, particularly if the trademark is employed for unfair competition, leading to confusion and/or consumer deception. Should a registration be annulled for the aforementioned reasons, the applicant will be barred from registering a similar or identical trademark for the same category of goods, provided the application is submitted within three years from the date of cancellation.
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– You could visit here to see the Procedure of Trademark in South Korea.
– You can also check the Required documents of filing trademark in South Korea.
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