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AMERICAS: COSTA RICA

Uri Weinstok M.

Reforms to the Trademarks Law
Author:   Uri Weinstok M., Weinstok Abogados

On March 12, 2008, the Congress in Costa Rica approved some reforms on the local Trademark Law (Ley de Marcas y otros signos Distintivos).  This reform was part of the group of laws that need to be approved in the implementation of the Free Trade Agreement between the United States, Central America and the Dominican Republic (CAFTA).

The reform includes provisions that modify existing regulations both in form and in substance.  The main reforms are:

  • Sound trademarks are expressly recognized.  Up until now, trademarks of this kind were approved only by interpretation of the previous law, which did not have any express reference to them.
  • The formalities requested for powers of attorney were reduced.  Before this reform, powers of attorney must have been granted through a formal deed in presence of a Civil Law Notary Public.  With this reform, powers of attorney may be granted through a less formal and much simpler process.
  • The registration of license agreements is now optional.  Hence, non-registered licenses are valid for all purposes, and may be registered with the intention of giving higher degree of security and guarantees towards third parties.
  • The parties authorized to use a denomination of origin does not necessarily need to operate in certain geographic area, as long as they are properly authorized to do so.
  • Finally, higher official fees are established for oppositions, amendments, and requests for cancellation.

The approval of this bill was not trouble-free.  As with all laws implementing CAFTA, pressure groups against the Free Trade Agreement strongly opposed its approval.  Nevertheless, in its content, the Law does no more than get Costa Rica closer to internationally accepted standards in this subject. 

Other laws in the implementation of the treaty include reforms to the Patents law, enforcement procedures for IP rights, competition in the markets of telecommunications and insurance, reforms to the Law of Distribution of foreign products, and others.