Consent letters and coexistence agreements: key tools in trademark registration and protection.

In today’s competitive global environment, effectively protecting and registering trademarks has become a top priority for businesses. However, this process is not always straightforward. It is common for industrial property offices to reject applications, particularly when similar or identical trademarks have already been registered. In this context, consent letters and coexistence agreements have become useful mechanisms for overcoming these obstacles and facilitating the harmonious coexistence of various distinctive signs in the market. When analyzing their application in jurisdictions such as Brazil, Peru, Mexico, Chile, China, and the United States, it is evident that their utility lies in the flexibility they provide to the parties to negotiate and demonstrate to the authorities that the coexistence of similar trademarks will not cause confusion or harm competition.

Consent letters are a form of unilateral expression of intent through which the owner of a trademark states that they do not object to the registration or use of an identical or similar trademark. This declaration can be submitted as part of a trademark application to address objections based on the existence of prior registrations covering identical or similar goods or services, thereby increasing the chances of obtaining a favorable resolution. Specifically, the authorization letter is a document that certifies the permission granted by the intellectual property owner to a third party—such as a distributor or retailer—to sell or market products or services incorporating the trademark in question. Both figures are based on the premise that the true rights holder does not feel harmed by the simultaneous use of the sign, as long as the conditions agreed upon by the parties are met.

Coexistence agreements, on the other hand, are contractual instruments that go beyond a mere unilateral declaration, allowing the parties involved to establish specific clauses defining the use of the conflicting trademarks. These agreements typically specify the territorial scope of application, the goods and services each trademark may cover, and the precise way in which the signs should be presented. Additionally, they often include dispute resolution mechanisms that are essential to prevent future litigation and, if necessary, establish the consequences of potential breaches. This ensures that the coexistence of allegedly similar trademarks does not lead to consumer confusion or weaken the rights of the original trademark owner.

A particular case is Mexico, where the law does not explicitly regulate coexistence agreements or consent letters. However, in practice, these tools are widely used to address objections raised by the Mexican Institute of Industrial Property when a prior registration covers identical or similar products or services that could cause confusion. In such cases, the registered trademark owner may issue a consent letter stating that they do not believe the new registration infringes on their rights. Even though there is no specific regulation, authorities tend to view this type of written evidence positively when assessing the validity of a trademark application. Nevertheless, it is advisable that these documents meet certain minimum formal and substantive requirements to avoid ambiguous interpretations.

The consequences of signing a consent letter and a coexistence agreement can be quite different. While the former is typically limited to a unilateral declaration that does not impose obligations on the beneficiary, the latter involves signing a contract that establishes rights and obligations for both parties. These commitments often include an agreement not to oppose the use or registration of the involved trademark, maintaining certain quality standards, or restricting the use of the sign to specific territories or product categories. Therefore, coexistence agreements provide greater legal security but also require more detailed and careful negotiation to be fully effective.

Ultimately, the importance of these legal tools lies in their contribution to market security and competitiveness, as they facilitate the entry of new players and promote business freedom by offering amicable solutions before litigation arises. In an increasingly globalized business world, having flexible and adaptable instruments allows trademark owners and applicants to overcome administrative obstacles, strengthen their intellectual property portfolios, and, most importantly, prevent disputes that could become prolonged and result in financial and reputational costs for the parties involved. With proper legal guidance, consent letters and coexistence agreements become valuable allies for businesses seeking to protect and optimize the use of their trademark assets at both national and international levels.