Jian Xu
Managing Director
Head of IP Prosecution, China; IP Attorney, Patent and Trademark Attorney
Guide
4
The guide below provides some useful information on acceptable descriptions of metaverse-related goods and services in Canada, China, the United States (U.S.), The United Arab Emirates (U.A.E.), the European Union (EU), the UK and Singapore.
Virtual reality, once considered fringe, has entered the mainstream narrative as interest increases and the concept of a metaverse, defined partly by the interconnectivity of various virtual worlds, materializes. Perhaps guided by past interactions with the adoption of the modern internet or an exploration of future interactions, brands are taking note. Whether in an effort to reach new consumers or to engage with consumers in a novel way, several major brands have developed new product lines, hosted virtual showrooms, or created limited-edition offerings, among other creative endeavours, not bound by the confines of the physical world.
While some brands have been proactive, others have had to consider defensive options. For example, a U.S. lawsuit by Hermès against unauthorized "MetaBirkin" NFTs in defence of its iconic Birkin brand is proving instructive with respect to the unexpected ways an infringement can occur in the virtual space. Meanwhile, unauthorised trademark applications for Gucci and Prada house marks were recently filed (and rejected) in the U.S. (serial numbers: 97/112,038 and 97/112,054). These applications in association with "downloadable virtual goods" featured clothing, headwear, eyewear and other goods that may be offered under the house marks in real life. These unauthorised applications were rejected, in part, because of existing registrations and prior pending applications by Gucci and Prada that cover retail store services and real world goods that are either consistent with or encompass the "narrower" retail services featuring virtual goods. For both applications, the fame of the fashion brands was also a factor in deciding against the unauthorised applications. Not all marks can benefit from being so well-known so as to elicit a ready rejection and may require additional maneuvering.
Given the emergence of virtual worlds and the metaverse, brand owners may wish to assess their own trademark portfolios with a view to expanding coverage to encompass this developing space. Virtual worlds permit the movement of digital goods themselves, and trademarks designed for real life goods may not necessarily extend to those digital worlds, depending on their application. In addition to considering potential enforcement mechanisms in the metaverse, brands can consider a proactive approach, with a view to creating protection strategies and potential language for filing trademark applications with respect to virtual worlds and digital elements.
As more creative metaverse-related uses emerge, goods and services will continue to be defined, more guidance will be issued, and the list of acceptable terms should further proliferate. In the meantime, we invite you to contact us for guidance in drafting potential new descriptions including, in some instances, strategizing with respect to populating the listing in the Canadian Manual of Goods and Services with proposed descriptions.
We invite you to consider the goods and services currently recognized by the Canadian Trademarks Office and have listed a few examples in this article. While descriptions of goods and services that are not included in the Canadian Trademarks Office's Manual of Goods and Services may still be acceptable if described in ordinary commercial terms (terms commonly used in the relevant industry to describe the goods and services), filing applications in Canada using goods and services descriptions that are listed in said Manual will allow applications to reach the examination stage faster and will avoid Examiner's reports based on goods and services descriptions.
Brands have begun experimenting with Non-fungible-tokens (NFTs) which have recently dominated headlines. The Canadian Trademarks Office recognizes a number of descriptions of goods (G) and services (S) with respect to NFTs and other cryptoassets encompassing generally classes 9 goods and 42 services.
Acceptable descriptions for NFTs and other cryptoassets in Canada include the NFTs themselves or software for an action related to the NFTs. Examples are goods that generally fall in Class 9 as follows:
In an alternative, acceptable descriptions can include services for cryptoassets including NFTs, such as platforms that provide an action with respect to NFTs. Examples are services that generally fall in Class 42 as follows:
The electronic transfer of these cryptoassets can fall within Class 36:
Examples of metaverse applications may take the form of software, games, digital goods (including "skins"), or avatars or the like for use in the metaverse that generally fall within Class 9.
These metaverse applications may also take the form of hardware, such as head-sets, which enable virtual reality platforms. Pre-approved terms generally fall in Class 9:
Unsurprisingly, the sale of these goods may fall into Class 35:
When the service being described is a marketplace for virtual or digital goods, the description will typically fall into Class 35.
In some instances, Class 41 may also be appropriate for services with respect to the provision of virtual content. For example, the Canadian Trademarks Office has pre-approved the following language, generally in Class 41:
We invite you to consider the goods and services currently recognized by the Canadian Trademarks Office and have listed a few examples in this article. While descriptions of goods and services that are not included in the Canadian Trademarks Office's Manual of Goods and Services may still be acceptable if described in ordinary commercial terms (terms commonly used in the relevant industry to describe the goods and services), filing applications in Canada using goods and services descriptions that are listed in said Manual will allow applications to reach the examination stage faster and will avoid Examiner's reports based on goods and services descriptions.
Brands have begun experimenting with Non-fungible-tokens (NFTs) which have recently dominated headlines. The Canadian Trademarks Office recognizes a number of descriptions of goods (G) and services (S) with respect to NFTs and other cryptoassets encompassing generally classes 9 goods and 42 services.
Acceptable descriptions for NFTs and other cryptoassets in Canada include the NFTs themselves or software for an action related to the NFTs. Examples are goods that generally fall in Class 9 as follows:
In an alternative, acceptable descriptions can include services for cryptoassets including NFTs, such as platforms that provide an action with respect to NFTs. Examples are services that generally fall in Class 42 as follows:
The electronic transfer of these cryptoassets can fall within Class 36:
Examples of metaverse applications may take the form of software, games, digital goods (including "skins"), or avatars or the like for use in the metaverse that generally fall within Class 9.
These metaverse applications may also take the form of hardware, such as head-sets, which enable virtual reality platforms. Pre-approved terms generally fall in Class 9:
Unsurprisingly, the sale of these goods may fall into Class 35:
When the service being described is a marketplace for virtual or digital goods, the description will typically fall into Class 35.
In some instances, Class 41 may also be appropriate for services with respect to the provision of virtual content. For example, the Canadian Trademarks Office has pre-approved the following language, generally in Class 41:
According to local practice, the China National Intellectual Property Administration ("CNIPA") has a local classification and a list of acceptable Goods and Services in which the visual NFTs and related goods/services are not included at current stage. It always takes several years for CNIPA to check and include those new arising terms ("Metaverse," "Blockchain," "NFT," etc.) into the local classification.
It is important for foreign applicants to be aware of two particular features of China's local classification. One is the so-called "sub-class" system. The other is the insistence on use of standard terms under current practice.
From Nov. 1, 1988, China adopted the NICE Classification system for trademark goods/services, and developed its local classification system based thereon. There are altogether 45 classes comprising of 34 for goods and 11 for services.
A peculiar feature of China's classification of goods and services is the concept of subclasses. China further divides each class into subclasses based on similarity of function, raw materials, etc. Some subclasses are further divided into different paragraphs. In general, the subclasses serve as a shortcut for determining similarity of goods/services during trademark examination. Items classified into the same subclass are usually considered similar, while items classified into different subclasses are usually deemed dissimilar despite being in the same class. Consequently, it is important to ensure that the proper subclasses are covered in China when determining goods/services for trademarks.
Another particular feature of China's classification of goods and services is that the CNIPA insists on the use of standard terms as shown in China's local classification under current practice. In other words, there is currently virtually no room for the applicant to devise their own description of goods/services, but they have to select the closest possible terms from within China's local classification. This poses another challenge for emerging industries like the NFTs or other concepts in the Metaverse space, as those new terms will take time to be included in China's local classification.
With the above in mind, we selected some acceptable goods and services descriptions in classes 9, 35, 36, 38, 41 and 42 as below based on the CNIPA's current classification for your reference. The relevant subclass is shown in brackets in front of each goods or services.
Class 9
Class 35
Class 36
Class 38
Class 41
Class 42
The United States Trademarks Office similarly has approved language with respect to NFTs, virtual goods and related services. Examples include:
Virtual Goods and Cryptoassets including NFTs
Of course, other classes should not be overlooked when the good may primarily fulfill one purpose with the incorporation of a digital sensor that could have use in the metaverse, for example, for goods related to scanned objects to be incorporated into the metaverse with metadata and use of Internet of Things (IoT) sensors. For example, the United States Trademarks Office provides for various goods incorporating digital sensors:
Metaverse-related retail store services in Class 35
Some of the virtual services descriptions listed in the Acceptable Identification of Goods and Services Manual (ID Manual) of the United States Trademarks Office are not currently included in the Canadian Manual of Goods and Services. Some examples are:
Building on the 2017 launch of its Strategy for the Fourth Industrial Revolution (4IR), the UAE recently introduced a National Digital Economy Strategy. This announcement is in line with its generally supportive approach to crypto-related activities of the region. With a desire to establish itself as a leader in the metaverse economy in the region and among the top 10 cities globally, Dubai has created the Virtual Assets Regulatory Authority (VARA), which provides a legal framework for digital assets such as NFTs.
The region has also taken concrete steps in the digital economy with the UAE Ministry of Economy announcing the installation of official departments in the metaverse, allowing users to access services entirely virtually. Once launched, metaverse users will be able to visit the virtual office rather than the existing physical offices to provide signatures on legally binding documents. In October 2022, the Government of Dubai's Legal Affairs Department announced that from early 2023, it will move its "Continuing Legal Professional Development" training for Dubai-based legal consultants into the metaverse. The intention is to run interactive CLPD sessions in the metaverse, using AI to identify areas of further development.
These actions are in addition to other digital friendly initiatives including: the introduction of the world's first virtual megacity in 2021 – Metaverse Dubai – based on the city's real topography and geography; hosting of the world's first economic summit in the metaverse – Investopia; launch of the Middle East's first metaverse incubator – MetaIncubator among others. The UAE Trademarks Office has not, to date, issued any formal practice direction or notice in relation to goods and services relating to the metaverse, crypto assets or the like. However, the UAE officials have accepted applications in these areas.
We have seen trademark metaverse-related applications accepted for the following terms segmented by the following Classes:
Class 9:
Class 35:
Class 36:
Class 41:
Class 42:
Guidance provided by the European Office
The EUIPO stated in a guidance document published on its website, that virtual goods should be registered in Class 9 because they are treated as digital content or images. The Office, however, specified that the mere term "virtual goods" on its own lacks clarity and precision and must therefore "be further specified by stating the content to which the virtual goods relate (e.g. downloadable virtual goods, namely, virtual clothing)".
Similarly, the term non fungible tokens on its own is not acceptable. The specific type of digital item authenticated by the NFT must be included. This is because NTFs are treated as unique digital certificates registered in a blockchain, which authenticate digital items but are distinct from those digital items.
Furthermore, "services relating to virtual goods and NFTs will be classified in line with the established principles of classification for services".
The UKIPO has seen an increasing number of applications for trademark specifications containing terms like NFT and metaverse, as well as receiving requests for guidance on the acceptable ways in which these terms can be framed and the correct class in which they fall. It has therefore now issued guidance, published on 3 April 2023, which explains that NFTs will not be accepted as a classification term alone because they are inextricably linked to the asset (normally a digital asset) to which they relate, so referring to an NFT in isolation is inherently vague. Instead, the UKIPO will consider all uses of NFTs on a case-by-case basis, but for now it will accept the following type of terminology in class 9:
In addition, the UKIPO acknowledges that NFTs can be used to authenticate physical goods as well. As such, physical goods clearly defined as being authenticated by NFTs will also be accepted in the appropriate goods class, such as:
The UKIPO also recognises that NFTs can be retailed and/or provided via online marketplaces, in the same way as other goods and services. In line with that practice, the UKIPO will accept the following terminology in class 35:
With regard to services provided via virtual means or the metaverse, the UKIPO has indicated that it will accept terminology such as:
What is lacking in this guidance is a definition of the metaverse, which is a term used widely but also very inconsistently. However, as acknowledged in the guidance, this is a developing area so it may be that in the future clarity will be brought to what constitutes the metaverse versus, for example, an online gaming platform.
The Intellectual Property Office of Singapore ("IPOS") has similarly approved language with respect to NFTs, virtual goods and related services, although no formal practice directions for the same have been issued. Key classes for metaverse-related marks include Classes 9, 35 and 41, amongst others.
We provide several examples below that have been accepted by IPOS or can be found in the IPOS database of accepted specifications segmented by Class.
Class 9
Class 35
Class 36
Class 41
Class 42
This article was also authored by Denise Ee an associate working in the offices of JurisAsia LLC, with whom Gowling WLG has an exclusive association.
Should you have any questions or need more information on digital or virtual goods or metaverse-related trademark protection, please contact one of the authors or a Gowling WLG trademark professional.
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