Intellectual Property

by Andria Papageorgiou

A Quick Guide to IP Rights for Fintech Companies in Cyprus

A. IP Protection for Software
Under Cyprus law, software or computer programs are considered literary works protected by copyright, specifically under article 7B of the Law on Copyright and Related Rights of 1976 (Law No. 59/1976). The underlying ideas and principles of any component of a computer program, including the system interfaces, are not covered by intellectual property rights (article 7B(2)).

Copyright protection extends to preparatory design materials (if they can be turned into a computer program), source code, object code, and software architecture. Simply replicating an existing program or draft will not qualify for copyright protection.

Cyprus law does not require a formal registration for copyright, as it is automatically granted. Nevertheless, it is advisable to include the author’s name and creation date within the software’s source code.

Business methods and software programs are not eligible for patent protection, which is reserved for innovative inventions, new processes, and novel ways of operating products. However, this exclusion only applies to software as a standalone entity; inventions incorporating software may still qualify for a patent. Additionally, software code can be safeguarded as confidential information if kept secret, and confidentiality agreements should be used when third parties have access to the code.

B. IP Developed by Employees and Contractors
In Cyprus, intellectual property rights are generally owned by the creator or inventor. However, if an employee develops work as part of their employment contract, ownership typically transfers to the employer unless otherwise agreed. This is outlined in article 11(1)b of the Law on Copyright and Related Rights of 1976 (Law No. 59/1976).

Similarly, if an invention is created under an order or work contract, the patent rights usually belong to the person or entity that commissioned the work or the employer, unless a different arrangement is specified in the contract, as per article 11(1) of the Patents Law of 1998 (Law No. 16(I)/1998).

C. Joint Ownership
Joint owners of intellectual property are not restricted by law from using, licensing, charging, or transferring their rights. However, joint owners generally need to reach an agreement on how to exercise their rights. There may be exceptions depending on the type of intellectual property involved.

D. Trade Secrets
Trade secrets in Cyprus are protected under Law 164(I)/2020, which safeguards confidential business information from unauthorized access, use, or disclosure. To qualify as a trade secret, the information must be confidential, valuable, and protected by reasonable efforts to maintain secrecy. Unlawful actions include unauthorized access, misappropriation, or breaching confidentiality agreements. Trade secret holders can seek court remedies, including provisional measures or compensation for damages. Non-disclosure agreements and internal policies are recommended for protection.

Courts in Cyprus can ensure trade secret confidentiality during proceedings. Under Article 9(4) of Law 164(I)/2020, courts may restrict access to sensitive information and issue confidentiality orders, balancing this with the need for a fair trial.

E. Branding
Brand protection in Cyprus can be achieved through registering a Cypriot trademark or an EU trademark, which provides broader protection across the EU. Trademark registration is done through the Cypriot Intellectual Property Office or the EU Intellectual Property Office (EUIPO). A strong brand reputation can also offer protection against exploitation by third parties.

Logos and slogans that are original may qualify for copyright protection. Additionally, brand designs can be protected as industrial designs if they are new and unique. Fintech businesses should consult public trademark databases to ensure they do not infringe on existing trademarks or designs. A thorough trademark and design search is recommended to identify any potential conflicts.

F. Remedies for IP Infringement

Fintech businesses and individuals in Cyprus whose intellectual property rights have been infringed have several legal remedies at their disposal. These remedies are designed to protect their rights and mitigate the damage caused by the infringement:

• Injunctions: Courts can issue injunctions to immediately halt the infringing activities. This may include preliminary or interim injunctions, which are essential to prevent further damage while the case is being resolved, and permanent injunctions once a judgment is made.
• Damages: The aggrieved party may be entitled to monetary compensation for any financial loss or harm suffered as a result of the infringement. Damages can be calculated based on lost profits, a reasonable royalty, or the infringer’s unjust enrichment, ensuring the affected party is fairly compensated.
• Cease and Desist Orders: Courts may issue orders requiring the infringing party to cease all unauthorized use of the intellectual property. This includes removing or destroying infringing materials, discontinuing the production or sale of infringing goods, and taking measures to prevent future violations.

In addition to these primary remedies, courts may also grant additional relief, such as the seizure or destruction of infringing goods, publication of the judgment to restore reputation, and reimbursement of legal costs incurred by the intellectual property holder.

In case you have any questions or need any assistance, please do not hesitate to contact us for further professional assistance.

Disclaimer: The information contained in this article is provided for informational purposes only, and should not be construed as legal advice on any matter. Andria Papageorgiou Law Firm is not responsible for any actions (or lack thereof) taken as a result of relying on or in any way using information contained in this article and in no event shall be liable for any damages resulting from reliance on or use of this information.

by Andria Papageorgiou

Trademark Registration

A. Legal Framework

Trademarks and Service Marks in Cyprus are regulated by the Law Cap. 268 (as amended by the Laws 63/1962, 69/1971, 206/1990, and 176(I)/2000) which confers protection in combination with the provisions of the International Convention of Paris for the Protection of Industrial Property and Regulations of the World Intellectual Property Organization (WIPO). Trademarks in Cyprus are also governed by the Madrid Agreement (1891) and the Madrid Protocol (1989) concerning the international registration of trademarks, by the Agreement on Trade-Related Aspects of Intellectual Property Rights, EU directives, and regulations.

Protection in Cyprus is conferred not only to trademarks that belong to Cypriot owners but also to trademarks owned by foreigners. Accordingly, no discrimination is made between trademarks with their base in Cyprus and trademarks which have their base in another country.

Relevant for the registration and protection of trademarks in Cyprus is the Office of the Registrar of Companies and Official Receiver (the Registrar).

B. What is a Trademark:

A trademark is a distinctive element or a combination of elements, which is used to distinguish the products or services of an enterprise from the products or services of other enterprises, such as:

• words;
• persons’ names;
• drawings;
• letters;
• numbers;
• illustrations;
• colors;
• shape of product;
• shape of its packaging; or
• sounds.

The trademark to be registrable must satisfy at least the following criteria:

• It must be distinctive;
• Not similar to any other trademarks, especially of the same class, already registered, or the examination of their application is pending;
• Not to be capable to deceive or confuse the general public.

Registration of a trademark constitutes a form of intellectual property.

C. Procedure before registration:

Before proceeding with the filing of the application for registration of the national trademark with the Intellectual and Industrial Property Section, you are advised to examine whether your proposed mark meets the following prerequisites:

• it constitutes a trademark and does not exclusively concern the general appearance of the product, an invention, or work protected by other types of intellectual property rights. For further information regarding other forms of intellectual property rights, please contact us at info@apapageorgiou.com.
• it is capable of distinguishing the products or services of an enterprise from those of other enterprises;
• it specifies the object of the protection provided to its beneficiary with clarity and accuracy;
• it does not conflict with the absolute reasons of rejection;
• it does not conflict with the relative reasons of rejection;
• it does not infringe third-party rights, by conflicting with an earlier registered trademark or an application for trademark registration. Our Law Firm can assist you with the relevant search.

It is noted that you may, before applying, apply to the Intellectual and Industrial Property Section for a preliminary opinion regarding the possibility of safeguarding your trademark, by submitting the relevant documents, accompanied by the applicable fees. For further information regarding the preliminary process, please contact us at info@apapageorgiou.com.

 D. Application for the registration of a trademark in Cyprus:

Once you are satisfied that your mark meets all the prerequisites for protection and provided you have made an availability check among the registered trademarks and the applications for trademark registration, you can proceed with the submission of an application for its registration in the Republic of Cyprus.

The Registrar has the discretionary power to approve the trademark as such or to approve its registration under conditions or to reject the application.

Any negative decision taken by the Registrar will be announced to the applicant and the latter will have the opportunity to request in writing through his/her lawyer the reasoning behind the decision of the Registrar and to submit an objection to the Registrar if he/she is not satisfied with the decision.

If the Registrar accepts the trademark unconditionally or if the applicant accepts the trademark conditionally, the trademark will be published in the Official Gazette of the Republic of Cyprus for two months. During these two months, anyone with a solid reason may file for trademark opposition. If no opposition is registered, the Cypriot Registrar will issue a registration certificate with a copy of the trademark, and accordingly, the exclusive right of use is conferred to the owner of the trademark.

Trademarks in Cyprus have seven-year validity from the initial registration and may be renewed for 14 years after the first 7 years.

E. International registration of trademarks through Cyprus:

Trademark may be registered under the Madrid Agreement regarding the International Registration of Marks and the Madrid Protocol governing the Program for international trademark registration by the International Bureau of the World Intellectual Property Organization (WIPO). Cyprus became a party to the Madrid Agreement and Madrid Protocol on November 4, 2003, under which trademark owners have now the opportunity to have their trademarks protected simultaneously in more than 80 countries (Madrid Union) or by selecting a few according to their business needs, by simply filing one application in one language directly with their own national trademark office.

An applicant shall file its application for registration indicating the Contracting States where the protection is sought through the authorized office of Cyprus that transfers an application to the WIPO for consideration. The International Bureau of the WIPO will examine the application in terms of compliance with the above-mentioned international treaties and other sufficient criteria. After the registration of the mark in the International Register and publication of it in the official publication, the International Bureau of the WIPO transfers appropriate notifications to all the Contracting States where the protection is sought, and each such State shall, after appropriate examination, approve or decline registration in its territory. According to this procedure, the registered trademarks shall have the same legal status as the trademarks registered under the national procedure. Within this procedure, our Law Firm may be your authorized agent for communications with the competent authorities.

Regarding the submission of an application to the European Union Intellectual Property Office (EUIPO), the registration of the European Union Trademark (EUTM) is very popular among owners of trademarks. The distinctive feature is that the registered trademark is subject to protection in all countries of the EU without any exclusion (the EU trademark registration countries). This fact represents a sufficient advantage for business entities and entrepreneurs who plan to do business within the EU as a whole. The registration shall be carried out by the European Union Intellectual Property Office (EUIPO). For further information regarding the relevant submission(s), please contact us at info@apapageorgiou.com.

The Madrid system’s subsequent management of the trademark is simplified since it makes it possible for any possible changes or renewal of the registration to be effected through a single and flexible process.

F. Benefits:

By registering your trademark, you obtain exclusive rights of its use and exploitation, including the placement of the mark on the products or their packaging, the supply of your products or services under the trademark, the use of your trademark as part of your business, or corporate name, its use on your professional forms and advertising materials.

Additionally, registering your mark provides an increased possibility of opposing its unauthorized use by third parties and of taking measures, including the prohibition of the use of the identical or similar marks in the following cases:

• transactions;
• placement on products or their packaging;
• offer of products or services;
• trade of goods or possession for trade;
• provision of services;
• import or export of products;
• business or corporate name, wholly or partially;
• professional printed material and advertisement;
• comparative advertisement in a way that contradicts Directive 2006/114EC;
• placement on packaging, labels, signs, security characteristics, or authenticity provisions;
• offer, trade, possession for trade, import or export of packaging, label, sign, security characteristics, or authenticity provisions.

Furthermore, the rights over a trademark may be sold, assigned, licensed, or otherwise commercially exploited for a monetary fee. A registered trademark or an application for trademark registration may be given as security or constitute a right in rem.

The benefits provided by a registered trademark are restricted geographically to the territory where it is registered (National/International/European).

G. AP Law Firm:

Andria Papageorgiou Law Firm can assist you with the registration of your Trademark, providing you the following services:

• Legal advice on Cyprus Laws about Intellectual Property;
• Trademark search and registration;
• Management and Administration services;
• International Registration Process of a trademark through EUIPO/WIPO;
• Objection and Removal assistance;
• Intellectual Property Litigation
• International Commercial Arbitration

Should you have any further questions, please do not hesitate to contact us at info@apapageorgiou.com.

Disclaimer: The information contained in this article is provided for informational purposes only, and should not be construed as legal advice on any matter. Andria Papageorgiou Law Firm is not responsible for any actions (or lack thereof) taken as a result of relying on or in any way using information contained in this article and in no event shall be liable for any damages resulting from reliance on or use of this information.

by Andria Papageorgiou

Trade Name Registration

A. What is a Trade Name:

A Trade name or a Business name is the name under which the individual or the company ‘run the business’, and it is different from the name of the company as a legal entity. Businesses use Trade names for advertising, marketing, and sales purposes. It does not contain a design or special characteristics. It is merely a name which is chosen either because it is easier to use or because the preferred name cannot be registered, as there might be a registered Trade Name similar to that.

A company can have different Trade Names each serving a different purpose. Practical advice is that it must be distinctive, and the company can use it, for example, in its letterheads, website etc.

In Cyprus, all Trade Names are governed by the Partnerships and Business Names Law (Cap.116).

B. Differences between Trade Names and Trademarks:

Trade Names and Trademarks are distinctly different from a legal perspective. A Trade Name is an official name under which an individual or company conducts business. A Trademark offers companies legal protection for a particular brand, which may be associated with a Trade Name. Although they might be similar, they must not be confused.

It is vital to be able to distinct a Trade Name with a Trademark, for the apparent reason that if a Trade Name is sufficiently similar to a Trademark from a different company, the proprietor may be served with a lawsuit.

C. Registration of Trade Names:

A Trade Name can be registered, although there is no legal obligation to do so, and the process is rather easy, as it is a common goal not to cause misrepresentation between them and Trademarks. However, the registration process of a Trade Name is a totally separate process from the Trademarks of the same company. It is important to note that a Trade Name is not used as a Trademark, as a Trade Name does not grant Intellectual Property (IP) rights to the proprietor.

Trade Names are often used in Trademarks. A legal problem with the integration of the Trade Name in its Trademark is when it is very similar to or has the same name with another Trademark. In such event, the proprietor may be infringing the other Trademark.

At AP Law Firm, we can assist you with the necessary search in order to ensure that the registration of the Trade Name in its Trademark does not lead to Trademark infringement. But, first of all, we will need to check if the Trade Name has not been already trademarked.

Note that Trademarks prevail over Trade Names, over which companies do not have exclusive rights. If a Company wants to have exclusive rights over its Trade Name, it must register it as a Trademark under the Trademarks Law (Cap.268) or even under the relevant International and EU regulations and Treaties.

D. Procedure:

When it comes to the registration procedure, it is usually recommended that three Trade Names are chosen. An application for name approval should be filed with the Registrar of Companies and Official Receiver of the Republic of Cyprus, under the Partnership and Business Names Law, and it shall be subject to the Registrar’s approval. From our experience, the most common reasons for refusal are the following:

1. a similar name exists, and it will cause confusion;
2. the name can be deceptive;
3. the name is offensive ; and
4. that the name suggests a relationship with the Government.

Upon the necessary Registrar’s approval, and within six months of its reservation, is that the proprietor must file the appropriate form for the registration of the Trade Name.

E. Timeframes:

Trade Names last for as long as they are used, and an application for its renewal is not necessary. If the Company ceases its activities or it stops to use it, the Trade Name elapses. Then, an application form is filed with the Registrar of Companies for its removal of the registry.

F. AP Law Firm:

Andria Papageorgiou Law Firm can assist you with the registration of your Trade Name, providing you the following services:

• Legal advice on Cyprus Laws in relation to Intellectual Property;
• Trade Name search and registration;
• Management and Administration services;
• Objection and Removal assistance;

Should you have any further questions, please do not hesitate to contact us at info@apapageorgiou.com.

Disclaimer: The information contained in this article is provided for informational purposes only, and should not be construed as legal advice on any matter. Andria Papageorgiou Law Firm is not responsible for any actions (or lack thereof) taken as a result of relying on or in any way using information contained in this article and in no event shall be liable for any damages resulting from reliance on or use of this information.