Read the full text.

(more…)

Virtual products, the metaverse, and non-fungible tokens (NFTs) have recently been expanding and receiving considerable attention from investors, the general public; as well as the art world – within the span of a year, NFT-backed virtual works of art have been reaching new height, from Beeple, Everydays: The First 5000 Days (March 2021 – US$ 69.3) to The Merge (December 2021 – US$ 91.8). Today, the most valuable living artist in history is a virtual work of art author (Pak, author of The Merge).

With the rise of this new market, numerous stakeholders have tried to expand the protection of these digital creations through trademark registration before the European Union Intellectual Property Office (EUIPO) or its national counterparts in the European Union. However, they also found that the current 11th Nice Classification lacked clarity and precision on that matter. Indeed, the “virtual goods” may represent an electronic version of an existing tangible goods, but the applicants were likely to face rejection from the trademark offices, as the classification as a “good” still requires a physical embodiment.

In June 2022, the EUIPO finally addressed this issue to provide clarity, by going on the record to consider virtual products (including NFTs, or more likely the underlying virtual works to which such NFTs would be appended) as digital content or images, hence belonging to Class 9 which encompasses instruments for science or research, audio-visual and information technology equipment, as well as security and safety equipment. This new approach is part of its 2023 draft Guidelines which aims at harmonising IP practices across the EUIPO, increasing predictability and ensuring compliance, consistency and coherence.

Consequently, virtual goods and NFTs will be added to the upcoming 12th edition of the Nice Classification. However, the EUIPO rightfully considers NFTs to be certificates, distinct from the virtual element they authenticate. A specific wording has been established in the draft directive, namely “downloadable digital files authenticated by non-fungible token”, the term “non-fungible token” being deemed, in and of itself, not acceptable by EUIPO without a proper link to the underlying asset.

The EUIPO is not going to further modify this Class to address all possible situation, but advises applicants to specify which content the virtual products are referring to, e.g.“downloadable virtual products, namely virtual pieces of furniture.

Concerning virtual services and NFTs, the actual principles are maintained and applicants need to refer to pre-established definitions.

This decision from EUIPO allows for the facilitation of virtual products and NFTs trademarks. Internal and external stakeholders have until 3 October 2022 to escalate observations on draft directives to the EUIPO.

First publication on the K&L Gates IP Blog in collaboration with Louise Bégué

Following the positions expressed by the Austrian, German and French Supervisory Authorities (see our previous Alert), the Italian Supervisory Authority (Garante per la Protezione dei Dati Personali, Garante-) published on 9 June 2022 a specific measure, according to which website analytics solutions used to measure online audience (Analytics Service Solutions) infringe on the EU General Data Protection Regulation no. 2016/679 (GDPRexternal source) when such use implies a transfer of personal data to a third country without an adequate level of personal data protection, such as the United States. Generally speaking, the Garante, aligned its position on the matter with its counterparts.

(more…)

On 29 June 2022,  Decree n° 2022-946 (the “Decree”) supplemented the regulatory framework resulting from the Ordinance n° 2021-1247 of 29 September 2021 on the legal warranty of conformity for goods, digital content and digital services (the “Ordinance”). Stakeholders have under 1 October 2022 to implement the following measures, aiming at protecting consumers of digital goods.

1. General information about the Ordinance

Implementing two 2019 European directives on certain aspects of contracts for the supply of digital content and digital services and contracts for the sale of goods (respectively Directives (EU) 2019/770 and 2019/771 dated 20 May 2019), the Ordinance aimed to foster the safety of consumers when purchasing both physical and digital goods and, to a lesser extent, to reduce the environmental impact of digital goods.

This Ordinance amended the French Consumer Code in depth, notably by expanding the legal warranty of conformity, which now covers digital products and services but is also applicable to both B2C as well as B2B contracts, when the latter are executed between professionals and non-professionals (i.e. legal entities acting outside of their direct professional activities).

(more…)

K&L Gates LLP has strong expertise in innovative systems, combining strength in technology, data protection and IP. Notably undertaking innovative and complex work, the team has advised on encryption and security software for Enigma Software/Cyclonis and secure GPS services for ICaune. Developing a focus on connected transport matters, the firm advises some of the biggest names in this growing area. Claude-Etienne Armingaud is the head of  the practice.

Practice head(s): Claude-Etienne Armingaud

(more…)

K&L Gates ranked “Highly Recommended – Band 1” with Claude-Etienne Armingaud.

Source: Leaders League

(more…)

France is widely known for its author-centric intellectual property right (IPR) framework: except for a limited number of very specific situations, all IPR must be expressly assigned and there is no “work for hire” doctrine.

This situation is changing, further to Decree n°2021-1658 dated 15 December 2021, replicating the regime applicable to inventions and software created by employees or public servants to those made by natural persons accommodated by private or public law entities carrying out research.

This decree amended the French Intellectual Property Code (FIPC), by creating two new articles: L.113-9-1 (with regard to software IPR) and L.611-7-1 (with regard to patent IPR) FIPC.

(more…)

Practice head(s): Claude-Etienne Armingaud

Testimonials

Skilled technical lawyers with excellent industry knowledge.

Claude-Étienne Armingaud possesses excellent technical legal skills with a sensible practical commercial approach which comes through unrivalled knowledge of the sector.

Claude-Étienne Armingaud is the best at what he does, plain and simply.

(more…)

K&L Gates ranked “Recommended” with Claude-Etienne Armingaud.

Source: Leaders League

K&L Gates ranked “Highly Recommended” with Claude-Etienne Armingaud.

Source: Leaders League

(more…)