What to Do When Someone Registers Your Brand in Indonesia

Discovering that someone else has registered your brand in Indonesia can create a serious obstacle to market entry. For an international business, the first reaction may be to demand cancellation or immediately begin litigation. That is not always the most effective course.

Indonesia follows a first-to-file trademark system, so having an established brand or a trademark registration overseas does not by itself secure the same rights in Indonesia. The appropriate response depends on the status of the Indonesian trademark, the circumstances of the filing, the available evidence, and the commercial importance of the Indonesian market.

Before deciding what to do, we recommend establishing exactly what has been registered, when it was filed, who owns it, and whether there are grounds to challenge the registration.

First, Determine Whether You Are Facing a Squatting Problem

Not every prior trademark registration is automatically trademark squatting. The first step is to assess the circumstances surrounding the registration.

Key questions include:

• Is the mark identical or confusingly similar to your brand?
• Does it cover the same or related goods and services?
• When was the Indonesian application filed?
• Who filed and registered the mark?
• Did the registrant have a legitimate connection with the brand?
• What evidence exists of your prior use or reputation?

This distinction matters because the available remedy depends on the facts. A registration by an unrelated party may raise concerns, but a proper assessment is needed before characterizing it as a bad-faith filing.

For international brands, evidence showing that the brand was already used or recognized before the disputed Indonesian filing can be particularly important when assessing the strength of a potential challenge.

Your Options Depend on the Status of the Trademark

If the conflicting mark is still an application, an opposition may be available during the publication stage. This can allow an interested party to challenge the application before registration.

If the trademark has already been registered, a cancellation or invalidation strategy may need to be considered. Under Articles 76 and 77 of Law No. 20 of 2016, a registered trademark may be challenged on specified grounds, with a general five-year limit for an invalidation action; where bad faith is involved, the law provides an exception to that time limit.

A separate route may apply where the registered mark has not been used. Article 74 allows an interested third party to seek cancellation where the trademark has not been used in trade for three consecutive years from registration or its last use, subject to statutory exceptions.

These remedies should not be treated as interchangeable. The registration status, evidence, timing, and legal grounds should be assessed before selecting a course of action.

Challenge, Negotiate, or Rebrand?

Once the legal position is understood, the question becomes more practical: what solution makes the most sense for the business?

Challenge the registration when there is a credible legal basis, the supporting evidence is strong, and the brand has significant commercial value in Indonesia.

Consider negotiation where the business needs a faster commercial resolution and acquiring or settling the conflicting rights may be more practical than pursuing a prolonged dispute. However, understand your legal position before negotiating. Otherwise, you may agree to terms without knowing the strength of your available remedies.

Consider rebranding where the legal position is weak, the expected cost and disruption of a dispute are disproportionate to the value of the Indonesian market, or the business has flexibility to adopt another brand.

There is no universally correct option. We recommend weighing legal prospects, evidence, cost, timing, and the strategic importance of Indonesia before committing to one route.

Why Evidence Matters in a Brand Squatting Case

A brand-squatting dispute is rarely decided by simply showing that your business owns the trademark in another country. The evidence needs to support the specific legal position being asserted in Indonesia.

Depending on the circumstances, useful evidence may include:

• Earlier trademark applications or registrations
• Sales and distribution records
• Advertising and marketing materials
• Website and social media history
• Media coverage
• Evidence of brand recognition before the disputed filing

This evidence can help establish the history and reputation of the brand and may be relevant when assessing issues such as bad faith or prior rights.

For that reason, international businesses should preserve evidence of their brand’s use and recognition across markets rather than waiting until a dispute occurs.

Get a Local Assessment Before Taking Action

When a brand has already been registered by another party, the best solution is not necessarily the most aggressive one. The objective should be to identify the strongest legally available and commercially sensible route to securing the brand’s position in Indonesia.

AMR Partnership is an Indonesian intellectual property law firm established in 1986 and has handled more than 135,000 trademarks for local and global clients. The firm provides customized IP solutions and has an in-house IP litigation team specializing in intellectual property disputes.

AMR’s dedicated trademark practice covers trademark search, prosecution, opposition, renewal, licensing, monitoring, and related enforcement matters.

If your brand has been registered by another party in Indonesia, AMR Partnership can assess the registration, examine the available legal grounds, and help develop a strategy based on both your legal position and commercial objectives.

Frequently Asked Questions

What can I do if someone registers my brand in Indonesia?
The appropriate response depends on whether the mark is still pending or already registered, the circumstances of the filing, and the evidence available. Potential options include opposition, invalidation, non-use cancellation, negotiation, or other legal action.

Can a trademark squatter be removed in Indonesia?
Potentially. Indonesian law provides mechanisms to challenge registered trademarks on specified grounds and to seek cancellation for qualifying non-use. Bad faith can also affect the applicable time limit for an invalidation action.

Should I challenge the trademark or negotiate with the owner?
It depends on the strength of your legal position, the available evidence, the cost and timing of a dispute, and the commercial importance of the Indonesian market. A local IP assessment should come before choosing between the available strategies.