Increase of Revenue among Small and Medium Entrepreneurs through Collective Ownership of Trademark

• Main Author: Agung Sujatmiko, -
• Format: Book Section PeerReviewed
• Language: English; English; English
• Published: AIAC (Asian International Arbitration Centre) 2018
• Subjects: K Law; K Law (General)
• Online Access: https://repository.unair.ac.id/117779/1/15%20M.pdf; https://repository.unair.ac.id/117779/2/15%20R.pdf; https://repository.unair.ac.id/117779/3/15%20T.pdf; https://repository.unair.ac.id/117779/
• Institution: Universitas Airlangga

Following the system of constutive protection, the Law Number 20 Year of 2016 stipulates that trademark protection can only by obtained by registration, by which it is mandatory for a trademark owner to file application in order to have the trademark registered and thus protected. There are instances where many small and medium entrepreneurs who do not have their own trademark engage in unlicensed use of other party’s registered trademark. This research aims to figure out and to analyse the use of collective mark for small and medium entrepreneurs in the Bags and Luggage Industry (INTAKO) of Tanggulangin, Sidoarjo, East Java. Deductive method is employed since it is appropriate for the legal issue, by examining basic norms that regulate collective marks against the empirical facts as found on site. It can be concluded that, the use of collective trademark may support the revenue of small and medium entrepreneurs, since they are using trademarks that are safe and free from threats of legal actions, which could waste their time, energy and money. Trademark infringement lawsuits shall incur significant costs beyond the means of small and medium entrepreneurs alike. Should they use their own trademark, such cost coud therefore be avoided. Revenue and profit could also increase since they no longer needed to pay royalties to anyone, as they could legitimately be using their own legitimate collective trademark instead.