Executive Summaries Jul 8, 2024

Protecting Trademarks on Online Platforms: Walmart and Temu

Amazon is no longer unique: Walmart has also launched a trademark registry to exert more control over the products offered on its platform

Many retailers are aware that Amazon established its Amazon Brand Registry a few years ago. We covered this news in 2018.

Amazon’s initiative was designed to provide a more effective framework of goods offered for sale on its platform and prevent illegal activities. More recently, Walmart, which also manages an online sales platform, has launched its brand portal to ensure better control over the use of trademarks on its platform.

Along with providing greater control over online presentation of trademarks, the new portal makes it possible to detect and remove advertising involving counterfeit products. At present, however, the portal only accepts trademarks registered in the United States.

This portal’s application process is similar to Amazon’s. The process ends with a verification code being sent to the trademark agent duly authorized to the trademark registration with the United States Patent and Trademark Office. This agent must then send the code to the applicant for inscription to confirm that it is, in fact, the person who holds the rights to the trademark. To prevent any delay in receiving and transmitting the code, the applicant must notify the agent in a timely manner.

Temu: A New Player on the Scene

Temu, the online shopping platform created in 2022, is quickly becoming a leader in its field, with more than half a billion users. This platform, which is owned by the Chinese company PDD Holdings, delivers most of its goods to consumers around the world straight from its warehouses in China. While its products are generally cheaper, Temu is also known as a site where counterfeit goods are likely to be sold.

Temu has also implemented a mechanism designed to protect sellers’ intellectual property rights. Thanks to the intellectual property infringement report portal, sellers can now submit a notice of infringement online. Details regarding the rights on which such notice is based must be provided in support of the claim, including the trademark registration number, where available.

Each of the aforementioned platforms allows users to register the trademark agent as the person authorized to manage their account on the platform, which may make it easier for users to lodge complaints whenever third parties infringe their rights. On a related note, complaints must never be based on false allegations; in a recent article, we discussed the potential consequences of making such false claims.

Our strategic Intellectual Property team is here to advise you on the numerous legal issues that may impact your company and its web presence – especially regarding trademarks.

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