Geographical Indications

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2Dwijen Rangnekar - Geographical Indicationsfirms invest in establishing product standards and quality that through repeated purchases by(satisfied) consumers generates goodwill and reputation. The ‘mark’ on the good allowconsumers to easily identify it. It thus follows that the accumulated goodwill of the firmshould be protected from misappropriation, since ‘free riding’ on this reputation misleadsconsumers and is unfair competition. A similar rationale forms the legal foundation forprotecting GIs; viz. protection against misleading use of IGOs and protection against dilutionof IGOs.Protection against the misleading use of IGOs reflects a consumer protection principle.Protection is offered against the use of the IGOs on products not originating in thegeographical area to which the indication refers, where such use of the indication misleadsthe public. For the use of an indication to be considered misleading it must be the case thatthe public perceive the (original) IGO to refer to a certain geographical area. A variety ofborder measures exist in the Paris Convention for the Protection of Intellectual Property(henceforth, Paris Convention) to implement this doctrine. The Madrid Agreement for theRepression of False or Deceptive Indications of Source of Goods (henceforth, MadridAgreement) broadens the scope of this doctrine to include ‘deceptive’ indications of source.The TRIPS Agreement implements the principle (i.e. false use of IGOs) in Article 22.2(a), andArticle 22.4 provides for the case of ‘deceptive’ use of GIs. A higher level of protection forwines and spirits incorporating this doctrine exists in Article 23.1 where there is no need toestablish the public is mislead – instead, the indication cannot be used if the goods do notoriginate in the indicated geographical area.Protection against the dilution of IGOs reflects a producer protection principle. Certain use ofIGOs, which while not ‘misleading the public’, is considered as ‘free riding’ on the reputationof the products and constitutes acts of unfair competition. In the sense that the protectedIGO is used in translated form, i.e. with additional information conveying the true origin ofthe product, e.g. ‘Californian Chablis’. Under the Paris Convention such practices areprotected against by the principle of unfair competition (Article 10bis). The Lisbon Agreementfor the Protection of Appellations of Origin and their Registration (henceforth, LisbonAgreement) makes stronger provisions by prohibiting the translated use of protected IGOswith terms such as ‘kind’, ‘type’, ‘make’ or ‘imitation’ even where the true origin of theproduct is indicated (Article 3). In the TRIPS Agreement, the above doctrine is provided for intwo different articles. The provisions of the Paris Convention are to be found in Article22.2(b). The provisions of the Lisbon Agreement are found in Article 23.1 – and thus applyonly to wines and spirits. This may be a rare moment in the history of international protectionof intellectual property where the scope of application of a succeeding multilateralagreement (TRIPS) is narrower than its predecessor (Lisbon).
ICTSD-UNCTAD Project on IPRs and Sustainable Development3Defining Geographical IndicationsThe inclusion of GIs within the TRIPS Agreement is a reflection of the EC’s negotiatingsuccess. This also draws attention to previous frustrated attempts at securing an internationaltreaty on IGOs and the insufficiency of closely related IPRs, viz. ‘indications of source’ and‘appellations of origin’.The term ‘indications of source’ is used in the Paris Convention (Articles 1[2] and 10) and theMadrid Agreement. Three key elements constitute the notion: (a) there is a clear linkbetween the indication and geographical origin (e.g. ‘made in …’) rather than any othercriterion of origin (e.g. ‘made by …’); (b) unlike other IGOs, there is no requirement fordistinguishing qualities or attributes of the good; (c) the protected indication can beconstituted by words or phrases that directly indicate geographical origin or phrases, symbolsor iconic emblems associated with the area of geographical origin.The term ‘appellations of origin’ is found in the Paris Convention (article 1[2]) and defined inthe Lisbon Agreement (Article 2). Three elements constitute the notion: (a) appellations mustbe direct geographical names; (b) the appellation must serve as a designation of geographicalorigin of the product; (c) quality and characteristics exhibited by the product must beessentially attributable to the designated area of geographical origin.The definition for GIs is found in Article 22.1 TRIPS which also establishes the conditions forgrant of protection. As noted earlier, three conditions must be met: (a) the indication mustnecessarily identify a good and can be non-geographical names, iconic symbols, words orphrases, (b) the good must necessarily possess ‘given quality’, or ‘reputation’ or ‘othercharacteristics’ that are ‘essentially attributed’ to the designated geographical area of origin;and (c) the designated geographical area must be identified by the indication.Existing literature on GIs tend to agree that services are excluded from the scope of Section3; yet Members may decide to go beyond the minimum TRIPS obligations and include serviceswithin their national GI laws – and some countries have done so (cf. Box 3). As the obligationis only for ‘legal means’ there exists wide diversity in the implementation of this Section. AWTO Secretariat survey focussing on GI-protection in 37 Member countries identified threebroad options: laws focussing on business practices, trademark law and special means ofprotection (cf. IP/C/W/253). In jurisdictions where special means of protection exist, i.e. asui generis law on GIs, the survey draws attention to wide diversity in the subject matterdefinition and in how the conditions for protection are actually set out. Thus, for example, asto the link between the good and its designated area of origin there are differences in thetype of geographical units that constitute IGOs and how stipulations on the good (e.g.sourcing of raw materials from the area of origin, stages of production occurring in the areaof origin) are implemented. Clearly, there are diverse legal means and different systems forimplementing Section 3.
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Geographical Indications

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