Scamming practices, such as misleading invoices and spoofed phone calls, are unfortunately a part of commercial reality for intellectual property owners. We take guarding our clients against these practices very seriously.
Here we offer a brief guide explaining the dangers faced and some of the tactics employed by dubious actors, together with our advice on what steps can be taken to guard yourself against potential risks.
What is IP-related solicitation?
Misleading payment requests can target intellectual property (IP) owners often from the moment of making an application for an IP right. There are, unfortunately, an increasing number of organisations who portray themselves as some kind of official body (using official sounding names) who send invoices directly to IP clients, offering valueless services. Some people unwittingly pay these invoices, so sustaining the bogus demands.
For example, fake organisations can offer services such as “renewal monitoring service” or offering other services to “protect” your IP right, such as entering your trade mark in one or more “Registers” that are unofficial and so are valueless. Scammers can cleverly make use of correct information (such as the fact that some IP rights have a renewal deadline), to appear legitimate and so to extort money for invoices that are not due.
More rarely, an organisation can make an offer of a legal service that may be legitimate if provided under the supervision of an attorney who is licensed and qualified in the relevant jurisdiction. However, some offer services that are of questionable value.
There has also been a recent surge in scammers calling trade mark clients and falsely claiming to be from the United States Patent and Trademark Office (USPTO) to extort money and information, which you can read more about here.
Remember that all official correspondence, including invoices relating to official fees, should come directly through us on our clients’ cases. Beware of all unsolicited offers and notices and if you have any doubt, contact us for further advice.
How to spot illegitimate solicitation?
There are some common tactics that scammers employ, for example the use of:
- Misleading names
There are a variety of unsolicited organisations who often use very misleading names. Don’t be caught out by organisation names that sound like governmental agencies, or viable-sounding IP company names which may include terms like “United Kingdom”, “U.K.”, “United States,” “U.S.,” “Trademark,” “Patent,” “Registration,” “Office,” or “Agency.”
- Personal data
Some notices may include official data about your application/registration. For example, in the UK the details of a trade mark application are uploaded onto the public register within hours of receipt. Once a patent or design application is published details are also made available online. This information is made available to third parties searching IP registers and can be exploited by scammers.
- Legal terminology
Scammers also often use legal terminology that you may have heard before, such as “renewal deadline”, “filing fees” and “register” to trigger a sense of trust.
- Imminent deadlines
Scammers can often create the impression of an imminent threat that needs to be deal with by paying a fee.
First and foremost, make a habit of reading all communications carefully. If you are in any doubt about what you have received, get in touch with us to ascertain the accuracy of the information provided.
Do not pay an unsolicited request for payment from organisation with which you have suspicions. If you have paid a misleading invoice, it is highly unlikely you will get your money back. The type of organisation that extorts money may operate across borders which makes any form of enforcement extremely difficult. Clients are strongly urged to exercise extreme caution before making any payments and to remain vigilant when dealing with communications related to your IP rights.
With regards to the ‘sharp’ practice regarding misleading invoices, all of the USPTO, UK IPO, the EUIPO and WIPO have webpages with more information about these misleading invoices, some with examples of bogus invoices from known offenders being presented on the USPTO and EUIPO sites:
These webpages, and particularly those from the USPTO and EUIPO should be a useful ‘first stop’ for any clients that have received an invoice which they have concerns about.
Both of the USPTO and EUIPO have recently published additional resource material on the topic too:
We suggest that clients take some time to familiarise themselves with this issue by reviewing all of the above information sources.
It is also worth bearing in mind that as part of our trusted service, we keep you updated of all developments pertaining to your IP in a timely manner. We send reminders in advance of deadlines, to give you plenty of time to make an informed decision. Therefore, the impression of imminent pressure can be an indication of a fraudulent source.
Ultimately, our advice in relation to any kind of suspicion IP-related solicitation is to always stop, think and seek our advice.
