The Metaverse idea was primarily unknown until Facebook announced a rebranding. Many questioned the name’s meaning, while others noted that one of the world’s most potent firms looked to be infringing on their registered intellectual property rights. The latest metaverse action isn’t limited to Facebook’s brand switch to Meta. Nike sought trademark registration in Classes 9, 35, and 41 for downloaded virtual products “for use online and in online virtual worlds”. Simultaneously, the corporation started hiring virtual material designers charged with “redefining our digital reality, ushering us into the metaverse”.
Others follow Meta and Nike’s example and apply for metaverse related Intellectual Property (IP) issues. Gaming, luxury brand industries and fashion, in particular, are collaborating with platforms of metaverse to extend their consumer bases into the virtual-world. While it’s easy to construct a virtual-person and brands in Metaverse, is it also OK to make whatever you want, including goods that include trademarks belonging to other people? Imagine a corporation plans to build a virtual-character and utilize trademarked things for the character on a metaverse platform; how would you feel about it? Depending on the circumstances, the corporation may be confronted with various Metaverse related Intellectual Property (IP) issues. For more detail consult Lawyers like HHS lawyers in Dubai.
What is Metaverse?
The term “metaverse” refers to a wide range of virtual experiences, locations, and assets gained traction during the pandemic’s online-everything movement. These innovations provide a glimpse of what the internet may eventually evolve into as a group.
Several video games allow users to create virtual environments, such as Roblox and Fortnite and Animal Crossing: New Horizons. You’re a member of the Metaverse if you hold a non-fungible token (NFT) or crypto. Virtual and augmented reality is, at the very least, metaverse neighbors. The term “metaversality” refers to using a digital avatar to attend a business meeting or a party.
1. Trademark Infringement
First and foremost, there is the possibility of trademark infringement. It is generally accepted that you have infringed another person’s trademark when you use a symbol that is different or similar to the trade-mark on items that are different or same to the specified goods, creating consumer confusion due to such usage. Specifically, infringement of trademark may arise when:
- In Metaverse objects utilized are considered “goods” for the Trademark purposes Law, and,
- The use of a registered trademark in the real world on same or different products in the Metaverse might confuse customers.
When it comes to the Metaverse, the act of utilizing another person’s trademark may fall under any of those two points. For the Trademark-Act, word “goods” is defined as “items with a monetary worth” exchanged in the marketplace. Given this view, Metaverse objects utilized may be regarded as “goods,” provided they are exchanged for money or otherwise have economic worth. A trademark registered for a real-world product in a related product in the Metaverse may cause consumers to believe that the product is being sold directly by the trademark owner. It is especially true given that number of brands like Gucci-Nike, and Puma have now launched their products in the Metaverse by entering into agreements with metaverse-platform providers.
2. Copyright Infringement
In addition to trademark protection, a creative trademark may be qualified for protection of copyright. The Supreme Court ruled that trademarked figures are Copyright protected under the Law. As a result, copyright infringement might occur if a brand is protected by a copyrighted work is utilized on products used for a virtual-character in the Metaverse.
3. Unfair Competition
Trademark and copyright-infringement could happen if you use someone else’s brand in the Metaverse without permission. under Unfair Competition law It’s act of unfair-competition. If you sell things with another person’s brand on them in the Meta-verse, it might make people think that the things are licensed or sell by the person who owns the brand. In this way, it could be called “an act of cause someone else’s goods to be confused with your own,” which is against the law. It could also be a violation of the law if you use the results of a lot of work without authorization in a way that isn’t fair for businesses. It is because:
- A famous brand is usually a result of a lot of hard work.
- brand uses on things may help the virtual-character who is wearing or using the items become more well-known; and
- There have already been formal agreements between several brands and metaverse platforms to sell their things on these platforms.
