Trademark disputes may arise when a trademark has already been registered in Indonesia, but another party believes that the registration infringes its rights or should not have been granted under Indonesian trademark law.
This issue can be particularly important for foreign companies that discover that a trademark they have used internationally has already been registered by another party in Indonesia.
Indonesian law provides a legal mechanism to seek cancellation of a registered trademark through the Commercial Court. Under Article 76 of Law No. 20 of 2016 on Trademarks and Geographical Indications, an interested party may file a trademark cancellation lawsuit based on the grounds stipulated in Articles 20 and/or 21.
What Is Trademark Cancellation in Indonesia?
Trademark cancellation is a legal mechanism for challenging and cancelling an existing trademark registration when there are statutory grounds for cancellation.
Cancellation should be distinguished from trademark deletion or removal. A cancellation lawsuit is based on the grounds referred to in Articles 20 and/or 21 of the Indonesian Trademark Law and is filed before the Commercial Court against the owner of the registered trademark.
Indonesia’s Directorate General of Intellectual Property (DGIP) has also clarified that cancellation sought by another party is not merely an administrative cancellation by DGIP. It requires a cancellation lawsuit before the court, with DGIP subsequently implementing the court’s final decision by cancelling and removing the trademark from the register.
Legal Grounds for Trademark Cancellation
Article 76(1) of the Trademark Law allows an interested party to seek cancellation of a registered trademark based on the grounds provided under Articles 20 and/or 21.
Relevant issues may include similarity in its essential part or entirety with an earlier registered trademark for similar goods and/or services, similarity with a well-known trademark, similarity with a recognized geographical indication, and an application filed in bad faith.
The appropriate legal ground must be determined on a case-by-case basis by examining the trademark registrations, goods or services involved, factual circumstances, and available evidence.
Bad Faith Trademark Registration in Indonesia
Bad faith is particularly important in Indonesian trademark cancellation disputes.
A dispute may arise, for example, where a distributor, importer, former business partner, or another party becomes aware of a trademark used by a foreign company and subsequently registers that trademark under its own name in Indonesia.
In 2025, DGIP specifically highlighted cases involving importers of foreign products who subsequently registered the foreign brands under their own names in Indonesia, noting that such circumstances may constitute bad faith trademark registration.
However, the existence of a distributorship relationship or similarity between trademarks does not automatically establish bad faith. The parties’ prior relationship, knowledge of the trademark, chronology of use, correspondence, overseas registrations, marketing activities, and other evidence should be considered.
Can a Foreign Trademark Owner File a Cancellation Lawsuit?
Yes, subject to the requirements of Indonesian law.
Article 76(2) provides that an owner of an unregistered trademark may bring a cancellation lawsuit after filing a trademark application with the Minister. The elucidation of Article 76 includes, among others, a good-faith owner whose trademark is not registered and an owner of a well-known but unregistered trademark.
Accordingly, the absence of an existing Indonesian trademark registration does not necessarily prevent a foreign trademark owner from pursuing a cancellation action. The applicable requirements and litigation strategy, however, must be assessed based on the specific circumstances of the case.
Time Limit for Filing a Trademark Cancellation Lawsuit
Under Article 77(1), a trademark cancellation lawsuit generally must be filed within five years from the date of registration.
There is an important exception.
Article 77(2) provides that a cancellation lawsuit may be filed without a time limit where bad faith is involved and/or where the trademark is contrary to state ideology, laws and regulations, morality, religion, decency, or public order.
The registration date and the legal ground for cancellation should therefore be reviewed at an early stage of any potential dispute.
Where Is a Trademark Cancellation Lawsuit Filed?
Trademark cancellation is not pursued merely by filing an administrative request with DGIP.
Article 76(3) expressly provides that a cancellation lawsuit shall be filed before the Commercial Court against the owner of the registered trademark.
This makes trademark cancellation a specialized intellectual property litigation matter before the Indonesian Commercial Court.
Evidence in Trademark Cancellation Cases
Evidence is often a critical part of trademark cancellation litigation.
For foreign trademark owners, relevant evidence may include overseas trademark registrations, evidence showing the first use of the mark, invoices and commercial transactions, marketing materials, catalogues, media publications, websites and social media, sales records, distributorship or business relationships, correspondence between the parties, and evidence demonstrating the reputation and recognition of the trademark.
For well-known trademarks, DGIP has identified matters such as reputation, consumer recognition, sales volume, market share, length of registration, and the history and extent of promotional activities as potentially relevant evidence.
Trademark Cancellation Litigation Process
A trademark cancellation matter will generally involve an initial review of the trademark and parties, analysis of the applicable cancellation grounds, collection and assessment of evidence, preparation and filing of the lawsuit, court hearings and evidentiary proceedings, and ultimately a court decision.
Article 78 of the Trademark Law provides for an appeal by way of cassation to the Supreme Court against a Commercial Court decision in a trademark cancellation case.
Trademark Cancellation Lawyer in Indonesia
ILS Law Firm provides legal representation in Indonesian trademark disputes and litigation, including trademark cancellation proceedings for Indonesian and foreign clients.
Our services may include preliminary case and trademark assessment, analysis of cancellation grounds, evidence review and preparation, drafting and filing the lawsuit, representation before the Indonesian Commercial Court, and further legal remedies where required.
Legal fees for trademark cancellation litigation start from USD 11,500. Final fees may vary depending on the complexity of the dispute, number of parties, volume of evidence, court location, scope of representation, and other requirements of the case.
For consultation regarding trademark cancellation or trademark disputes in Indonesia, please contact:
ILS Law Firm
WhatsApp / Phone: +62 813-9981-4209
Email: info@ilslawfirm.co.id
