Wednesday, July 13, 2011

Would it be appropriate for a broadcasting network company, to announce trade names or should it be "follow us on a social network of your choice"

Social network systems have been a fast growing trend not only among teenagers but also among adults alike since its introduction in the Philippines. Because of which, various means and methods for its promotion were made but despite this, limitations regarding lawful methods of promotion and advertisement should not be disregarded.
Trade name as defined under Sec. 121.3 Part III of the Intellectual Property Code (R.A. 8293) refers to the name or designation identifying or distinguishing an enterprise. To announce trade names through any form of broadcast media, which includes television, radio, magazines, cinema, billboards, posters, streamers, hand bills, leaflets, mails and the like as defined under Art. 4 (a) of R.A. 7394 or the Consumer Act of the Philippines, will effectively promote the enterprise. As reiterated in the Preamble of the Broadcast Code of 2007, broadcasting is a powerful medium in shaping our country's cultural, social and economic growth and development.
But, although broadcasting is a powerful medium, the Code of Ethics on Advertising also provides that the principles of fair competition, promotion of common interests, and a spirit of mutual respect and harmony shall guide the relationship among member suppliers and sectors in the conduct of their craft and business.
Advertising on the other hand, is defined under Art. 4(b) of R.A. 7394 as the business of conceptualizing, presenting or making available to the public, through any form of mass media, fact, data or information about the attributes, features, quality or availability of consumer products, services or credit.
However, in order to regulate advertising in relation to the Code of Ethics in Advertising, Sec. 168.3 of R.A. 8293 enumerated the scope where unfair competition may be considered while Sec. 169.1 (a) of the same Act provides for false description or representation wherein any person, who, or in connection with any goods or services, or any container for goods, uses in commerce any word, term, name, symbol or device, or any combination thereof, of any false designation or origin, false or misleading description of facts, which is likely to cause confusion, or to cause mistake, or to deceive as to the affiliation, connection, or association of such person with another person, or as to the origin, sponsorship or approval of his or her goods, services, or commercial activities, by another person.
A careful scrutiny of the provisions herein provided referring to both advertising and unfair competition will help us conclude that broadcasting networks which announce trade names of the social network system cannot be considered as unfair competition since it only involves promotion of the social networking site without any intent of creating any form of disguise for unfair competition and does not tend to mislead or deceive the public in any manner.