For the registration of a mark, an application is to be submitted in the Indonesian language to DGIPR, enclosing the required documents such as a Power of Attorney, a Declaration of Ownership and 25 labels of the mark concerned. If the applicant resides outside Indonesia, the application must be filed through the Indonesian proxy by way of a power of attorney. Applications which do not meet all of the formal requirements will be returned for completion and/or remedial actions, for which a remedial period of 2 months (or 3 months for applications with a priority right) in principle is granted. Applications which are complete and which meet all of the formal requirements will be examined by DGIPR, for their approval or rejection which should not take longer than 9 months to process. Upon the issuance of the registration approval by DGIPR, the application is published in the Official Marks Gazette (Berita Resmi Merek) for 3 months. If the mark application is rejected, the applicant may submit an objection or a response to DGIPR within 30 days as of the date of the rejection letter. A mark is registered for 10 years from the filing date.

Priority Rights

An application with a priority right must be filed within (at the latest) 6 months as of the date of its first filing in a country which is a member of the Paris Convention or a member of the WTO Agreement.

Renewal

A renewal for another 10 years may be applied for within 12 months before the expiry date of the current registration.

Transfer of Rights

Registered marks may be transferred by way of inheritance, testament, grant (hibah), agreement, or other reasons accorded by the prevailing law such as the liquidation of a legal entity previously owning the mark. The transfer of a mark must be recorded in the General Register of Marks (Daftar Umum Merek) and announced in the Official Mark Gazette. Failure to record the transfer in the General Register on Marks shall cause that such transfer has no legal effects to a third party. Registered service mark rights, which are inseparable from the ability, quality, or personal skill of the transferor of the service, may also be transferred.

Licensing

A registered mark owner may grant a license to another party on the basis of an agreement for the use of that mark. The term of a license agreement should not be longer than the protection period of the mark concerned, and a license agreement must not contain provisions which are directly or indirectly detrimental to the Indonesian economy or which restricts the Indonesian ability to posses and to develop a technology in principle. Upon its execution, a license agreement must be recorded in the General Register of Marks and announced in the Official M arks Gazette. DGIPR is obligated to reject the recordation of a license agreement containing the above mentioned prohibited provisions.

In the event of the revocation of a mark registration due to the mark’s similarity in principle or in entirety with another registered mark, the licensee of the revoked mark who is acting in good faith may continue to perform the license agreement until the expiration of the agreement even though the related mark is cancelled, by royalty to the party whose mark is not revoked. The Law, however, does not define the term “good faith”. If the licensee has made a full payment of the royalty to the revoked licensor, such licensor shall be obligated to pay to non-revoked trademark owner, the part of royalty payment for the remaining period of the license agreement. The requirements with respect to a license agreement and the procedure for the registration of a license agreement are yet to be further regulated in a presidential decree.

Deletion

On the initiative of DGIPR or on the basis of the petition of a third party through the Commercial Court, a mark which has not been in use for 3 consecutive years for no apparent reasons or a mark which has been used in respect of goods or services other than the registered goods or services may be deleted from the General Register of Marks.