What is trademark clearance?
A trademark distinguishes one business’s goods or services from those of another. Under section 2(c) of Nepal’s Patent, Design and Trade Mark Act, 2022 (1965), a trademark may consist of a word, symbol, picture or a combination of these.
A trademark search identifies potentially relevant marks. Clearance goes a step further: it evaluates the search results against the proposed brand, its goods or services and the intended market. It should help a business decide whether to proceed, modify the brand or choose another name.
Why registration matters in Nepal
The primary legislation is the Patent, Design and Trade Mark Act, 2022 (1965) (“Patent, Design and Trade Mark Act”), administered by the Department of Industry. Section 16 links acquisition of trademark title under the Act to registration and prohibits unauthorised copying or use of another person’s registered trademark. Sections 17 and 18 of the (“Patent, Design and Trade Mark Act”) govern applications and registration of trademark.
Section 18 of the (“Patent, Design and Trade Mark Act”) allows refusal where a proposed mark has already been registered in another person’s name or may harm another trademark’s reputation, among other grounds. It also permits cancellation in the circumstances specified by the section, following an opportunity for the holder to respond.
For a business, this means that choosing a name, buying a domain or using a logo does not by itself complete the legal protection process. At the same time, filing a trademark application is not the same as obtaining trademark registration.
Why clearance should precede branding expenditure
An early search can reveal problems while there is still time to change direction. Discovering a conflict after launch may require replacement of packaging, signs, promotional material and digital assets. It may also interrupt product distribution and create uncertainty for customers, distributors and investors.
A clearance review can help a business:
- Identify earlier registrations and published applications requiring further investigation;
- Assess similarities in names, pronunciation and logos;
- Select relevant goods or services for an application;
- Avoid building its identity around another business’s reputation; and
- Make an informed decision about filing and commercial launch.
What should a trademark search cover?
Exact names and similar variations
The search must include the proposed name, its important components, spelling variations and abbreviations.
Logos and combined marks
Where a business intends to use a logo, the review should examine the image and the words appearing within it. Similar devices or prominent visual features may warrant investigation even where the business names differ. A spelling search alone cannot adequately assess a graphical mark.
Goods and services
A trademark application must identify the goods or services for which protection is sought.
The Nice Classification contains 45 classes: 34 for goods and 11 for services. The appropriate class depends on the scope of activities.
A different class number does not automatically eliminate a conflict. A clearance review can determine the relationship between the products or services and any relevant brand reputation. Conversely, finding the same word in a record does not automatically establish that the proposed application must fail.
Where can businesses obtain a trademark search report?
Businesses may obtain a trademark search report by submitting an application to the Department of Industry, specifying the proposed trademark and the relevant class of goods or services.
The Department issues a search report for the requested class, which helps assess the trademark’s status and identify potentially conflicting marks. The report supports a clearance assessment but does not guarantee registration.
Company name approval does not clear a trademark
Company-name approval and trademark registration serve different purposes. Approval of a company’s name does not amount to a Department of Industry decision that the same name is available as a trademark.
Similarly, an available domain name or social media username is not a trademark clearance certificate. A business should review its company name, brand name and digital identity together, while completing the relevant registration processes separately.
What a clear search result does and does not establish
A search is an assessment based on the records available and the scope of the review at a particular time. Records may require status verification, and different spellings or images may make relevant marks difficult to locate.
A useful clearance report can identify the sources searched, the date, the goods or services assessed, relevant results, unresolved questions and recommend the next steps.
Frequently Asked Questions
1. Is a trademark search compulsory before filing in Nepal?
The Act does not prescribe a separate clearance search as a mandatory preliminary step for every applicant. Nevertheless, searching before filing is a prudent measure to identify conflicts and avoid unnecessary branding expenditure. The Department’s examination does not replace the applicant’s own assessment of commercial risk.
2. If my company name has been approved, can I use it as my trademark?
Company-name approval does not establish trademark availability. The proposed brand should be searched and assessed separately, and a trademark application should be filed with the Department of Industry for the relevant goods or services.
3. Is searching for an identical name sufficient?
No. A meaningful search should consider similar spellings, pronunciation, transliterations, logos and the relevant goods or services. A brand may present a conflict even where no identical name is found.
4. Can I resolve a conflict by changing one letter or adding Nepal?
Not necessarily. A minor alteration may leave the overall name or pronunciation substantially similar. The effect of the change should be assessed in the context of the complete mark, the products or services and the earlier brand.
5. Can the same trademark exist in different classes?
It may be possible, depending on the circumstances. Section 18A recognises registration in different categories. However, a different class does not automatically make a mark available, particularly where the activities are related or another mark’s reputation is affected.
6. Should I search both the English and Nepali versions?
Yes, where both are relevant to the intended branding or local pronunciation. The search should include likely transliterations and spelling variations so that a script difference does not conceal a potential conflict.
7. Does registration abroad protect my trademark in Nepal?
Foreign registration alone does not establish local trademark title. Section 21B requires registration in Nepal, while section 21C addresses registration of foreign marks and Paris Convention facilities. Well-known marks and treaty obligations may raise additional issues, so foreign owners should seek Nepal-specific protection and advice.
8. Can I rely solely on an online international database?
No. International databases are useful supplementary sources, but their coverage and updates vary. Clearance for Nepal should include relevant Department records and publications, with further status inquiries where necessary.
9. Does a favourable search guarantee registration?
No. The result reflects the available information at the search date. The Department may identify other grounds for refusal, and another party may challenge the application or registration. A search provides a reasoned risk assessment rather than an assurance of approval.
10. Should I register the brand name and logo separately?
Where the name and logo are commercially important, separate applications may be appropriate. A combined mark should not be assumed to provide the same scope of protection as separate registrations. The filing strategy should reflect how the brand will actually be used.
11. What should I do if a similar mark is found?
Check its owner, status, goods or services and degree of similarity before deciding how to proceed. Depending on the findings, the business may choose a different brand, revise the mark or investigate an acquisition, licence or other lawful arrangement.
12. When should a trademark search be updated?
Update the review if there is a material delay before filing, a substantial change to the name or logo, or an expansion into different goods, services or markets. Monitoring should continue after registration to identify potentially conflicting applications.
13. What information should I provide for a clearance review?
Provide the proposed name, Nepali and English versions, logo artwork, intended goods or services, proposed owner and target markets. Alternative names, planned expansion and any existing use or foreign registrations will also help define the review.
How Alpha Law Associates can assist
Alpha Law Associates assists businesses with trademark searches and clearance assessments, classification and filing strategies, registration applications, objections, ownership transfers, licensing and trademark disputes. Reviewing a proposed brand before launch helps businesses identify avoidable risks and plan their protection in Nepal.
This article provides general information as reviewed on 30 September 2026. A particular brand requires assessment against the relevant records, market circumstances and applicable law.