Saudi Arabia updates trade name laws to protect trade marks

A revision to the laws governing the Commercial Register and the registration of Trade Names in Saudi Arabia has taken effect in April 2025. Whilst the revisions apply to and regulate entities seeking to register their business in Saudi Arabia, they are expected to have a positive effect on trade mark owners globally.  

It is important to note the difference between a trade name and a trade mark. A trade name is the name in which a business entity is registered and identified by, whereas a trade mark is any sign which denotes the commercial origin of a particular brand, product or service. 

It is well established that trade mark registrations can be used by a brand owner to prevent the use and registration of other identical or similar trade marks in the region. The new laws include provisions which will also prevent the registration of trade names which are considered identical or similar to trade marks registered in Saudi Arabia without the consent of the trade mark owner. Trade marks which benefit from international recognition may also be prevented from registration as a trade name even if they are not registered as trade marks in the country. 

Also included within the revised laws is the introduction of a centralised registration process for registering trade names in Saudi Arabia, removing the need to register a trade name with each branch throughout the region, and it is expected that an electronic database of all trade names will become available. This may help simplify clearance searches undertaken by brand owners when considering the adoption of new trade marks in the region to ensure that their proposed mark does not infringe on any registered company names. 

With the introduction of these new provisions, businesses may benefit from undergoing a review of their current trade mark protection in Saudi Arabia to ensure that their brands are covered from third party registration of both trade marks and trade names.