Character merchandising—IP and competition law issues for UK businesses

Produced in partnership with Pat Treacy of Bristows and Isobel Thomas of Bristows
Practice notes

Character merchandising—IP and competition law issues for UK businesses

Produced in partnership with Pat Treacy of Bristows and Isobel Thomas of Bristows

Practice notes
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This Practice Note sets out the IP and competition law issues which may arise in connection with character merchandising (ie the practice of licensing the name or likeness of a character for use in the marketing of Goods or services, which will usually require the licensing of trade marks and/or copyright) in the UK. It considers issues which may arise pursuant to the Competition Act 1998 (CA 1998) and also considers the continuing relevance of Articles 101 and 102 of the Treaty on the Functioning of the European Union (TFEU). It covers possible block exemptions or individual exemptions that might apply. It also considers the interaction between competition law and the tort of passing off.

In theory, character association makes the goods or services more attractive to the market. For the licensor, as well as the Royalty fee generated, the licensing of such character rights can be invaluable for marketing and sponsorship.

For a practical example of a situation in which IP rights were licensed for character

Pat Treacy
Pat Treacy

Pat Treacy is a partner in the Competition team at Bristows LLP. Pat has specialised in EU law and competition law for almost 30 years and has been involved in landmark cases at EU and national level. In addition to her expertise across the range of competition law, she has particular strengths in advising on the complex legal and policy issues arising where competition law and intellectual property law intersect. Consequently, clients in high technology sectors including life sciences and TMT seek her advice regularly. Pat represents clients before the competition authorities and the courts, whilst also advising on competition law issues in complex agreements (including settlement, R&D and licensing agreements). Pat advises many of the Firm's clients on the competition law responsibilities affecting dominant companies. She and her team assist clients with competition compliance programmes and preparation for "dawn raids". Pat is a member of the Competition Law Association; the British Institute of International and Comparative Law; and the Antitrust section of the American Bar Association. She is on the editorial board of the Journal of Intellectual Property Law and Practice. Pat lectures and writes widely on topical issues. She also teaches the competition law module on the University of Oxford Postgraduate Diploma in Intellectual Property Law and Practice course.

Isobel Thomas
Isobel Thomas

Solicitor, Bristows


Isobel joined Bristows as an Associate in 2020 in the competition team.
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She has worked on EU and UK competition law matters and has assisted on matters in various sectors including pharmaceuticals, IT, interactive entertainment and telecommunications.
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She also gives advice and training on competition law compliance.

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Jurisdiction(s):
United Kingdom
Key definition:
Goods definition
What does Goods mean?

Goods denote personal chattel and other property which may be detached from land.

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