Shop sign (enseigne)

A shop sign (enseigne) is the visible sign placed on or near the front of a commercial establishment to identify it to customers. It may consist of a name, an emblem, a logo or a device. It differs from the trade name, which designates the business as a whole, and from the company name, which identifies the company itself. A single business may operate several shop signs for different establishments.

Acquiring and protecting a shop sign

Rights in a shop sign arise from use, without any filing or registration. They come into being with the first public use and subsist for as long as the establishment is operated. Protection rests on the action for unfair competition, based on Article 1240 of the French Civil Code, where a competitor adopts a sign creating a likelihood of confusion among a shared customer base. That protection is in principle local: it extends only to the establishment’s catchment area. A sign operated by a national network enjoys protection throughout the territory.

Shop sign and trade mark

Under Article L. 711-3 of the French Intellectual Property Code, a shop sign is a prior right enforceable against a later trade mark, provided it is known throughout the national territory and there is a likelihood of confusion on the part of the public. In practice this restrictive condition reserves opposition to signs operated by networks. Conversely, using a sign that reproduces or imitates an earlier trade mark for similar services may amount to trade mark infringement. Shop signs are also subject to local display and planning regulations.

Key points

In practice, the sign of an independent shop is fragile: protecting it requires proof of use, custom and a likelihood of confusion. Registering a corresponding trade mark in the relevant service classes provides national protection without those constraints. The firm handles disputes between shop signs, trade marks, trade names and domain names as part of its intellectual property practice.