Franchising in Greece: trade mark checks

The name that made your first outlet known is not automatically ready to support a franchise network. Before investing in franchisee recruitment, you need to know exactly what is protected, who owns the relevant rights and what you can license. A trade mark review is a specific preparatory task, not simply a loose end for your solicitor to tie up just before signing.

1. Distinguish your commercial presence from trade mark protection

Your registered company name, trading name, domain name and trade mark are not the same thing. Registering a business with Greece’s General Commercial Registry (GEMI) or buying a domain name does not amount to registering a trade mark. Equally, using a name for many years does not, on its own, prove that you can use it in every new territory or business activity without conflicting with third-party rights.

In Greece, the principal legislation governing national trade marks is Law 4679/2020, as amended. European Union trade marks are governed by Regulation (EU) 2017/1001 and provide uniform protection across the EU. Your choice of registration route should reflect your actual expansion plans, rather than an assumption that every business needs the widest possible geographical coverage from the outset.

List the name itself, the logo and any other signs you consider essential separately. Do not assume, without checking, that protection for a composite logo is equivalent to protection for the name in every form.

2. Check availability, scope of protection and the actual rights holder

Commission a specialist search for earlier rights before ordering new signage or presenting the trade mark to prospective franchisees as a secure asset. Searching for an identical name is not enough. Similarities that could cause confusion also matter, assessed in relation to the goods or services concerned.

Create a brief table recording:

• the application or registration number and its current status;
• the registered owner and any changes in ownership;
• the goods and services covered;
• the geographical scope of protection and renewal dates;
• any oppositions, disputes or licences.

Particular care is needed where the founder owns the trade mark personally but a company will act as franchisor. The company must hold the appropriate rights to authorise its franchisees to use it lawfully. A licence granted to the company does not automatically include the right to sublicense it.

Also check whether the protection matches the new business model. For example, coverage for food service activities should not be assumed, without examination, to cover every packaged product you plan to sell. Registration classes organise the scope of protection; they do not provide blanket permission for any commercial use of the name.

3. Translate the rights into clear contractual terms

Greece has no dedicated law providing a comprehensive framework for franchise agreements, no specific register of franchisors and no mandatory statutory format for pre-contractual disclosure. This does not remove duties to provide information and act in good faith. The general provisions of the Greek Civil Code apply, including those governing negotiations and contractual performance, alongside trade mark, unfair competition and competition law where relevant.

The agreement should specify which trade marks are licensed, for what purposes, for how long and subject to which restrictions. Set out precisely what is permitted on signage, packaging, local advertising, social media accounts and domain names. Clarify who approves new ways of using the trade mark and who retains control of digital accounts.

If there is only a pending application, describe it as an application, not a completed registration. If a material challenge is unresolved, discuss with your legal adviser what must be disclosed and how it affects the agreement. An accurate account of the position helps preserve trust within the franchise network.

4. Organise ongoing management after the first agreement is signed

Assign responsibility for renewals, keeping evidence of use and monitoring unauthorised use. Collect dated examples of packaging, advertising and actual transactions. Genuine use has legal significance for maintaining protection; registration is not a one-off task that can then be forgotten.

Give franchisees a simple reporting procedure explaining what to send when they spot similar signage, an impersonation account or suspicious use of the name. Action against third parties requires central coordination and legal assessment, rather than spontaneous public accusations.

Also specify who makes the decisions and who bears the costs if a rights dispute makes rebranding necessary. This helps prevent a legal problem from automatically becoming an unplanned expense for every outlet.

Practical takeaway: before offering your first franchise package, put in place a documented trade mark review, clear rights to license its use and contractual rules governing that use. A recognisable name becomes valuable to franchisees when it can be used safely and consistently.