Discovering that another business is using the same or a similar name can raise serious commercial concerns. Businesses invest significant time and resources building goodwill, brand recognition and reputation. If another trader adopts the same or a confusingly similar name, this may lead to mistaken enquiries, diverted sales, reputational harm, or difficulty distinguishing the two businesses in the market.
In the UK, there is no automatic rule that gives a business exclusive rights simply because it started using a name first or registered that name at Companies House. Whether you can stop another business from using your name depends on the rights you have in that name and the way the other business is using it.
This article explains your legal rights if another business is using your business name, and the steps that may be available to protect your brand.
1. Is Your Name Protected by a Company Name Registration at Companies House?
Not on its own. Registering a company name with Companies House does not automatically give exclusive legal rights to use that name as a brand. It simply means the name has been accepted for company registration under the relevant company naming rules.
Companies House considers issues such as whether the name is identical to an existing company name, whether it is “too like” another registered company name, or whether it includes restricted or sensitive words. However, Companies House does not decide whether the name infringes someone else’s trade mark or whether it could give rise to a passing off claim.
2. Is Your Name Protected by a Trade Mark Registration at the UKIPO?
Yes. Registering your business name as a UK trade mark with the UK Intellectual Property Office (UKIPO) is usually the strongest form of protection. A registered trade mark gives enforceable rights in relation to the goods and services covered by the registration, subject to the statutory rules and defences.
Trade Mark Infringement
Under the Trade Marks Act 1994, infringement may arise where another business uses a sign in the course of trade that conflicts with your registered trade mark. This may include the use of:
- an identical sign for identical goods or services
- an identical or similar sign for identical or similar goods or services, where there is a likelihood of confusion
- a sign that takes unfair advantage of, or is detrimental to, a registered mark with a reputation in the UK.
To assess the likelihood of confusion, the court or the UKIPO will usually consider how similar the names are visually, phonetically and conceptually, how similar the goods or services are, how distinctive your mark is, and how the average consumer would perceive the marks.
The key issue is whether consumers are likely to think the two businesses are the same, linked, or commercially connected.
3. What if Your Business Name Is Not Registered as a Trade Mark?
You may still have legal rights through passing off, which protects the goodwill your business has built up in its name, branding or market identity. It is often the main remedy where a business has not registered a trade mark but has developed recognition in the marketplace.
A passing off claim usually requires proof of:
- Goodwill: your business must have built up protectable goodwill attached to the relevant goods or services, such as the customers associate the name with your business.
- Misrepresentation in the course of trade which has led, or is likely to lead, the public to believe that the defendant’s goods or services are connected with or are those of your business.
- Damage or a real likelihood of damage to your business’s goodwill, such as diverted customers, loss of sales, or reputational harm.
Passing off claims are highly fact-sensitive and evidence-based. A business that has used a name first will not automatically succeed. The strength of the claim usually depends on the distinctiveness of the name, the extent of the claimant’s goodwill, the similarity of the parties’ activities, and the evidence of confusion or likely confusion.
4. Can You Challenge Another Company’s Registered Company Name?
Yes, in some circumstances. If another company has registered a name that is the same as, or sufficiently similar to, a name associated with your business, it may be possible to file a complaint with the Company Names Tribunal under the Companies Act 2006.
The tribunal will consider the statutory grounds and any available defences. This route is often used where a company name appears to have been registered opportunistically. If the complaint succeeds, the tribunal may order the company to change its name.
5. Practical Steps if Another Business Is Using Your Name
If another business starts trading under the same or a similar name, early legal advice is important. Practical steps commonly include:
- checking whether you own, or the other business owns, any registered trade marks
- reviewing Companies House records
- identifying when each business started using the name
- gathering evidence of goodwill, trading history and market presence
- preserving evidence of actual confusion, such as misdirected emails, calls, reviews or customer enquiries
- assessing the extent to which the parties’ goods, services or target markets overlap
In some cases, the dispute can be resolved by a carefully drafted cease and desist letter or negotiated undertakings. In others, formal proceedings may be necessary.
The available remedies will depend on the legal basis of your claim, but may include an injunction preventing further use of the name, damages for financial loss, an account of profits requiring the defendant to surrender profits attributable to the wrongful use, a delivery up or destruction of infringing materials, particularly in trade mark cases, or an order requiring a company to change its name under the company names regime.
6. Preventive Actions to Protect Your Business Name
The most effective approach is usually preventive. Businesses should consider:
- registering the business name as a UK trade mark
- carrying out trade mark clearance searches before adopting a new brand
- checking Companies House and domain name availability
- monitoring new trade mark filings and company name registrations
- securing relevant domain names and branding assets
- keeping records of first use, advertising and customer recognition
Trade mark registration does not guarantee success in every dispute, but it generally provides a clearer and stronger basis for enforcement than relying solely on unregistered rights.
Need Advice About a Business Name Dispute?
If another business is using your name, the appropriate legal response will depend on the rights you hold and the risk of confusion in the marketplace. Early legal advice can help assess the strength of your position and identify the most effective enforcement strategy.
Our intellectual property team advises businesses on trade mark infringement, passing off claims, brand protection and company name disputes, helping clients protect their reputation and commercial goodwill.
How To Get In Contact
To find out more or if you require assistance with these matters, speak with our Intellectual Property Team on +44 (0)204 600 9907 or email info@culbertellis.com.
Accurate at the time of writing. This information is provided for general information purposes only and should not be relied upon as legal advice.
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