5/5/2020 How law firm trademark teams are adapting to the pandemic environment | World Trademark Review

27 Apr How law rm trademark teams are adapting to the pandemic

2020
environment
WTR spoke to trademark practice leads on their response to current conditions
Drop in preparatory work expected but uptick in contentious work expected
One expert predicts cost-saving virtual court proceedings could continue long term

Media coverage of law rms tackling the current climate has centred on staff being furloughed, salaries being cut and worries over revenue
drops. With even those in strong nancial positions taking precautionary measures, WTR reached out to a number of rms to gauge the impact
on trademark teams and work.

With no clear end in sight for social distancing measures in jurisdictions around the world, the pandemic’s long-term economic impact is yet to
be determined, but rms are already facing signi cant nancial pressures.. In the United Kingdom, nearly 80% of rms have furloughed staff.
Meanwhile, Linklaters is not paying out partner distribution; Allen & Overy is not carrying out salary reviews in the rst quarter of the nancial
year; Hogan Lovells is furloughing up to 30 employees, cutting back discretionary expenditure and deferring some planned salary increases;
Baker McKenzie is cutting US lawyers and high-paid salaries by 15%; and Seyfarth is enforcing serious pay reductions and has cancelled its
summer fellow programme.

Coming from some of the biggest names in the legal industry, these measures are naturally alarming. Trademark teams, however, appear to have
adapted well to remote set-ups. Commenting on Marks & Clerk’s situation, head of trademarks Tom Farrand, notes that in the rst few weeks of
lockdown in the United Kingdom, there was a high level of productivity from the team – and even enthusiasm. Understandably, the novelty has
worn off since then and the rm’s goal is to maintain a sense of community among colleagues: “We are making sure that the team ethic
continues and that people are interacting effectively so that we can keep a close watch on the mental wellbeing of all our staff.”

At Allen & Overy, exible working has been in place for a while, meaning that the impact of recent events has been less dramatic than for some.
“We’re very much aiming for business as usual,” says David Stone, global head of intellectual property. As the wheels keep turning, he is keen to
ensure that the rm is sticking to due dates, despite many IP o ces offering delayed deadlines. “We’re very much aiming to meet dates as and
when they fall due, so that we (and clients) are not faced with a huge backlog when restrictions are relaxed,” he says.  

This is not to say that trademark work will not be affected by current conditions. As a full-service rm, Allen & Overy is diversi ed across multiple
practices and regions, acting as a cushion against uncertainty. However, looking into trademark work speci cally, Stone expects to see a similar
pattern to the 2008 recession emerge. “We’re likely to see a drop in preparatory work (clearance, ling) in circumstances where product launches
are abandoned or delayed, and an uptick in contentious work – brand owners enforcing their rights more strongly.” Thus, those rms focused on
ling work may feel more of an impact than those engaged in enforcement.

Of course, enforcement-focused practices could also be affected, particularly if the impact of covid-19 does not follow the template of a typical
recession. WTR covered the notable drop in US trademark litigation cases in March, with one commentator stating that, while litigation is usually
recession-proof, things appear to be different this time round, with some plaintiffs not wishing to appear ‘un-American’ by seeking damages
during a crisis. March may prove to be an anomaly, but in some jurisdictions, litigation work could also be hit.

Last week, we looked at how the legal profession may change in light of the lessons learned from the global health crisis. Looking to the future,
this week we again asked what the impact could be on longer term working practices.

In terms of interaction, virtual conferencing instead of international – and lengthy domestic – travel is by no means an alien concept. The quality
of communication on programs such as Zoom and Hangouts is already su cient, and as demand increases, the quality will only increase with it.
“I’m expecting that most rms and clients will see using these means to communicate as their rst choice in the future,” predicts Farrand, noting
the platforms’ convenience and affordability. He also theorises that “social distancing will have created an underlying reluctance to attend large
conventions”.

However, Stone disagrees that the days of face-to-face meetings are over, noting: “We’ve continued to interact with our clients as before – but
there is no substitute for sharing a meal together. Get-togethers like the INTA Annual Meeting are incredibly important – I’m very sorry to see the
Singapore meeting postponed to Houston but I am looking forward to seeing everyone there.”

There is also a split in opinions on the topic of remote working. Flexible working is likely to increase, according to Leopold von Gerlach, global
chair of Hogan Lovells: “Even when we are back in our o ces, the case will have been made for taking a more exible approach to where people
work.” He adds that “at some point there will be a return to normality but with that will come more questions asked around whether some
activities are strictly necessary”.
By contrast, Stone does not foresee a complete overhaul of the traditional city o ce space set-up, citing the bene ts of teams working together
in person: “There are many advantages to working together, and whilst there are workarounds from home, they aren’t as good as being in one
spot.”

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However, he does think there will be a shift in how court hearings are undertaken. In the United Kingdom, he notes, the High Court and IP
Enterprise Court have continued to sit remotely “and the hearings I’ve been involved in have been successful”. Much as a prudent eye will be
turned to international conferences, he believes that a similar approach will be taken with many court proceedings. “I can see video and audio
hearings becoming more usual for short applications post-covid-19: it saves costs, particularly for non-London-based clients who can join
remotely.”
For now, it remains unclear whether the last few months will result in wholly new ways of working long term. That answer is unlikely to be
provided for some time, but von Gerlach offers some light at the end of the tunnel. The trademark team at Hogan Lovells is spread across o ces
in Asia, Europe and the Americas. With the China team working remotely since late January, von Gerlach explains that the rm has witnessed
progress there that is yet to develop in Europe. “As markets there start to slowly recover, there will be a gradual return back to business as usual,”
he remarks.  

Jonathan Wal sz
Author | Reporter
jonathan.wal sz@lbresearch.com

TAGS
Law Firms, Asia-Paci c, Europe, North America

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