The new Saudi trade name law was published on 4 October 2024 and took effect on 6 January 2025. The law establishes clearer rules for the registration and protection of trade names, which are critical for distinguishing businesses in the marketplace.
The law permits businesses to register their trade names and prohibits others from using a registered trade name without permission, while it grants the registered owner the right to seek compensation for unauthorized use. The law prohibits the registration of trade names that conflict with famous trademarks or existing trade names, or that may cause confusion, thus enhancing IP rights protection.
Trade names can be composed of the business owner’s name, a distinctive name, or a combination of both. They may include Arabic or Arabic transliterated words, letters, and numbers, and even names in foreign languages, provided they comply with the rules outlined by the Saudi Ministry of Commerce. However, names that mislead the public or contradict public order, morality, or existing legal provisions are prohibited.
