After a large number of enterprises such as Apple, Samsung, Microsoft and Sony have stopped deliveries and services to Russia, the Russian government has proposed a suspension of the protection of foreign IP rights within numerous sectors.
The proposal, named "Priority Action Plan for Ensuring the Development of the Russian Economy in the Conditions of External Sanctions Pressure", implies that Russian enterprises can use foreign trademarks, copyrights, patents and designs – for instance in software and electronics – to mitigate the effect of Western sanctions. This will result in substantial losses for Western enterprises and provide a breeding ground for illegal exports of counterfeit products out of Russia.
It remains unclear whether the Russian initiatives will lead to corresponding retaliatory measures by Western countries, but generally Russian enterprises are not strong in the area of IP, and thus the effect will be limited.
Bech-Bruun is monitoring the situation closely, and we are ready to render advice. If you have any questions, please contact Claus Barrett Christiansen, Partner of Bech-Bruun.