A trade name is the name used by a trader, whether an individual or a corporation, to distinguish the trader’s own business from the trader’s counterparts[*1]. The trade name is an important corporate component for the trade store and is essential for each trade enterprise[*2].
A trade name differs from a trademark which is used to distinguish the products and goods from others in the marketplace. Saudi law requires each trader to adopt a trade name in order to distinguish his business from others which must comply with the basics defined by the law[*3].
In this regard, we would like to point out Resolution 17729 passed by the Ministry of Commerce and Investment, which gives no authorization for registration of a family name as a trade name unless the name is completely registered as it is in the civil record (the national identity). The Resolution also gives no authorization for registration of a family name as a trademark unless the holder of such name from the family gives his prior approval for such use.
[1] Dr. Mustafa Kamel Taha, Wael Anwar Bondoq, Commercial Law Basis, Dar Al-Fiker Al-Jamee, Alexandria, page 745
[2] Dr. Sameha Al-Kalyoubi, Al-Wasset Egyptian Commercial Law Explanation, Dar Al-Nahdah Arabia, 2015, page 315
[3] Dr. Mustafa Kamel Taha, Wael Anwar Bondoq, the above reference page 745
