The strategic imperative of registering industrial designs in Brazil in the age of e-commerce brand protection programs

E-commerce platforms have become the primary battleground for intellectual property enforcement, and their BPPs, while designed to protect rights holders, have created an environment in which the mere possession of a registration certificate, regardless of its substantive merit, can be leveraged to disrupt legitimate commerce. This article brings strategies to redress the problem.

 

The exponential growth of e-commerce platforms over the past decade has fundamentally reshaped how goods reach consumers. The rise of cross-border marketplaces, which allow consumers to buy products from international sellers with unprecedented ease, has further propelled this transformation. This enlargement has created cross-border commercial opportunities, but has also brought a host of new challenges. Among those several challenges, perhaps the most pressing on is the protection of intellectual property rights in a borderless digital environment.

 

The sheer volume of listings, the speed at which products can be advertised and sold, and the difficulty of identifying the origin of goods have made traditional enforcement mechanisms look sluggish and inadequate. In response to mounting pressure from rights holders, major e-commerce platforms have developed their own internal Brand Protection Programs (BPPs), designed to allow IP owners to report and request the removal of listings that allegedly infringe trademarks, copyrights, industrial designs, or patents.

 

These BPPs, however well-intentioned, face significant structural limitations. The sheer volume of complaints filed on a daily basis makes it practically impossible for human reviewers to conduct anything resembling a substantive infringement analysis on each case. Platforms have responded by adopting remarkably simplistic decision-making criteria. In many instances, the mere submission of a trademark registration, an industrial design certificate, or a patent grant is sufficient to trigger the suspension or removal of a competitor’s listing (often without any meaningful examination of whether the reported product actually infringes the asserted right). In other cases, platforms effectively delegate the decision to the complainant, treating the takedown request as presumptively valid unless the accused seller mounts a timely and well-documented defense. The result is a system in which the burden of proof is inverted, and the threshold for triggering enforcement is dangerously low.

 

A growing and troubling consequence of this framework is the increasing number of companies that register industrial designs for products they commercialize in Brazil, many times, products over which they may hold no exclusivity whatsoever, for the primary purpose of weaponizing those registrations against competitors in BPP proceedings.

 

These entities obtain a Brazilian industrial design certificate not because they are the original creators or legitimate assignees of the design, but because the Brazilian registration system, as will be discussed, does not scrutinize the merits of the application at the time of filing. With a certificate in hand, they file complaints with e-commerce platforms to have competing listings suspended or removed, often targeting sellers who are, in fact, the legitimate distributors or even the original rights holders.

 

The consequences of this practice are far-reaching and genuinely perverse. A parallel importer who only resells foreign products in Brazil can successfully take down the listing of an authorized national distributor. More alarmingly, such an importer can even target the original designer or manufacturer, provided that the original rights holder has not secured a Brazilian industrial design registration. In a system where possession of a certificate is treated as near-conclusive evidence of ownership, the absence of a domestic registration creates a vacuum that opportunistic actors are quick to exploit.

 

This dynamic is made possible by the structural features of Brazil’s industrial design registration system. Under the Brazilian Industrial Property Law (Law No. 9,279/96), industrial designs are protected through registration rather than substantive patent-like examination.

 

When an application is filed with the Brazilian Patent and Trademark Office (BPTO), it is subjected only to a formal examination, which only verifies if the application meets procedural requirements such as proper documentation, drawings, and applicant information. The BPTO does not, at this stage, assess whether the design is novel or original. The registration is granted essentially as filed. Substantive examination, which is a genuine assessment of novelty and originality against the prior art, is available only as an optional procedure and must be specifically requested by the rights holder or by a party demonstrating sufficient interest.

 

 

In practice, this means that a certificate can be issued for a design that lacks every substantive requirement for protection, and that certificate will nonetheless carry the presumption of validity until challenged.

 

Within the judicial arena, this structural gap has opened a pathway for affected parties to obtain preliminary injunctions reversing measures imposed through BPP takedowns. Courts have shown increasing willingness to recognize that a Brazilian industrial design registration, issued without substantive examination, should not be treated as definitive proof of infringement, particularly when the party against whom the complaint was directed can demonstrate that it holds the original design rights or maintains a legitimate distribution relationship with the original manufacturer.

 

In such cases, judges have granted injunctive relief ordering platforms to reinstate suspended listings, grounded in the reasoning that the absence of a merits-based examination at the BPTO undermines the probative value of the certificate when used as a weapon in BPP proceedings.

 

For these reasons, it is strongly recommended that any product commercialized in Brazil, regardless of whether it was originally designed abroad, becomes the subject of an industrial design registration filed with the BPTO. The rationale is both defensive and offensive. Defensively, holding a Brazilian registration enables a company to respond to BPP complaints filed by competitors with a domestic title of equal or superior standing, thereby neutralizing takedown requests before they result in prolonged suspension of listings. Offensively, a Brazilian registration positions the rights holder to proactively enforce its design rights against infringers in the Brazilian market.

 

Equally important is that domestic registration provides the documentary foundation to support distribution agreements with key commercial partners, assuring them that the products they distribute are supported by enforceable IP rights in the jurisdiction in which they operate.

 

The requirements for registering an industrial design in Brazil are, in principle, straightforward.

 

The design must be novel and original, meaning that it must not be identical or substantially similar to any design already available to the public before the filing or priority date. Crucially, the Industrial Property Law provides a 180-day grace period, during which disclosure of the design by the inventor or rights holder (or by third parties who obtained the information directly or indirectly from the inventor) does not destroy novelty.

 

This means that the registration should be submitted, preferably, within 180 days of the product’s public launch or market introduction. If the filing occurs within this window, the design’s own commercial existence will not become prior art against the application and the novelty requirement will remain intact.

 

It is worth noting, however, that even if the 180-day grace period has elapsed, registration remains possible. Because the BPTO conducts only a formal examination and does not automatically assess novelty or originality, an application filed after the grace period will still be processed and, assuming formal compliance, the registration will be granted. The critical distinction lies in the robustness of that registration.

 

A design registered after the 180-day window is inherently more vulnerable to nullity actions initiated by third parties, who may demonstrate that the design was publicly available before the filing date and therefore lacks novelty. In practical terms, this vulnerability cuts both ways. On one hand, it means that a competitor who registered the same design in bad faith after the grace period also holds a fragile. This provides a degree of protection against bad-faith actors. On the other hand, a registration obtained after the 180-day window is a weaker instrument if the rights holder’s objective is to prevent third parties from commercializing products that may genuinely infringe the original design, because the registration’s susceptibility to nullity undermines its enforceability and its persuasive value in BPP proceedings.

 

All of these factors combined give an unequivocal picture of the risks and strategic imperatives for any company commercializing products in Brazil.

 

The best way to protect against exposure arising from abusive use of industrial design registrations in BPP Programs is to register within the 180-day grace period after the public launch of a product, maximizing the legal robustness of the title and minimizing the risk of nullity. Even registrations made after this time, while more fragile, are a vital defensive weapon, enabling companies to react to BPP complaints with a domestic title and, if necessary, pursue judicial relief against abusive takedowns.

 

In a market where the absence of a Brazilian registration can mean the loss of distribution channels, the suspension of commercial activity, and the erosion of competitive position, the decision to register industrial designs domestically should be viewed not as an optional administrative step, but as a core element of any company’s intellectual property and commercial strategy in Brazil.

 

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Authors: Mariana de Araújo M. Lima Di Pietro, Thaís de Kássia R. Almeida Penteado, and Cesar Peduti Filho, Peduti Advogados 

 

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“If you want to learn more about this topic, contact the author or the managing partner, Dr. Cesar Peduti Filho.”

Louis Vuitton vs. Leticia Vaz: what the LV Store case teaches about monitoring Intellectual Property assets

Few disputes illustrate the value of early trademark planning as clearly as the case involving Louis Vuitton and Brazilian entrepreneur and influencer Leticia Vaz. 

 

In 2019, when Leticia Vaz applied to register the trademark “LV Store” before the Brazilian Patent and Trademark Office (BPTO), the French luxury house filed an opposition, arguing that the sign presented visual and identity similarities with its own brand “LV”.

 

The applicant had to change its strategy and today, the registered trademark is LETICIA VAZ STORE. The case drew wide attention in Brazil and sparked legal debate about preventive trademark registration, brand protection and the constant monitoring of intellectual property assets.

 

Who is Leticia Vaz

Leticia Vaz founded her women’s fashion brand in 2015, while she was still a journalism student at Faculdade Cásper Líbero, in São Paulo. The business began with an initial investment of R$ 500 and two sewing machines, as a source of extra income, and gradually moved from reselling garments to fully in-house design and production. The store went on to exceed R$ 10 million in annual revenue and built a large community on social media, where the brand’s Instagram profile now has more than half a million followers.

Available at: https://www.instagram.com/p/DIjPflNxh5S/


Available at: https://www.instagram.com/leticiavaz/

 

Her career soon expanded beyond the store. She created MODALAB, presented as the first course platform dedicated to fashion e-commerce in Brazil, and in 2024 became a partner and Head of Fashion Innovation at Nuvemshop. She is now recognized in the Brazilian market as a reference in fashion entrepreneurship, digital marketing and content creation.

 

This background explains what was at stake when the opposition was filed in 2019, against Leticia Vaz’ mark. Letica Vaz’ business was only a few years old, but it was already a growing business whose value depended heavily on the founder’s personal image. Securing a registered trademark was essential to protect that investment, and the later decision to anchor the brand in her own name, reflects exactly that connection between the entrepreneur and the business she built.

 

Why two letters can lead to a trademark dispute

Acronyms and initials are common choices for new brands. They are short, easy to remember and often derived from the founder’s name, as was the case with the composite mark. The difficulty arises when the same letters already identify a previously-registered and famous brand in the consumer’s mind.

 

Owners of well-known trademarks invest heavily in keeping their signs distinctive. Each similar mark that enters the market, even in a different segment or with a different meaning, may weaken the exclusive association between the sign and its original owner. This phenomenon, known as brand dilution, explains why companies like Louis Vuitton maintain active trademark watch programs and challenge applications they consider too close to their own identity. 

 

From the brand owner’s perspective, the opposition filed against the mark is an example of intellectual property enforcement at the earliest possible stage, before the conflicting sign is registered and consolidated in the market.

 

Rebranding as a legal strategy

The response adopted by Leticia Vaz is worth examining. Instead of relying solely on a long administrative dispute with an uncertain outcome, she repositioned the brand around her own name. The new mark preserves the connection with the founder, who already enjoyed strong recognition on social media, while moving the brand away from the isolated LV initials that motivated the opposition.

 

This kind of adjustment resulted in a more distinctive trademark, which is easier to register and easier to defend against third parties. It also shows that trademark strategy is not limited to filing an application. It involves assessing risks, anticipating conflicts and, when necessary, adapting the sign to secure protection.

 

Lessons for entrepreneurs and growing brands

The first lesson concerns timing. Brazil follows the first-to-file system, under which the right to a trademark is acquired through registration granted by the BPTO. Building a brand for years without a registration, or filing only after the business has already gained visibility, increases exposure to disputes and to the risk of losing the name altogether.

 

The second lesson concerns clearance. A trademark availability search carried out before the filing identifies earlier registrations and applications that may block the new sign, including well-known trademarks that already enjoy a high degree of consumer recognition. That analysis allows the entrepreneur to choose a name with a better chance of approval before investing in visual identity, domains and social media profiles.

 

The third lesson concerns distinctiveness. Signs formed only by initials, descriptive terms or common expressions tendo to face more obstacles, while original names or combinations with the founder’s name usually offer greater registrability and a stronger position in the event of conflict.

 

The fourth lesson applies to every trademark owner, large or small. Registration is the starting point, and protection depends on continuous monitoring of the BPTO’s gazette to detect conflicting marks in time to file oppositions and, where appropriate, administrative nullity proceedings. The Louis Vuitton case shows that established brands treat this monitoring as part of their routine.

 

Trademarks as business assets

A trademark concentrates the reputation, customer loyalty and commercial value built over years of work. For fashion brands and digital businesses that grow quickly through social media, this intangible asset often represents a significant share of the company’s value. Protecting it through registration and ongoing surveillance is a decision that affects fundraising, licensing, franchising and any future sale of the business.

 

The LV Store case ended with a solution that allowed the entrepreneur to keep growing under a registered trademark of her own. Many businesses, however, discover trademark conflicts only after the brand has become well known, when changing the name costs far more.

 

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Author: Laura Rodrigues Longhi, Lígia Ferreira Marcondes Rocha e Cesar Peduti Filho, Peduti Advogados

Source: 

https://www.instagram.com/reel/DdFR4m8PnpN/?stkn=MWY2cjV0NzBrYTZlYg==

https://www.instagram.com/reel/DWROmKkkWpO/

 

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If you would like to learn more about this topic, please contact the author or Dr. Cesar Peduti Filho.

The business of entertainment: why intellectual property is at the heart of a global creative economy

Entertainment is often perceived primarily through its most visible products: films, television series, music, concerts, festivals and celebrities. Yet, behind these products lies one of the most sophisticated and economically significant ecosystems in the global economy, one built largely around the creation, ownership, licensing, distribution and commercialization of intangible assets. Intellectual property provides the legal framework that allows these creative works to be owned, licensed, distributed and ultimately turned into businesses.

 

Behind each of these products is a complex network of rights and commercial relationships. A film depends on agreements with writers, directors, actors, producers and composers. A song may involve composers, performers, publishers, labels and platforms. Artists themselves build value around their names, images, performances and creative works. And major festivals bring together trademarks, sponsorships, licensing, broadcasting, merchandising and content distribution.

 

The scale of this ecosystem is substantial. According to PwC’s Global Entertainment & Media Outlook 2026–30, the global entertainment and media industry generated approximately US$3.5 trillion in revenues in 2025, encompassing advertising, connectivity and consumer spending across a broad range of segments. PwC projects that the market will reach approximately US$4.2 trillion by 2030.

 

These figures should be understood carefully: the PwC definition of entertainment and media is broader than the traditional concept of the entertainment industry and includes connectivity and advertising. Nevertheless, they demonstrate the extraordinary economic scale of the ecosystem in which audiovisual content, music, live experiences, digital platforms and intellectual property operate.

 

For intellectual property firms, this represents a significant strategic opportunity. As entertainment becomes increasingly digital, global and interconnected, the complexity surrounding creative assets grows alongside the value of those assets.

 

A global market built around Intellectual Property

The growth of entertainment is not dependent on a single medium. Rather, different segments increasingly reinforce one another. Audiovisual content is distributed through cinemas, television, streaming services and social platforms. Music moves simultaneously through streaming platforms, radio, concerts, festivals, advertising, audiovisual productions, video games and brand partnerships. Artists themselves increasingly function as intellectual property portfolios, with names, images, performances, recordings, compositions, trademarks, merchandise and commercial partnerships forming interconnected sources of revenue.

 

The music industry illustrates this transformation particularly well. According to the International Federation of the Phonographic Industry (IFPI), global recorded music revenues reached US$31.7 billion in 2025, an increase of 6.4% and the eleventh consecutive year of growth. Paid subscription streaming remained the principal driver of the market, with 837 million users of subscription accounts worldwide.

 

The geographic distribution of this growth is equally significant. Latin America was the fastest-growing region in 2025, with recorded music revenues increasing by 17.1%. The region’s growth was driven overwhelmingly by streaming, which accounted for 88.1% of recorded music revenues.

 

The numbers show something important about the modern entertainment economy: intellectual property is no longer monetized through a single transaction. A song can generate value through streaming, synchronization, public performance, mechanical rights, advertising, live performances, merchandise, brand partnerships and derivative content.

 

The same principle applies to audiovisual works. A film or series may generate revenues through theatrical exhibition, television licensing, streaming, international distribution, format licensing, merchandising, advertising, soundtrack exploitation and adaptations.

 

The underlying asset is often the same creative work. What changes is the commercial channel through which the intellectual property is exploited.

 

This multiplication of exploitation channels creates opportunities, but it also creates legal complexity. 

 

The entertainment value chain is a legal value chain 

The modern entertainment industry is characterized by a succession of rights and commercial relationships. 

 

A film requires agreements with writers, directors, actors, producers, composers and other contributors. It may involve financing agreements, production arrangements, distribution licenses, international co-productions, music synchronization, trademarks and merchandising. A recording artist may simultaneously be connected to a record label, music publisher, manager, producer, distributor, concert promoter, brand partner and streaming platforms. A festival may involve dozens of artists, hundreds of suppliers, sponsors, broadcasters, technology providers and licensors.

 

At every stage, intellectual property determines who can do what, where, for how long and under what economic conditions. This makes contractual architecture particularly important.

 

The commercial success of an entertainment project may depend on the quality of its chain of title, the clarity of its licensing provisions, the allocation of derivative rights, the definition of territories and media, the treatment of future technologies and the mechanisms for calculating and auditing royalties.

 

In other words, legal work performed at the beginning of the creative process can directly affect the commercial value of the asset at the end of the chain.

 

 

From protecting rights to building entertainment businesses

The most significant opportunity may be to move beyond the traditional idea of intellectual property as something that needs to be “protected.” In entertainment, intellectual property is an asset that must be structured, managed, licensed and monetized.

 

In entertainment, the value of intellectual property goes well beyond registration or formal protection. A trademark may become a global entertainment brand. A song can generate revenue through streaming, publishing, synchronization, live performances, merchandise and brand partnerships. An audiovisual production can evolve into a franchise, a format or a catalogue of exploitable rights. Likewise, a festival can develop into a brand ecosystem that combines ticketing, sponsorship, broadcasting, licensing, merchandising and digital experiences.

 

This perspective changes the role of legal counsel. The lawyer becomes involved not only when a dispute arises, but when the asset is created, structured, protected and commercialized.  That is particularly relevant in an industry in which mistakes concerning rights ownership can become extremely expensive once an asset becomes successful.

 

Intellectual Property as the infrastructure of entertainment

The entertainment industry illustrates a broader transformation in the global economy: value is increasingly created not only through physical goods and services, but through creativity, brands, content, reputation, experiences and other intangible assets.

 

The scale of the market reflects this transformation. Billions of dollars are generated every year through music, audiovisual content, live events, streaming platforms, advertising and the commercial exploitation of creative works. At the same time, the multiplication of distribution channels and business models has made the underlying rights increasingly complex.

 

In this environment, intellectual property is more than a mechanism for preventing unauthorized use. It is the infrastructure that allows creative assets to circulate through the market, reach different audiences and generate value across multiple forms of exploitation.

 

For creators and entertainment companies, this means that legal strategy should begin long before a dispute emerges. Ownership, licensing, contractual structures, brand strategy, rights clearance and commercialization should be considered from the earliest stages of a project. As technology continues to reshape the ways in which content is created and consumed, legal frameworks must also be capable of addressing new forms of exploitation and new categories of risk.

 

For intellectual property law firms, this evolution creates a natural opportunity to engage more deeply with the entertainment sector. The expertise required to protect trademarks, copyrights, creative works, brands and digital assets is increasingly intertwined with the commercial decisions that determine how those assets are created, licensed and monetized.

 

Ultimately, the entertainment industry is not simply a market for creative content. It is a sophisticated economy built around intellectual property – an economy in which the ability to identify, structure, protect and unlock the value of intangible assets can be as important as the creative work itself.

 

As the global creative economy continues to expand, the role of intellectual property counsel will increasingly extend from protecting what has already been created to helping shape how creativity becomes sustainable economic value.

 

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Advogado(a) autor(a) do comentário: Hiago Andrioti Cordioli, Lígia Ferreira Marcondes Rocha e Cesar Peduti Filho, Peduti Advogados

 

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Se quiser saber mais sobre este tema, contate o autor ou o Dr. Cesar Peduti Filho.

Thomson Reuters v. ROSS: an AI company copied because it was easier, and a U.S. appeals court said that is not fair use

For years, the question hung over every AI copyright case in the United States: when a company trains a model on someone else’s content, is that fair use? On September 29, 2026, a Federal Appeals Court gave the first answer. In Thomson Reuters v. ROSS Intelligence, the Third Circuit said no.

 

There is an important caveat, and we will come back to it: the case did not involve generative AI. Even so, the decision is worth reading closely, because the court explained its reasoning in terms that go well beyond legal research tools. The opinion, written by Judge Tamika Montgomery-Reeves, was first filed under seal and released in full the next day. It is precedential, so it binds the federal courts within the Third Circuit, and judges handling other AI cases will certainly look at it.

 

So, what exactly did ROSS do?

ROSS was a startup founded by three computer science students who wanted people to ask legal questions in plain language and get relevant passages from court decisions in return. The tool did not write anything new. It simply pointed users to excerpts from about ten million judicial opinions, which anyone can copy freely.

 

To train the system, ROSS hired LegalEase Solutions, which prepared around 25,000 memos, each with a legal question and possible answers. And here is the problem: the questions were drafted from Westlaw headnotes, the short summaries that Thomson Reuters’ editors write for each point of law in a decision. Why? According to the record, because it was an easy way to frame the questions.

 

ROSS did not hide where it wanted to go. It advertised itself as an alternative to Westlaw, at similar prices, and some law firms made the switch. Thomson Reuters sued in 2020. ROSS shut down in 2021, citing the cost of the litigation. In February 2025, Judge Stephanos Bibas ruled that 2,243 headnotes had been infringed and that fair use did not apply, and the case went up on appeal.

 

But can a summary of a court decision really be protected?

That was ROSS’s first line of defense, and it did not work. The court recalled that the bar for originality is low: a creative spark is enough. Choosing which points of law deserves a headnote, and how to write them so they make sense on their own, involves real editorial choices. And there is more than one way to summarize the same holding.

 

ROSS also argued that protecting headnotes would give Thomson Reuters a monopoly over the law. The court’s answer was simple: headnotes are not the law. Judicial decisions are, and they remain free for anyone to use.

 

Why didn’t fair use save ROSS?

Under U.S. law, fair use is decided by weighing four factors. Three of them went against ROSS.

 

The first, and most important, was the purpose of the use. ROSS wanted money, and it wanted to do exactly what Westlaw does: help people find the law. The court accepted that using the headnotes to train an AI added a small step in between, but that was not enough to make the use truly transformative.

 

This is also where the court drew a line that will be quoted many times. ROSS relied on precedents in which copying was allowed as an intermediate step, such as Google v. Oracle. The court noted that, in those cases, copying was the only way to reach elements that were not protected. ROSS was in a very different position: it had free access to the decisions themselves and chose the headnotes because they were convenient. In the court’s words, “unlike necessity, ease is not a justification for copying.” The opinion also mentioned that ROSS employees had tried to access Westlaw using other people’s credentials, against its terms of use, which did not help.

 

The second factor favored ROSS, since headnotes are mostly factual. The third did not: each headnote is a complete work, and ROSS copied them whole. The argument that 2,243 headnotes were a tiny fraction of Westlaw’s 28 million went nowhere.

 

The fourth factor, the effect on the market, is the one AI companies should read twice. The court recognized that there is a market for licensing content as AI training data, which it called rapidly developing, and noted that Thomson Reuters already uses its headnotes to train its own AI tools. The fact that it had never licensed them to anyone else did not mean the market did not exist. By copying, ROSS took that opportunity away.

 

 

Does this settle the generative AI cases?

No, and the court made a point of saying so. In a footnote, it mentioned that the U.S. Department of Justice argued, on September 1, 2026, in the OpenAI litigation in New York, that training large language models capable of generating new content is transformative. The Third Circuit said that concern simply did not apply here, because ROSS could not create anything new and was built to replace Westlaw.

 

So the big disputes, such as The New York Times against OpenAI and the record labels against Suno and Udio, are still open. But it is no coincidence that the music industry and major film studios filed briefs supporting Thomson Reuters. The idea that convenience is not necessity, and the recognition of a market for training data, will certainly appear in those cases.

 

And how would this case look in Brazil?

Probably worse for ROSS. Brazil does not have fair use. Under the Brazilian Copyright Law (Lei 9.610/98), any use of a protected work requires the author’s prior and express authorization (article 29), and the law specifically mentions storing works in a computer and including them in a database. The exceptions are listed in articles 46 to 48, and none of them cover AI training.

 

It is true that the Superior Court of Justice (STJ) has, on occasion, accepted uses outside that list by applying the three-step test of the Berne Convention, as in REsp 964.404/ES. But one of those steps asks whether the use conflicts with the normal exploitation of the work. That is essentially the same question the Third Circuit answered when it looked at the market. A tool designed to replace the original would hardly pass.

 

The logic about what is protected would also be very similar. In Brazil, court decisions are not protected by copyright (article 8, IV), but databases and compilations are, when the selection and organization of their content involve intellectual creation (article 7, XIII). In practice: training a system on court decisions is fine; copying the editorial work a publisher built on top of them probably is not. And ROSS’s use of other people’s logins would open a second front, for breach of the license terms, which the STJ has treated as contractual liability, with a ten-year limitation period (REsp 1.907.034).

 

There is also an AI bill. The version of PL 2338/2023 approved by the Senate in December 2024 requires developers to disclose the protected content used in training (article 62), limits the data mining exception to research, educational and cultural institutions such as museums, archives and libraries (article 63), allows rights holders to prohibit the use of their works (article 64) and, if they do not, gives them the right to be paid (article 65). A commercial competitor like ROSS would be outside the exception. The problem is that the bill is still waiting for the rapporteur’s opinion in the Chamber of Deputies, and copyright remains one of its most disputed topics.

 

What should companies take from this?

For those who own content, the message is encouraging: the licensing market for AI counts, even when it is still taking shape. Keeping a record of licenses, negotiations and even your own internal use of content for AI can make a real difference if a dispute comes up, in the United States or here.

 

For those developing or buying AI tools, the lesson is less comfortable. Where the data comes from matters as much as how good the model is. If the underlying information is freely available, copying someone else’s curated version of it because it saves time is exactly what the court refused to accept.

 

No Brazilian court has ruled on AI training yet. But our law starts from authorization, not from exceptions, and that already makes it stricter than the American system. If even under fair use a company could not build a substitute out of someone else’s work, it is hard to imagine a Brazilian court seeing it differently.

 

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Advogado(a) autor(a) do comentário: Natalia Eleutério Garcia Gazote, Lígia Ferreira Marcondes Rocha e Cesar Peduti Filho, Peduti Advogados

“US appeals court upholds Thomson Reuters’ landmark win in AI training lawsuit (Reuters)”: 

https://www.reuters.com/business/media-telecom/us-appeals-court-upholds-thomson-reuters-landmark-win-ai-training-lawsuit-2026-09-29/

“Thomson Reuters Enterprise Centre GmbH v. ROSS Intelligence Inc., No. 25-2153 (3d Cir. Sept. 29, 2026), full opinion”: 

https://chatgptiseatingtheworld.com/wp-content/uploads/2026/09/Thomson-Reuters-v.-ROSS-Intelligence-252153p.pdf

“US appeals court rejects ‘fair use’ defense over AI training – as Thomson Reuters wins copyright case backed by RIAA and NMPA”: 

https://www.musicbusinessworldwide.com/us-appeals-court-rejects-fair-use-defense-over-ai-training-as-thomson-reuters-wins-copyright-case-backed-by-riaa-and-nmpa/

“Signed, Sealed, Affirmed: Third Circuit Backs Thomson Reuters over ROSS”: 

https://copyrightlately.com/thomson-reuters-v-ross-third-circuit/

“3rd Circ. Affirms Thomson Reuters’ Westlaw AI Copyright Win”: 

https://www.law360.com/articles/2531563/3rd-circ-affirms-thomson-reuters-westlaw-ai-copyright-win

“Lei nº 9.610, de 19 de fevereiro de 1998 (Lei de Direitos Autorais)”: 

https://www.planalto.gov.br/ccivil_03/leis/l9610.htm

“Em evento religioso, música não rende direito autoral (STJ, REsp 964.404/ES)”: 

https://www.conjur.com.br/2011-abr-01/eventos-religiosos-musica-nao-rende-direitos-autorais-ecad/

“PL 2338/2023, tramitação completa”: 

https://www25.senado.leg.br/web/atividade/materias/-/materia/157233

“Comissão Especial sobre Inteligência Artificial (PL 2338/23)”: 

https://www2.camara.leg.br/atividade-legislativa/comissoes/comissoes-temporarias/especiais/57a-legislatura/comissao-especial-sobre-inteligencia-artificial-pl-2338-23

 

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Se quiser saber mais sobre este tema, contate o autor ou o Dr. Cesar Peduti Filho.

If you want to learn more about this topic, contact the author or the managing partner, Dr. Cesar Peduti Filho.

BPTO updates its Trademark Manual: new criteria for highly renowned marks and closer alignment with the Madrid Protocol

On June 23, 2026, the Brazilian Patent and Trademark Office (BPTO) updated its Trademark Manual, introducing changes that are directly relevant to brand owners managing trademark portfolios in Brazil, particularly with respect to the recognition of highly renowned marks and the procedures applicable to international applications filed under the Madrid Protocol.

 

Under Brazilian law, a highly renowned mark benefits from special protection across all fields of activity, regardless of the class in which it is registered, an exception to the principle of specialty that otherwise limits trademark protection to the goods or services for which the mark was registered. Historically, evidence of high renown has centered on a single registration covering the mark as consolidated in the relevant market. 

 

Based on Regulatory Ordinance No. 68/2026, BPTO now accepts that high renown may be demonstrated through multiple registrations, provided they cover an identical sign associated with distinct goods or services. For brand owners operating across several segments under the same mark, this offers a more strategic path to building a case for cross-class protection, rather than relying on the performance of a single registration in isolation.

 

This is particularly relevant for brand owners exposed to dilution or parasitic use outside their original field of activity, a common risk for marks with strong recognition among consumers in sectors such as fashion, cosmetics, food and beverage, and consumer electronics. Where a mark has been registered separately for different product or service lines, the ability to combine that registration base into a single high renown claim can meaningfully strengthen the titleholder’s position in oppositions, administrative nullity proceedings and infringement litigation, without requiring a new filing strategy built solely around a single flagship registration.

 

 

The update also brings new guidance on filing international trademark applications through the Madrid Protocol, in force in Brazil since 2019. Procedures are now organized around the Madrid e-Filing system, WIPO’s electronic filing platform, with the stated goals of standardizing international applications and integrating filing flows more closely with WIPO’s own systems. For foreign companies designating Brazil in an international registration, or for Brazilian titleholders using their local registration as a basis for expansion abroad, a more standardized, electronically integrated process should translate into fewer formal inconsistencies and a smoother filing experience.

 

It is worth noting that electronic standardization at the filing stage does not change the substance of the examination that follows. Applications designating Brazil remain subject to the same substantive review under Brazilian trademark law as locally filed applications, including distinctiveness and prior-rights analysis, formal requirements specific to the Brazilian registry, and the possibility of office actions and oppositions conducted in Portuguese, within the statutory deadlines set by BPTO. 

 

Foreign titleholders relying on the Madrid Protocol to enter the Brazilian market should therefore continue to plan for local support at the examination stage, so that a more efficient filing process is not undermined by delays or missteps once the application reaches substantive review.

 

Taken together, these changes reflect a broader trend of modernization in the Brazilian trademark system and a continued effort to bring local practice closer to international standards. For international brand owners, this is a relevant moment to revisit how their marks are positioned in Brazil, whether a highly renowned status claim could now be supported by a broader registration base, and whether portfolios entering Brazil via the Madrid Protocol are structured to take advantage of the updated filing procedures.

 

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Author: Carlos Roberto Parra, Thaís de Kassia R. Almeida Penteado, and Cesar Peduti Filho, Peduti Advogados.

Source: Regulatory Ordinance BPTO/PR No. 68/2026; BPTO Trademark Manual, update of June 23, 2026.

 

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“If you want to learn more about this topic, contact the author or the managing partner, Dr. Cesar Peduti Filho.”