Ukraine: gambling ban won't excuse non-use
The Ukrainian Supreme Court refused to treat a gambling prohibition as a proper reason for five years of trade mark non-use. What it means for registrations.
The ten-year transition period under the EU–Ukraine Association Agreement for the use of certain EU geographical indications ended on 1 January 2026, so the terms that Ukrainian producers were permitted to keep using during that window may no longer be used to designate Ukrainian products.
The arithmetic behind that date is worth stating plainly, because it explains why the deadline arrived when it did rather than at some negotiated later point. The transition period was counted from 1 January 2016, the date of provisional application of Title IV of the Association Agreement. Ten years from provisional application is a fixed term, not a rolling one, and it has now run. The underlying obligation sits in Article 202(3) of the Association Agreement, which obliges Ukraine to protect geographical indications for EU wines, aromatised wines and spirits listed in Annex XXII-C and Annex XXII-D. The transition did not suspend that obligation in principle; it deferred the moment at which the listed terms had to disappear from Ukrainian-origin labelling. That moment has arrived.
For in-house counsel, the practical significance is that this is not a new policy announcement to be monitored for developments. It is the expiry of a deadline that was set a decade ago and is now in the past. Any product currently in a Ukrainian production or distribution chain that bears one of the listed terms is, from a labelling-compliance perspective, already on the wrong side of a line that moved on New Year’s Day.
Twelve indications are affected across two product categories, and they are the names most likely to appear on a legacy Ukrainian label.
The affected EU wine geographical indications are Champagne, Madeira, Porto, Jerez/Xérès/Sherry, Marsala, Malaga and Tokaj. The affected EU spirit drink geographical indications are Cognac, Armagnac, Calvados, Grappa and Anis Português.
Several of these terms have long histories of generic-style use in the post-Soviet market, which is precisely why a ten-year transition was thought necessary in the first place. The commercial habit is deep-rooted: the words appeared not only on front labels but in product ranges, sub-brands, marketing copy, category descriptions on e-commerce listings and in the internal naming conventions of production sites. An audit that looks only at the front label will under-report exposure. The list should be run against every customer-facing text a group controls in Ukraine, and against its Ukrainian trade mark portfolio.
The substitutions for the two commercially largest categories are specified: Ukrainian-produced ‘champagne’ must be designated ‘sparkling wine’, and Ukrainian-produced ‘cognac’ must be called ‘brandy’.
These are category designations rather than brand elements, and that distinction shapes the relabelling exercise. A producer whose product identity rested substantially on the prohibited term is not simply swapping one word for another of equal marketing weight; ‘sparkling wine’ and ‘brandy’ are descriptive category names that do not distinguish one producer from another. The brand-side consequence is that whatever distinctive element the label already carries — house mark, range name, figurative element — has to do more work than it did before, and in some portfolios that element may be underdeveloped or unregistered. Trade mark managers should treat the relabelling as an occasion to check that the remaining distinctive matter is actually protected in Ukraine in the classes and forms in which it will now be used.
Two Ukrainian laws sit behind the change, and their commencement dates are staggered in a way that matters for reconstructing what applied when.
Ukrainian Law No. 2800-IX ‘On Geographical Indications of Spirit Drinks’ was adopted on 1 December 2022 and entered into force on 29 December 2024. Ukrainian Law No. 3928-IX ‘On Grapes and Wine’ was adopted on 22 August 2024 and entered into force on 1 January 2026 — the same date on which the Association Agreement transition expired.
The gap between adoption and entry into force in both cases is substantial, and legacy compliance files may still reference the pre-commencement position. Where a group’s Ukrainian labelling approvals, distribution agreements or supplier warranties were drafted against the earlier framework, those documents are now describing a regime that no longer applies. Warranty language of the ‘complies with applicable Ukrainian labelling law’ variety is not self-updating in practice; someone has to check that the labels actually shipped satisfy the current text.
Yes — the prohibition is not limited to the exact registered terms. Use of words derived from registered EU wine geographical indications, such as ‘champanization’ and ‘Tokay’, is prohibited.
This is the point most likely to be missed by a mechanical keyword search. ‘Champanization’ is a process description rather than a product name, and it tends to live in technical copy, tasting notes, method claims on back labels and producer websites rather than on the front of the bottle. ‘Tokay’ is a transliteration variant rather than the registered spelling, and a search run only against ‘Tokaj’ will not find it. Any audit should therefore search for stems and transliterations, in both Latin and Cyrillic script, and should cover process and method language as well as product designations. The same logic applies to trade mark screening: a filing that incorporates a derived form is exposed on the face of this rule even though it does not reproduce the indication exactly.
There is a run-out allowance, and it is defined by stock rather than by a calendar date: spirit drinks produced and labelled in accordance with the legislation in force before 1 January 2026 may be sold in Ukraine until existing stocks run out.
A stock-based allowance is only as good as the evidence supporting it. The allowance attaches to goods produced and labelled under the earlier legislation, which means a seller relying on it needs to be able to show, for a given batch, that production and labelling preceded the cut-off. Batch records, production dates, labelling run documentation and warehouse inventory snapshots taken as close to 1 January 2026 as possible are the materials that make the claim provable later. Groups that have not already frozen that evidence should do so now, while the underlying records are still current and the people who created them are still in post.
A good deal. The source of this change addresses the Ukrainian-side obligation to stop using the listed EU indications; it does not resolve how that obligation will be enforced in practice, nor what enforcement authorities or the courts will make of borderline cases.
Specifically, it does not tell us how Ukrainian authorities will treat labels already sitting in trade channels beyond the stock allowance described above, nor how the allowance will be assessed in practice. It does not address whether Ukrainian trade marks that incorporate the prohibited indications or their derived forms will be refused on examination or invalidated on application, which leaves an open question for every portfolio containing such a mark. And it says nothing about the reciprocal side of the bargain — the protection of Ukrainian geographical indications within the EU. Readers should not extrapolate from the Ukrainian obligation to conclusions about any of those matters; each will need its own answer as practice develops.
Run a targeted audit and preserve the evidence that supports the run-out allowance, in that order.
For any group with Ukrainian production, licensing or distribution, the audit should cover product names, packaging, marketing copy and Ukrainian trade mark filings, screened against all twelve listed indications and their derivative and transliterated forms in both scripts. Where a prohibited term is found on a wine or spirit designation, plan the move to the statutory Ukrainian designation — ‘sparkling wine’ for champagne, ‘brandy’ for cognac — and check that the distinctive elements remaining on the relabelled product are themselves registered. Where stock produced and labelled before 1 January 2026 is still in the chain, document it now: production dates, labelling records and inventory positions, batch by batch. And flag any Ukrainian trade mark containing a listed indication or a derived form for review, on the footing that its status is an open question rather than a settled one.
Drafted by Iprelia's research automation and reviewed before publication. General information about intellectual property law — not legal advice.
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