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At-a-glance: Ministry of Economy PO Box 901, Abu Dhabi Tel: +971 2 613 13 19, Fax: +971 2 613 11 11 Email: info@economy.ae Website: www.economy.ae The Middle East has become more attractive for international clients as they look to emerging markets... [more]

The Middle East has become more attractive for international clients as they look to emerging markets to boost their profit margins. "Increasingly, US and European retailers are looking to the Middle East for growth, and to make up for the shortfall back home," remarks one partner. Together with Saudi Arabia, the UAE is receiving the most interest. Largely, this is thanks to the demographic of these countries: both have significant sections of the population that are affluent, under 30 and internationally educated, and hungry for the international brands they are familiar with.

Dubai's use as a regional hub has driven up the level of IP work emanating from the UAE. Although the overall filing statistics for 2012 are unavailable, all lawyers report an increase in the number of trade marks registered throughout the year in comparison to 2011, some by as much as 20%. As the market has grown more lucrative it is deemed more important, so litigation work is more common. "The level of contentious work is better. I have a lot of commercial disputes about brands," notes one partner.

It's impossible to discuss intellectual property in the UAE without mentioning counterfeiting. The country is a transit route for illicit goods from Asia into Europe and the West, and controlling the flow of these goods remains high on the government's agenda. "One trend we see is increased anti-counterfeiting work," says one practice head. "The authorities responsible for screening the market have increased their inspection work considerably compared to previous years. They have expanded their authority. Previously, they did not do warehouses; they said it was a court issue."

Efforts are being made locally and across the region to improve the systems for registering intellectual property. One domestic development sees the UAE working in cooperation with WIPO to introduce WIPO-sponsored software, which will ultimately allow the local IP offices to implement electronic filing. "The software was introduced in summer 2012 and it will be taking baby steps towards electronic filing, hopefully some time in 2013," says one partner.

Looking further afield, a trade mark law across the Gulf countries, which was published in 2006, is finally expected to come into force in 2013. Yet, while the legislation would be identical in each contracting country, clients will still be required to file separately in all six jurisdictions. "The interesting thing will be how each office interprets the law. Undoubtedly, it will be very differently. In the UAE they accept 3D trade marks but in Saudi the office pretty much rejects every one. I'm expecting the offices to continue taking opposing views," notes another practice head. The next step is a united Gulf trade mark system and possibly a single examination for all six countries, but that will take some considerable negotiation.

The chance of seeing another bout of legal reform – new IP laws for the UAE – soon is looking less certain. "We might see some movement on new IP laws in the UAE, but the drafts have been gathering dust for some time" says one partner wistfully.