A Business Guide to Navigating the 2024 Olympic Games
26 April 2024
From the 26th of July 2024, businesses will be required to vigilantly navigate between marketing opportunities and legal risks in order to successfully capitalise from the Olympic Games. In this context, numerous legal questions notably arise for businesses in regards to the use of the Olympic rings and mascots on packaging and promotional materials; the alignment of products or services with Olympic values and themes, and the incorporation of Olympic-related references in social media marketing campaigns, etc.
Ashurst is poised to provide comprehensive guidance on the dos and don'ts of engaging with this global event.
The Olympic Games and Olympic Properties are protected by various legal mechanisms.
The International Olympic Committee ("IOC") exclusively owns all rights associated with the Olympic Games, which notably encompass:
The IOC is also the exclusive owner of all rights to the Olympic Properties, including their utilisation for profit-making, commercial, or advertising purposes, as outlined in article 7.4 of the Olympic Charter. These Olympic Properties encompass the following:
Rule 40 of the Olympic Charter delineates the following key principles, detailing how participants should engage in and derive benefits from commercial activities surrounding the Paris Olympics Games.
The IOC is the owner of various trade marks registered worldwide in relation to the Olympic Games, including "Paris 2024", "Olympic Games", "Games of the Olympiad", "World Olympians", "Olympic Stadium", and "Friends of the Games". These registered trade marks are protected by intellectual property rights. Furthermore, well-known trade marks, such as the word "Olympique", are protected even without registration (TGI Paris, ch. 3, sect. 4, 10 Apr 2014, no° 12/15470 ).
Furthermore, any creative work, such as editions of writings, musical compositions, drawings, or paintings, may be protected by authors' rights and/or under copyright laws.
The Nairobi Treaty on the protection of the Olympic Symbol grants additional international protection to the five interlaced rings. Adopted in 1981 and administered by WIPO, the Nairobi Treaty obliges all signatories to protect the Olympic Symbol from commercial exploitation, including its use in advertisements, on goods or as a trade mark, without prior authorisation from the IOC.
Although France has not ratified this Treaty, it has adopted permanent national legislation protecting the Olympic Properties.
In preparation for the Paris 2024 Games, the French legislature reinforced the protection of Olympic Properties by adopting a specific law (Law no. 2018-202 of 26 March 2018 on the organisation of the 2024 Olympic and Paralympic Games), commonly referred to as the "Olympic Law", and integrated its provisions in articles L. 141-5 and L. 141-7 of the French Sports Code. Notably, article L. 141-5 of the French Sports Code stipulates that the French National Olympic and Sports Committee is entrusted with ownership of the national Olympic emblems and tasked with ensuring the protection of the acronym "JO", and other associated elements including the logo, mascot, slogan, and posters.
Furthermore, any act involving the registration of a trade mark or the reproduction, imitation, affixing, deletion, or modification of the national Olympic emblems listed in the French Sports Code without authorisation from the French National Olympic and Sports Committee is subject to criminal sanctions outlined in articles L. 716-9 et seq of the French Intellectual Property Code (see below). The French Law 2022-296 of 2 March 2022, aimed at democratising sport in France, expanded the protection of Olympic trade marks to include their translations.
Firstly, under French law, trade mark infringement may result in civil liability for damages. In this regard, the court may order the defendant to pay damages as well as complementary measures such as the seizure of any goods and equipment employed in the commission of the infringement. In addition, trade mark infringement can also result in penalties of up to four years' imprisonment and a €400,000 fine as per articles L. 716-9 et seq of the French Intellectual Property Code. Attempts to register trade marks identical or confusingly similar to those already registered by the IOC are likely to face opposition. For example, the Paris High Court ordered a €20,000 fine to a company for running a promotional campaign entitled "Olympic sales" on its website (TGI Paris, 10 April 2014, no. 12/15470).
Businesses must also consider the risk of infringement of the Olympic Properties which are subject to the same penalties as those applicable to trade marks. In this context, the Paris Court of Appeal held that a company using the names "Jeux Olympiques", "Olympic Games" and the Olympic rings on its online website violated article L. 141-5 of the Sports Code (Paris Court of Appeal, 21 January 2011, no. 09/20261).
Finally, the infringement of authors' rights can result in both civil and criminal penalties in France. Indeed, unauthorised exploitation of an original creation, whether in whole or in part, may result in three years' imprisonment and a €500,000 fine under articles L. 332-2 and L. 335-3 of the French Intellectual Property Code.
Under French law, free-riding has a legal basis in the general principle of civil liability, set out in articles 1240 and 1241 of the French Civil Code, and is commonly defined as: “all behaviour whereby an economic agent rides on another’s coat-tails in order to take advantage, without spending any money, of its efforts and know-how” (Commercial Chamber, Cour de cassation, 26 January 1999, no. 96-22.457). Proof of fault, damage and causation are required to establish an act of free-riding. However, free-riding does not necessitate a competitive relationship between the perpetrator and the injured party (Commercial Chamber, Cour de cassation, 16 February 2022, no. 20-13.542), nor does it inherently imply a risk of confusion (Commercial Chamber, Cour de cassation, 27 January 2021, no. 18-20.702).
Ambush marketing is a prevalent form of free-riding and involves businesses associating themselves with events, like the Olympic Games, without being an official sponsor. This type of advertising can mislead the public into believing an association exists in order to unfairly exploit the efforts, investments, publicity, or reputation associated with the Paris 2024 Olympic Games.
Notably, French case law has identified the following actions as ambush marketing:
To sum up:
Authors: Nicolas Quoy, Partner; Antoine Boullet, Senior Associate; and with assistance from Muriel McCracken, Trainee.
The information provided is not intended to be a comprehensive review of all developments in the law and practice, or to cover all aspects of those referred to.
Readers should take legal advice before applying it to specific issues or transactions.