Newsletter
PROHIBITION OF USE OF INTERNET KEYWORDS IN ADVERTISEMENTS FOR CREDIT CARDS AND CASH CARDS
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According to the prevailing opinions of the Intellectual Property Court, use of the trademark as keyword advertisements without prior consents from the trademark owner will not constitute trademark infringement or violate the Trademark Act. Nonetheless, any use of the keyword advertisements, which may mislead consumers into believing that there is any license from or cooperation with the trademark owner may possibly violate the Fair Trade Act. |
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Furthermore, the Financial Supervisory Commission (FSC) issued a letter to all card issuing institutes on 29 March 2011, in which the Banking Bureau of the FSC restricts the advertisements for credit cards and cash cards on the Internet and via text messages by prohibiting card issuing institutes from using popular Internet keyword search and word link to place advertisements for the two types of cards because the methods cannot fully disclose relevant information. |
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The Banking Bureau stated: "The regulations on advertisements for credit cards and cash cards govern the advertisements in printed and mobile media, including warnings in the advertisement, text font and size, etc., but do not deal with advertisements on the Internet and via text messages. The supplemental regulation provides that in case of advertisements for credit cards and cash cards which do not comply with this supplemental regulation, considering that the running schedule for such advertisements is fixed, the Banking Bureau will offer a three-month grace period to make adjustment. Any violation of the regulation after the three-month period will be regarded as a violation of the internal control rules and be punished." |
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Given that information cannot be fully disclosed due to the limited number of words in advertisements via Internet keyword search or word link, the Banking Bureau prohibits placing cash card or credit card advertisements by using such methods. The Banking Bureau emphasized that, while keyword search prepared by Internet business providers themselves was not within its jurisdiction, Internet keyword search would not be allowed if the search was on the account of a banking service provider, i.e., "sponsor link." |
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