Artificial intelligence tools have become a daily resource for Australian businesses. From brainstorming brand names to researching legal questions, AI feels fast and convenient. But when it comes to trade mark registration, relying on AI can expose your business to significant legal and commercial risks.
As an Australian IP lawyer with almost 25 years of experience, I am seeing more clients coming to me after AI has given them incomplete or inaccurate guidance which has resulted in trade mark objections, costly rebrands, or disputes that could have been avoided entirely.
AI Cannot Assess Legal Risk
AI does not understand legal reasoning. It cannot:
• assess deceptively similar marks
• interpret IP Australia’s legal tests
• evaluate distinctiveness
• provide strategic classifications
• understand commercial enforcement risks
Many businesses believe an AI-suggested name is “available,” only to discover similar existing registrations once a proper search is conducted.
For guidance on how trade marks actually work, see BrandU Legal Trade Mark Services.
AI Mistake #1: “Your Name Looks Available”
AI tools do not access the Australian Trade Marks Register. They generate answers based on language patterns, not actual database searches.
This leads business owners to adopt names that already belong to competitors, resulting in cease-and-desist letters or failed applications.
For more on smart brand selection, read How to Choose a Strong Trade Mark for Your Australian Business.
AI Mistake #2: Wrong or Incomplete Classifications of Goods/Services
A trade mark protects your goods and services so accurate drafting of your classification is vital. Choosing the wrong class means your trade mark may not protect your real-world business activities. AI often suggests:
- too few classes
- irrelevant classes
- overly broad or overly narrow classes
To understand classification strategy, see The Ultimate Guide to Nice Classifications for Australian Businesses.
AI Mistake #3: Suggesting Unregistrable Names
AI-generated names often sound “descriptive,” like:
- Brisbane Plumbing Experts
- Pure Organic Coffee Co
- Gold Coast Property Services
These names are generally unregistrable because they lack distinctiveness.
A trade mark must identify your brand, not simply describe it.
AI Mistake #4: Mixing Up Copyright and Trade Marks
AI regularly generates incorrect statements like:
- “Registering a business name gives you copyright.”
Statements such as this are not legally correct.
For clarity, see Copyright vs Trade Mark: Understanding the Difference for Australian Businesses.
How Australian Businesses Can Use AI Safely
AI can still be a helpful tool, if used correctly.
Businesses should:
- use AI for brainstorming only
- arrange for clearance searches to be conducted by a professional
- seek legal review before finalising a brand
- register trade marks early to secure protection
- avoid relying on AI for classification or legal interpretation
For expert legal support, visit BrandU Legal Trade Mark Services.
FAQs
1. Can AI replace a trade mark lawyer?
No. It cannot evaluate legal risk, similarity, distinctiveness, or enforceability.
2. Are AI-generated trade mark searches reliable?
No. AI tools do not access or correctly interpret the Australian and international registers.
3. Can AI help me pick a brand name?
Yes, but only as a starting point. Always seek a professional search afterward.
4. Can AI-generated logos be registered?
Sometimes, but originality, copyright ownership, and distinctiveness must be assessed.