How to protect your IP when expanding to Hungary

Expanding into Hungary without securing your intellectual property is like entering a new market without locking your front door.

While Hungary is part of the European Union and benefits from its harmonised IP system, many international businesses are caught off guard by the local nuances. From translation obligations to enforcement challenges, failing to plan your IP strategy early can lead to loss of rights, reputational damage, and unnecessary costs.

In this article, we break down the most important steps to protect your trademarks, patents, and designs when entering the Hungarian market.

Why IP protection matters when entering a new market

When a business plans to expand into a new country, protecting intellectual property needs to be one of the first legal steps. The reason behind this approach is that without adequate IP protection, brand names, innovations and creative assets may be vulnerable to misuse by third parties.

Hungary, as part of the European Union, provides a harmonised legal framework for intellectual property. However, local enforcement and procedural steps can be considered appropriate to ensure that rights are valid and enforceable in Hungary.

Whether a technology company with proprietary software, a retailer seeking to protect its brand identity, or a manufacturer dealing with design rights is about to enter the Hungarian market, local knowledge of intellectual property rights is essential.

What are the main categories of intellectual property recommended for protection in Hungary?

Companies targeting expansion in Hungary generally focus on protecting the following types of intellectual property: 

a) Trademarks 

The function and purpose of a trademark is to protect your brand name, logo, or slogan. The options for trademark protection in Hungary include the following: 

• EU Trademark (EUTM) through the European Union Intellectual Property Office (EUIPO), which covers all EU Member States, including Hungary.

• Hungarian national trademark filed directly with the Hungarian Intellectual Property Office (HIPO).

• International trademarks through the Madrid system, with Hungary as the destination country.

b) Patents 

In case you have an invention or a unique technical solution, you may be entitled to patent protection. 

• You can do this by applying for a European patent (EP) in Hungary through the validation process after it has been granted by the European Patent Office (EPO).

• You can also file a national patent application with the Hungarian Intellectual Property Office (HIPO).

• If you file an international application, Hungary can be involved through the Patent Cooperation Treaty (PCT) system.

c) Designs

Design rights protect the appearance of products, including shapes, patterns, or colors.

Protection can be obtained either through a Registered EU Design (which is valid for the whole of the EU) or through a Hungarian design registration.

What are the recommended steps to protect intellectual property in Hungary?

When expanding your business to Hungary, taking the right legal steps to protect your intellectual property is critical. A proactive approach can save you from costly disputes and ensure that your brand and innovations remain exclusively yours in the new market.

1. Start with a thorough preliminary search 

Before filing for protection, it is essential to make sure that your trademark, patent or design does not conflict with existing rights already registered in Hungary or the European Union. 

A comprehensive intellectual property due diligence will help you identify potential risks, while avoiding subsequent oppositions or costly renaming. 

• For trademarks, the TMview database is a reliable EU-wide search tool. 

• For patents, the Espacenet database provided by the European Patent Office (EPO) allows searching international patent applications, including those valid in Hungary.

2. Filing strategy

Once you’ve confirmed that your IP is available, the next step is to decide how to protect it in Hungary. 

• If you already own an EU trademark or a Registered EU Design, you’re covered in Hungary as part of the EU’s harmonised system. 

• However, if Hungary is not yet covered by your existing registrations—especially in the case of international trademarks or patents—you may need to take action. 

Depending on your long-term market goals, you can either extend protection via international frameworks like the Madrid or PCT systems or file directly with the Hungarian Intellectual Property Office (HIPO) for local rights.

3. Rely on local expertise

Although some filings may be done centrally through EUIPO or WIPO, enforcement and procedural steps in Hungary typically follow national rules. Therefore, engaging a local Hungarian IP attorney is strongly recommended. 

A local expert can assist in properly classifying goods and services during filing, preparing and translating documentation as needed, responding to office actions or oppositions, and advising on possible legal pitfalls specific to the Hungarian market.

4. Set up ongoing monitoring and enforcement

Securing rights is only the first part of IP protection. Actively defending those rights is equally important. Businesses expanding to Hungary should implement a regular monitoring process to detect possible infringements or similar trademark filings. 

If infringement is discovered, swift action is crucial. This may include 

• sending cease-and-desist letters, 

• filing oppositions against conflicting applications, 

• or initiating legal proceedings. 

The longer the delay, the harder it is to reverse damage to your brand.

By following these steps and planning ahead, businesses can establish a secure legal foundation for long-term success in the Hungarian market.

Common pitfalls when expanding to Hungary

One common mistake is assuming that EU-level IP protection automatically guarantees complete security in Hungary. While EU trademarks and designs are indeed valid throughout the EU, effective enforcement of those rights still requires local action.

Another frequent oversight is delaying the registration process. Acting quickly is essential to secure rights before entering the market.

Additionally, language requirements can pose a challenge. Certain filings—such as national validations of European patents—require documentation in Hungarian. Overlooking these translation requirements can lead to rejections or unenforceable rights.

Being aware of these pitfalls and proactively addressing them will save time, reduce risk, and strengthen your position in the Hungarian market.

Conclusion

Hungary offers a stable and harmonised legal framework for IP rights as part of the EU, but only if you act proactively. The earlier you address IP protection, the more control you’ll retain over your brand, technology, and creative assets in the Hungarian market.

That can be accomplished more efficiently, safely and professionally with an experienced team of IP lawyers who are also familiar with local market conditions.

If you are looking for a partner to protect your intellectual property, contact our law firm for a consultation.