Insight

Fierce Competition

Is jumping through legal hoops an Olympic event? It might as well be for any company seeking to sponsor an athlete, a team or the quadrennial games themselves.

Legal Sponsorships for the Olympic Games
AB

Amalia Berg and Jordan Scopa

February 8, 2022 07:00 AM

This article was originally published on 9/23/21 and was updated on 2/7/22

Throughout the recent Tokyo Olympics, viewers were blanketed with innumerable uplifting messages from sponsors celebrating athletes, teams and entire nations. It’s a big business—and like the events themselves, the barriers to entry are high.

The “Olympic properties” include the famous five interlocking rings symbol, a flag, motto, anthem, identifiers (such as the designation “Olympic Games”), emblems, torches, even the Olympic flame—and the International Olympic Committee (IOC), the Games’ governing body, has special means at its disposal to protect these properties worldwide.

The 1981 Nairobi Treaty, which is administered by the World Intellectual Property Organization (WIPO), requires each state that has ratified it to refuse or invalidate any registration of the Olympic symbol and to prohibit its commercial use without IOC authorization. In addition, many countries—including those that have hosted the Games—have in place permanent national legislation protecting the Olympic properties.

Olympics-specific legislation got its start ahead of the 1976 Winter Games in Montreal. The Canadian Olympic Act of 1976 provided specific trademark protection for the Olympic properties (as well as the phrase “Montreal 1976”) and addressed the production and use of commemorative coins and stamps. Over time, such legislation has become increasingly complex to combat ambush marketing, particularly in the internet and social-media age.

The IOC owns many trademark registrations related to the Olympic properties overall as well as to specific iterations of the Games. National Olympic committees, which have a legal duty to the IOC, also own certain related trademark rights. The Canadian Olympic Committee (COC), for example, has more than 300 marks on the Trademark Register, including TOKYO 2020 and the Tokyo 2020 emblem—most of them official marks, which are afforded much broader rights than standard trademarks.

The Canadian Olympic Act of 1976 provided specific trademark protection for the Olympic properties (as well as the phrase ‘Montreal 1976’).”

Through Rule 40 of the Olympic Charter, the IOC governs how team officials, coaches, trainers and athletes use their person, name, picture or performance for advertising purposes during the Games. This enables the IOC to protect the appeal (and the value) of official Olympic sponsorship.

When a particular athlete’s sponsor is not an official Olympic sponsor, it may engage in advertising during the Games provided that the advertising is “generic,” has been consistently in the market for three months prior to the Games and is not run more frequently during them. To be considered generic, the advertising must not create any association, whether direct or indirect, between the sponsor and the Olympic movement, and must omit any reference to the athlete’s participation in the Games. These rules apply equally to social media content. Indeed, a sponsor is permitted only one social-media message congratulating the sponsored athlete during the Games, and even that missive must be generic (containing no photos or videos from the Games, for example). Athletes themselves face similar social-media restrictions regarding their sponsors during the Games.

In addition to the numerous ad restrictions, the IOC and national Olympic committees also expect timely and detailed notification of advertising plans so they can assess their compliance with Rule 40 and related guidelines. For smaller companies and athletes less certain to feature prominently during the Games, of course, it’s financially risky to devote resources to developing and submitting potentially expensive ad campaigns months in advance of the Olympics.

These seemingly innocuous posts can be interpreted as commercial in nature and in breach of Rule 40.”

The IOC’s desire to preserve the value of official sponsorship and curb ambush marketing is understandable. After all, national Olympic committees rely on sponsorship to support their teams and their country’s broader Olympic movement. As a result, potential sponsors must take great care before engaging in any advertising, especially on social media, if they’re not official sponsors and they operate in a jurisdiction (such as the United States) whose national Olympic committee aggressively enforces its trademarks and Rule 40.

Given the pervasive and unifying nature of the Games, one can easily imagine a company that isn’t an official sponsor posting congratulatory and celebratory messages to athletes (or entire teams) on social media along with hashtags such as #Olympics or # Tokyo2020 . These seemingly innocuous posts from a company’s official social-media account could nevertheless easily be interpreted as commercial in nature and in breach of Rule 40. Accordingly, the guidelines of national Olympic committees, including the COC, indicate that companies that aren’t official sponsors should refrain from making social media posts that that refer, directly or indirectly, to Olympic properties, including by way of hashtags.

Official sponsorship of the Games, however, is not a gateway to unregulated advertising and promotion. Companies that have spent something like $100 million to be an official sponsor for a four-year cycle have much more freedom to advertise during the Games and to make use of the Olympic properties. Even so, given the interest of the IOC in preserving the image, reputation and goodwill of the Games, even official sponsors are required to have their advertising and promotions preapproved by their national Olympic committee. Sponsorship, it seems, has become something of a full-contact sport—and the 2022 Beijing Winter Olympics are just around the corner. Let the Games begin.

Amalia Berg is a partner and heads the Intellectual Property Group at Goodmans. She is also a registered trademark agent. Amalia practises exclusively in the areas of intellectual property and technology law with an emphasis on trademarks, copyright and confidential information.

Jordan Scopa is a partner in the Litigation Group at Goodmans. He practises commercial litigation, with an emphasis on intellectual property disputes, including disputes relating to patents, trademarks and copyright. He also advises clients regarding the licensing of intellectual property and technology.

Related Articles

The Sponsor Games


by Alasdair Muller and Nick Fitzpatrick

Brands looking to capture a little Olympic glory for themselves face a challenging legal course. Here’s an overview.

Legal Recourse for Olympics Branding

A Line in the Sand


by Phedely Artiste and Susan H. Abramovitch

Norway’s women’s-handball team made news at the Tokyo Olympics not so much for its athletic prowess but for what it was wearing. A look at the legal intricacies of an increasingly fraught topic.

Norway's Handball Team Uniform Controversy

2021 Best Lawyers: The Global Issue


by Best Lawyers

The 2021 Global Issue features top legal talent from the most recent editions of Best Lawyers and Best Lawyers: Ones to Watch worldwide.

2021 Best Lawyers: The Global Issue

The Subsidy Solution


by Anton O. Petrov and Jan D. Bonhage

Major athletic events are great fun, sources of pride . . . and expensive. What are countries’ responsibilities, especially during the pandemic, to help ensure their survival?

Responsibilities of Olympic Host Countries

Champions of Change: Record Breaking LGBTQ Olympic Athlete Representation


by Rebecca Blackwell

LGBTQ Olympic Athletes Make History

All Doped Up


by Howard Rapke

Keeping elite international sporting events free of banned substances is an endless game of cat and mouse. Here’s an overview of the legal efforts set up to do, in theory, exactly that.

Legal Efforts Against Drugs at Olympics

An Interview With Robert B. Legault of Legault Joly Thiffault (LJT) Avocats


by Best Lawyers

Robert B. Legault discusses his firm's 2019 "Law Firm of the Year" award for Advertising Law in Canada with Best Lawyers CEO Phillip Greer.

Robert B. Legault Law Firm of the Year Interv

Current Status of Image Rights Structures in Spain


by Eduardo Montejo

Image Rights in Spain

Registering Advertising Slogans as Trademarks in the United States and Europe


by Christian Lemke

Brand owners seeking to obtain exclusive rights in their advertising slogans for campaigns encompassing the United States and Europe should bear in mind certain well-established principles.

Slogans and Trademarks

Trending Articles

The 2024 Best Lawyers in Spain™


by Best Lawyers

Best Lawyers is honored to announce the 16th edition of The Best Lawyers in Spain™ and the third edition of Best Lawyers: Ones to Watch in Spain™ for 2024.

Tall buildings and rushing traffic against clouds and sun in sky

Presenting The Best Lawyers in Australia™ 2025


by Best Lawyers

Best Lawyers is proud to present The Best Lawyers in Australia for 2025, marking the 17th consecutive year of Best Lawyers awards in Australia.

Australia flag over outline of country

Best Lawyers Expands Chilean 2024 Awards


by Best Lawyers

Best Lawyers is pleased to announce the 14th edition of The Best Lawyers in Chile™ and the inaugural edition of Best Lawyers: Ones to Watch in Chile™, honoring the top lawyers and firms conferred on by their Chilean peers.

Landscape of city in Chile

Best Lawyers Expands 2024 Brazilian Awards


by Best Lawyers

Best Lawyers is honored to announce the 14th edition of The Best Lawyers in Brazil™ and the first edition of Best Lawyers: Ones to Watch in Brazil™.

Image of Brazil city and water from sky

Announcing The Best Lawyers in South Africa™ 2024


by Best Lawyers

Best Lawyers is excited to announce the landmark 15th edition of The Best Lawyers in South Africa™ for 2024, including the exclusive "Law Firm of the Year" awards.

Sky view of South Africa town and waterways

The Best Lawyers in Mexico Celebrates a Milestone Year


by Best Lawyers

Best Lawyers is excited to announce the 15th edition of The Best Lawyers in Mexico™ and the second edition of Best Lawyers: Ones to Watch in Mexico™ for 2024.

Sky view of Mexico city scape

How Palworld Is Testing the Limits of Nintendo’s Legal Power


by Gregory Sirico

Many are calling the new game Palworld “Pokémon GO with guns,” noting the games striking similarities. Experts speculate how Nintendo could take legal action.

Animated figures with guns stand on top of creatures

The Best Lawyers in Portugal™ 2024


by Best Lawyers

The 2024 awards for Portugal include the 14th edition of The Best Lawyers in Portugal™ and 2nd edition of Best Lawyers: Ones to Watch in Portugal™.

City and beach with green water and blue sky

The Best Lawyers in Peru™ 2024


by Best Lawyers

Best Lawyers is excited to announce the landmark 10th edition of The Best Lawyers in Peru, the prestigious award recognizing the country's lop legal talent.

Landscape of Peru city with cliffside and ocean

How To Find A Pro Bono Lawyer


by Best Lawyers

Best Lawyers dives into the vital role pro bono lawyers play in ensuring access to justice for all and the transformative impact they have on communities.

Hands joined around a table with phone, paper, pen and glasses

Presenting the 2024 Best Lawyers Family Law Legal Guide


by Best Lawyers

The 2024 Best Lawyers Family Law Legal Guide is now live and includes recognitions for all Best Lawyers family law awards. Read below and explore the legal guide.

Man entering home and hugging two children in doorway

The Best Lawyers in Colombia™ 2024


by Best Lawyers

Best Lawyers is honored to announce the 14th edition of The Best Lawyers in Colombia™ for 2024, which honors Colombia's most esteemed lawyers and law firms.

Cityscape of Colombia with blue cloudy sky above

Announcing the 2024 Best Lawyers in Puerto Rico™


by Best Lawyers

Best Lawyers is proud to announce the 11th edition of The Best Lawyers in Puerto Rico™, honoring the top lawyers and firms across the country for 2024.

View of Puerto Rico city from the ocean

Announcing The Best Lawyers in Japan™ 2025


by Best Lawyers

For a milestone 15th edition, Best Lawyers is proud to announce The Best Lawyers in Japan.

Japan flag over outline of country

Canada Makes First Foray Into AI Regulation


by Sara Collin

As Artificial Intelligence continues to rise in use and popularity, many countries are working to ensure proper regulation. Canada has just made its first foray into AI regulation.

People standing in front of large, green pixelated image of buildings

Announcing The Best Lawyers in New Zealand™ 2025 Awards


by Best Lawyers

Best Lawyers is announcing the 16th edition of The Best Lawyers in New Zealand for 2025, including individual Best Lawyers and "Lawyer of the Year" awards.

New Zealand flag over image of country outline