El Salvador has taken a significant step toward modernizing its legal framework with the entry into force of the new Intellectual Property Law, which replaces the previous Trademark and Other Distinctive Signs Law and the Intellectual Property Law in effect since 1993.
This new legislation aims to position the country as a leader in intellectual property protection by facilitating access and improving efficiency for users through the full digitalization of its processes.
Although progress had already been made in digitalization, it was essential to have a law that precisely regulated the procedures and granting of rights. The previous legislation, while modern, did not include specific regulations for certain aspects that are now addressed in detail.
In this context, El Salvador is preparing to become an alternative hub for intellectual property dispute resolution. This will benefit both local stakeholders and foreign brands looking to protect their rights in the country, making El Salvador an attractive destination for investors and entrepreneurs.
The Salvadoran Institute of Intellectual Property (ISPI)
The Salvadoran Institute of Intellectual Property (ISPI) is the new entity that will centralize and improve the management of intellectual property in the country. ISPI will be responsible for handling intellectual property title applications, supervising the use of protected works, performances, and productions, and mediating conflicts between rights holders.
This new entity is led by a director, who will propose the organizational structure and ensure service efficiency through the use of advanced technologies.
ISPI began its operations in February 2025 as a branch of the National Registry Center (CNR), an autonomous government entity with legal and technical authority.
ISPI not only manages the registration of intellectual property but also plays an active role in conflict mediation and intellectual property education. Among its immediate objectives, the Institute seeks to collaborate with national and international organizations to promote cooperation and technical assistance. Additionally, it will regularly publish acts and services related to intellectual property and promote the resolution of disputes through alternative dispute resolution methods.
Furthermore, an Information Office will be established with the World Intellectual Property Organization (WIPO) and other similar institutions worldwide, facilitating access to relevant information and strengthening the intellectual property system in El Salvador.
On the other hand, educational institutions regulated by the General Education Law, as well as higher education institutions, individuals registered in the National Register of Workers in Culture and Arts, and small businesses, will benefit from partial exemptions on fees.
Additionally, a 50% discount on fees will be applied to micro and small businesses accredited by the National Commission for Micro and Small Enterprises (CONAMYPE).
New Developments in Protection Areas
The law includes changes regarding the maintenance, protection, modification, and licensing of intellectual property rights:
- Copyright:
- Introduces exceptions for people with visual, auditory, and other limitations.
- Copyright assignment contracts can be formalized through various mechanisms, including electronic documents with certified electronic signatures.
- Distinctive Signs:
- The accreditation of notoriety is formalized according to WIPO’s Joint Recommendation.
- Establishes the validity of trade names and advertising signs, linking them to the trademark or trade name to which they are attached.
- Prohibits the registration of trademarks that imitate a domain name and eliminates the category of famous distinctive signs.
- Introduces filing and modification fees for distinctive signs, as well as a distinctiveness examination for applications.
- Maintains provisions regarding the acquisition of rights through registration and establishes cancellation for generic trademarks.
- Patents, Utility Models, and Industrial Designs:
- Introduces key definitions such as “Independent Claim” and “Unique Inventive Concept.”
- Expands non-patentability to three scenarios: plant and animal breeds or essential biological production processes for plants and animals; creations that are exclusively aesthetic; and products or processes already patented by being assigned a different use than the one covered by the original patent.
- Changes the payment deadline for annuities and establishes the “Bolar Exception” for patents.
- Recognizes moral rights over industrial designs and extends the protection period for industrial designs to 15 years.
- Introduces five-yearly fees for maintaining the design and allows the rehabilitation of patents or utility models.
- Protection in Digital Environments:
- Requires supporting documentation for domain names.
- Defines cybersquatting of distinctive signs and protected works, establishing mechanisms for dispute resolution in the digital environment.
With the new Intellectual Property Law, El Salvador aims to be a leader in the protection of innovations and intangible assets. We invite Interty’s readers to stay updated on developments in the country in order to enhance intellectual property security and strengthen its protection in the region.
Authors: Julio Vargas and Edna López
El Salvador
