Trade names are used to identify a business or a company. Trade names are the who of the business.

Customers do business with a business bearing the trade name. Trademarks are used to identify products or services. Trademarks are the what of the business. Customers buy products and services bearing the trademark. In very simplistic terms, customers buy trademarks from trade names. Trade name is the official legal name of your business entity. This name appears on the incorporation papers and you can find it if you search the Department of State business registry. You use this name to open bank accounts, obtain business credit cards, and this name is the one you use to pursue or defend a claim in courts. Trademark, on the other hand, is any word, design, slogan, sound or symbol that serves to identify the source of goods or services (service mark). Section 22 covers two types of confusion arising from the use of similar or colorable imitation marks, namely, confusion of goods (product confusion) and confusion of business (source or origin confusion) The first is the confusion of goods in which event the ordinarily prudent purchaser would be induced to purchase one product in the belief that he was purchasing the other. xxx The other is the confusion of business: Here though the goods of the parties are different, the defendants product is such as might reasonably be assumed to originate with the plaintiff, and the public would then be deceived either into that belief or into the belief that there is some connection between the plaintiff and defendant which, in fact, does not exist. Ownership of a mark or trade name may be acquired not necessarily by registration but by adoption and use in trade or commerce. As between actual use of a mark without registration, and registration of the mark without actual use thereof, the former prevails over the latter. For a rule widely accepted and firmly entrenched, because it has come down through the years, is that actual use in commerce or business is a pre-requisite to the acquisition of the right of ownership.[16] While the present law on trademarks[17] has dispensed with the requirement of prior actual use at the time of registration, the law in force at the time of registration must be applied, and thereunder it was held that as a condition precedent to registration of trademark, trade name or service mark, the same must have been in actual use in the Philippines before the filing of the application for registration.[18]Trademark is a creation of use and therefore actual use is a pre-requisite to exclusive ownership and its registration with the Philippine Patent Office is a mere administrative confirmation of the existence of such right.[19] By itself, registration is not a mode of acquiring ownership. When the applicant is not the owner of the trademark being applied for, he has no right to apply for registration of the same. Registration merely creates a prima facie presumption of the validity of the registration, of the registrant's ownership of the trademark and of the exclusive right to the use thereof.[20] Such presumption, just like the presumptive regularity in the performance of official functions, is rebuttable and must give way to evidence to the contrary. Accordingly, the right to register a mark is based on ownership. When the

applicant is not the owner of a certain mark, he has no right to register it as a trademark." While trademark registration creates a presumption of the validity of the registration, of the registrant's ownership of the mark, and of the exclusive right to use it, this presumption is rebuttable and must give way to superior evidence to the contrary." Moreover, a trademark registration is not by itself a mode of acquiring ownership. Thus, if the registrant later on is proved to be not the real and actual owner of the registered trademark, the registration may be cancelled.