<![CDATA[A trademark constitutes an essential component of intellectual property rights, serving as the identity and distinguishing mark of products or services in commercial activities. Indonesia's trademark registration system follows the first to file principle under Law Number 20 of 2016 concerning Trademarks and Geographical Indications. However, this system remains vulnerable to abuse by parties acting in bad faith, as evidenced in the LOPSTER vs. LOBSTER case (Medan Commercial Court Decision Number 1/Pdt.Sus-HKI/Brand/2025), where a trademark registered in bad faith successfully passed the administrative examination at the Directorate General of Intellectual Property (Direktorat Jenderal Kekayaan Intelektual, DJKI). DJKI possesses limited authority to reject trademark applications based on bad faith elements, resulting in trademark cancellations being processed exclusively through Commercial Court litigation. This study employs normative juridical research with statute and comparative approaches to analyze DJKI's role in the trademark registration process and compare it with the United States Patent and Trademark Office (USPTO) system, which operates under the first to use principle requiring evidence of actual trademark use in commerce. The comparative analysis reveals that the USPTO's verification mechanism for actual use effectively prevents speculative registrations and bad faith applications. The findings demonstrate that optimizing DJKI's role requires implementing a hybrid approach that maintains the first-to-file structure while integrating actual use verification mechanisms, thereby enhancing preventive functions and reducing trademark disputes that reached over 156,860 cases during 2021–2025. This research contributes practical recommendations for strengthening DJKI's examination procedures and policy formulation to provide more effective legal protection for business actors]]>
