Trademark infringement

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Trademark infringement is a violation of the exclusive rights attached to a trademark without the authorization of the trademark owner or any licensees (provided that such authorization was within the scope of the licence). Infringement may occur when one party, the "infringer", uses a trademark which is identical or confusingly similar to a trademark owned by another party, especially in relation to products or services which are identical or similar to the products or services which the registration covers. An owner of a trademark may commence civil legal proceedings against a party which infringes its registered trademark. In the United States, the Trademark Counterfeiting Act of 1984 criminalized the intentional trade in counterfeit goods and services. [1] :485–486

Contents

If the respective marks and products or services are entirely dissimilar, trademark infringement may still be established if the registered mark is well known pursuant to the Paris Convention. In the United States, a cause of action for use of a mark for such dissimilar services is called trademark dilution.

In some jurisdictions a party other than the owner (e.g., a licensee) may be able to pursue trademark infringement proceedings against an infringer if the owner fails to do so.

Factors

Courts consider various factors in order to determine whether a trademark was infringed. [2]

This last factor, consumer confusion, is the main topic of debate in most cases.

Consumer confusion

Where the respective marks or products or services are not identical, similarity will generally be assessed by reference to whether there is a likelihood of confusion that consumers will believe the products or services originated from the trademark owner.

Likelihood of confusion is not necessarily measured by actual consumer confusion if two products do not directly compete against each other but are in proximate markets. Then, to determine consumer confusion, a court may apply one of various factor tests. The primary test comes from Ninth Circuit Court of Appeals and is found in AMF, Inc v. Sleekcraft Boats, 599 F.2d 341 (C.A.9) 1979. [3] The Court there announced eight specific elements to measure likelihood of confusion:

  1. Strength of the mark
  2. Proximity of the goods
  3. Similarity of the marks
  4. Evidence of actual confusion
  5. Marketing channels used
  6. Type of goods and the degree of care likely to be exercised by the purchaser
  7. Defendant's intent in selecting the mark
  8. Likelihood of expansion of the product lines [3] [4] [5] [6]

Other Courts have fashioned their own tests for likelihood of confusion—like those announced in In re E.I. du Pont de Nemours & Co., 476 F.2d 1357, 177 USPQ 563 (CCPA 1973), [7] known collectively as the DuPont factors.

Defenses

The party accused of infringement may be able to defeat infringement proceedings if it can establish a valid exception (e.g., comparative advertising) or defence (e.g., laches) to infringement, or attack and cancel the underlying registration (e.g., for non-use) upon which the proceedings are based. Other defenses include genericness, functionality, abandonment, or fair use.

Globally

The ACTA trade agreement, signed in May 2011 by the United States, Japan, Switzerland, and the EU, requires that its parties add criminal penalties, including incarceration and fines, for copyright and trademark infringement, and obligated the parties to actively police for infringement. [8] [9] [10]

In many countries with common law, a trademark which is not registered cannot be "infringed" as such, and the trademark owner cannot bring infringement proceedings under statute. Instead, the owner may be able to commence proceedings under the common law for passing off or misrepresentation, or under more general legislation which prohibits unfair business practices. In some jurisdictions, infringement of trade dress may also be actionable.

Notable cases

See also

Related Research Articles

<span class="mw-page-title-main">Trade dress</span> Characteristics of visual appearance of a product

Trade dress is the characteristics of the visual appearance of a product or its packaging that signify the source of the product to consumers. Trade dress is an aspect of trademark law, which is a form of intellectual property protection law.

<span class="mw-page-title-main">United States trademark law</span>

A trademark is a word, phrase, or logo that identifies the source of goods or services. Trademark law protects a business' commercial identity or brand by discouraging other businesses from adopting a name or logo that is "confusingly similar" to an existing trademark. The goal is to allow consumers to easily identify the producers of goods and services and avoid confusion.

Passing off is a common law tort which can be used to enforce unregistered trade mark rights. The tort of passing off protects the goodwill of a trader from misrepresentation.

<span class="mw-page-title-main">Lanham Act</span> United States trademark law

The Lanham (Trademark) Act (Pub. L.Tooltip Public Law  79–489, 60 Stat. 427, enacted July 5, 1946, codified at 15 U.S.C. § 1051 et seq. is the primary federal trademark statute in the United States. In other words, the Act is the primary statutory foundation of United States trademark law at the federal level. The Act prohibits a number of activities, including trademark infringement, trademark dilution, and false advertising.

<span class="mw-page-title-main">Trademark dilution</span> Concept of weakening a trademarks uniqueness used to grant protection for trademark rights

Trademark dilution is a trademark law concept giving the owner of a famous trademark standing to forbid others from using that mark in a way that would lessen its uniqueness. In most cases, trademark dilution involves an unauthorized use of another's trademark on products that do not compete with, and have little connection with, those of the trademark owner. For example, a famous trademark used by one company to refer to hair care products might be diluted if another company began using a similar mark to refer to breakfast cereals or spark plugs.

The Trademark Counterfeiting Act of 1984 is a United States federal law that amended the federal criminal code to make it a federal offense to violate the Lanham Act by the intentional use of a counterfeit trademark or the unauthorized use of a counterfeit trademark. The act established penalties of up to five years imprisonment and/or a $250,000 fine for selling or attempting to sell counterfeit goods or services. It increased such penalties for a second or subsequent conviction under the Act.

<span class="mw-page-title-main">Concurrent use registration</span> Federal trademark registration of the same trademark to two or more unrelated parties

A concurrent use registration, in United States trademark law, is a federal trademark registration of the same trademark to two or more unrelated parties, with each party having a registration limited to a distinct geographic area. Such a registration is achieved by filing a concurrent use application and then prevailing in a concurrent use proceeding before the Trademark Trial and Appeal Board ("TTAB"), which is a judicial body within the United States Patent and Trademark Office ("USPTO"). A concurrent use application may be filed with respect to a trademark which is already registered or otherwise in use by another party, but may be allowed to go forward based on the assertion that the existing use can co-exist with the new registration without causing consumer confusion.

In the United States, trademark law includes a fair use defense, sometimes called "trademark fair use" to distinguish it from the better-known fair use doctrine in copyright. Fair use of trademarks is more limited than that which exists in the context of copyright.

<span class="mw-page-title-main">Trademark</span> Trade identifier of products or services

A trademark is a type of intellectual property consisting of a recognizable sign, design, or expression that identifies a product or service from a particular source and distinguishes it from others. A trademark owner can be an individual, business organization, or any legal entity. A trademark may be located on a package, a label, a voucher, or on the product itself. Trademarks used to identify services are sometimes called service marks.

<span class="mw-page-title-main">Initial interest confusion</span> Trademark law doctrine

Initial interest confusion is a legal doctrine under trademark law that permits a finding of infringement when there is temporary confusion that is dispelled before the purchase is made. Generally, trademark infringement is based on the likelihood of confusion for a consumer in the marketplace. This likelihood is typically determined using a multi-factor test that includes factors like the strength of the mark and evidence of any actual confusion. However, trademark infringement that relies on Initial interest confusion does not require a likelihood of confusion at the time of sale; the mark must only capture the consumer's initial attention.

<i>Planned Parenthood Federation of America, Inc. v. Bucci</i> 1997 American legal case

Planned Parenthood Federation of America, Inc. v. Bucci, 1997 WL 133313, was a court ruling at the United States District Court for the Southern District of New York. The ruling was an important early precedent on the trademark value of a domain name on the World Wide Web, and established the theory that hosting a site under a domain name that reflected the registered trademark of a different party constituted trademark infringement.

<i>Google, Inc. v. American Blind & Wallpaper Factory, Inc.</i> Legal case

Google, Inc. v. American Blind and Wallpaper Factory, Inc., No. 5:03-cv-05340, was a decision of the United States District Court for the Northern District of California that challenged the legality of Google's AdWords program. The court concluded that, pending the outcome of a jury trial, Google AdWords may be in violation of trademark law because it (1) allowed arbitrary advertisers to key their ads to American Blind's trademarks and (2) may confuse search-engine users initially interested in visiting American Blind's website into visiting its competitors' websites.

Inwood Laboratories Inc. v. Ives Laboratories, Inc., 456 U.S. 844 (1982), is a United States Supreme Court case, in which the Court confirmed the application of and set out a test for contributory trademark liability under § 32 of the Lanham Act.

<i>Rescuecom Corp. v. Google Inc.</i> American legal case

Rescuecom Corp. v. Google Inc. 562 F.3d 123, was a case at the United States Court of Appeals for the Second Circuit, in which the court held that recommending a trademark for keyword advertising was a commercial use of the trademark, and could constitute trademark infringement.

<i>Playboy Enterprises, Inc. v. Netscape Communications Corp.</i> Legal case concerning trademark infringement and dilution

Playboy Enterprises, Inc. v. Netscape Communications Corp., 354 F.3d 1020 was a case regarding trademark infringement and trademark dilution decided by the United States Court of Appeals for the Ninth Circuit. The ruling addressed unauthorized use of trademarked terms when using web search data to determine the recipients of banner ads.

<i>Network Automation, Inc. v. Advanced Systems Concepts, Inc.</i> Court case decided on March 8, 2011

Network Automation, Inc. v. Advanced Systems Concepts, Inc., 638 F.3d 1137 was a court case decided on March 8, 2011, where the United States Court of Appeals for the Ninth Circuit ruled that the use of a competitor's trademark as an Internet search advertising keyword did not constitute trademark infringement. In the case, Network Automation advertised their own competing product in search queries that contained Advanced Systems Concepts' "ActiveBatch" trademark. In determining whether trademark infringement occurred, the court evaluated factors relevant to the likelihood of customer confusion outlined in AMF Inc. v. Sleekcraft Boats and concluded that confusion was unlikely.

In Canada, passing off is both a common law tort and a statutory cause of action under the Canadian Trade-marks Act referring to the deceptive representation or marketing of goods or services by competitors in a manner that confuses consumers. The law of passing off protects the goodwill of businesses by preventing competitors from passing off their goods as those of another.

Polaroid Corp. v. Polarad Elect. Corp. is a key United States legal case from 1961 in trademark infringement law. It is also cited in personality rights particularly around celebrities. The decision argued that trademark infringement is measured by the multi-factor "likelihood of confusion" test. That is, a new mark will infringe on an existing trademark if the new mark is so similar to the original that consumers are likely to confuse the two marks, and mistakenly purchase from the wrong company.

<i>Rosetta Stone Ltd. v. Google, Inc.</i> U.S. court decision

Rosetta Stone v. Google, 676 F.3d 144 was a decision of the United States Court of Appeals for the Fourth Circuit that challenged the legality of Google's AdWords program. The Court overturned a grant of summary judgment for Google that had held Google AdWords was not a violation of trademark law.

References

  1. Irina D. Manta Spring 2011 The Puzzle of Criminal Sanctions for Intellectual Property Infringement Archived 2018-11-13 at the Wayback Machine Harvard Journal of Law & Technology 24(2):469-518
  2. "Rescuecom Corp. v. Google Inc". h2o.law.harvard.edu. Archived from the original on 2017-12-06. Retrieved 2017-12-05.
  3. 1 2 "AMF, Inc v Sleekcraft Boats, 599 F.2d 341 (C.A.9) 1979". Archived from the original on 2008-05-12. Retrieved 2008-05-09.
  4. "15.18 Infringement—Likelihood of Confusion—Factors—Sleekcraft Test | Model Jury Instructions". www3.ce9.uscourts.gov. Archived from the original on 2017-11-28. Retrieved 2017-12-05.
  5. "Overview of Trademark Law". Archived from the original on 2017-12-07. Retrieved 2017-12-05.
  6. "Polaroid Corp. v. Polarad Elect. Corp., 287 F.2d 492 (2d Cir.), cert. denied, 368 U.S. 820 (1961)". Archived from the original on 2017-11-20. Retrieved 2017-12-05.
  7. IN RE E.I. DuPONT DE NEMOURS & COMPANY-BENLATE LITIGATION Archived 2017-12-06 at the Wayback Machine , 476 F.2d 1357 (1996).
  8. Miriam Bitton (2012) Rethinking the Anti-Counterfeiting Trade Agreement's Criminal Copyright Enforcement Measures Archived 2012-10-10 at the Wayback Machine The Journal of Criminal Law & Criminology 102(1):67-117
  9. "The Anti-Counterfeiting Trade Agreement – Summary of Key Elements Under Discussion" (PDF). transparency paper. Swiss federation of Intellectual Property. November 6, 2009. Archived (PDF) from the original on July 16, 2011. Retrieved June 8, 2010.
  10. Correa, Carlos Maria; Li, Xuan (2009). Intellectual property enforcement: international perspectives. Edward Elgar Publishing. p. 211. ISBN   978-1-84844-663-2. Archived from the original on 2021-04-24. Retrieved 2020-10-21.