Registering a trademark can be an important part of brand development. Companies pay professionals to design a trademark. They research to ensure that the trademark is noticeably different from existing trademarks used by competitors. They then submit the image or logo to the United States Patent and Trademark Office (USPTO) for registration. The image or logo represents the brand. Companies may use it on signage, in advertisements and on packaging.
Consumers may learn to search for that image or logo when looking to patronize a business or purchase a product. In many cases, the appropriate use of a registered trademark can make the image and the brand synonymous to many consumers. Unfortunately, the success of a brand may inspire envy and misconduct in others. Frequently, companies that have developed successful brands need to be proactive about monitoring competitors.
Trademark infringement by another organization can eat into a company’s market share and damage its brand if consumers don’t realize that they have fallen victim to trademark infringement by an outside organization. Businesses that uncover trademark infringement may choose to take the matter to civil court.
How can litigation potentially help businesses negatively impacted by the unauthorized use of a trademark or attempt to confuse the public by using a similar image?
Preventing future infringement
Judges can impose numerous consequences on the infringing party. Frequently, if the plaintiff organization substantiates the claim that infringement occurred, the judge may issue an injunction. An injunction is a court order that instructs one party to cease certain activities. In a trademark infringement case, an injunction could effectively order the infringing party to cease using an image or logo. An injunction can also require that the infringing party destroy merchandise or packaging using the trademark of another business or with a confusingly similar image.
Awarding damages
Trademark infringement can reduce demand for the goods and services of the company dealing with the infringement. It can also limit the sales the company completes, as people may unintentionally buy the product offered by the infringing party instead of the legitimate product. In cases where there is documentation affirming the specific damages caused by the infringement, the courts may order the infringing party to compensate the trademark holder for the economic consequences of their misconduct.
Discovering that a competitor has infringed on a trademark is a frustrating experience. Business leaders may need help pursuing intellectual property litigation to limit the harm caused by trademark infringement, and that’s okay.
Subscribe To This Blog’s Feed