What Is Trademark Infringement And How Can It Harm A Business?




Almost every well known company across the world will have or employ a unique phrase or logo that is utilized only by them. This phrase or sign is commonly employed by the company to differentiate its products, services or business on legal paperwork or in the eyes of the customer.

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When you look closely at a trademark, there is going to be a superscribed symbol after it such as TM that refers to an unregistered trademark, SM that identifies a service mark or a capital R inside a circle that identifies a registered trademark. The owner of the trademark is required to register his sign or logo with the right governmental authorities and then it will become his exclusive property.

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Exactly What is Trademark infringement and How Will It Damage A Business?

Infringement occurs any time another business or individual makes use of a trademark which is comparable to a well registered trademark for similar services. The holder of the trademark may then begin legal proceedings against the infringer to restrict or prevent using the trademark. If the imitated trademark is not exactly the same, the parent company can nonetheless commence legal proceedings to safeguard their trademark by employing a legal recourse referred to as likelihood of confusion.

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According to this particular law, courts are going to evaluate the imitated trademark for its strength, proximity in products to the parent business, similarity in marketing and product sales, type of products and likelihood of company expansion to determine if the trademark has been infringed on or otherwise. In accordance with the subsections of the Trademark Act of 1999, even verbal representation of the trademark by the competitor can be deemed as infringement by the courts. By copying the trademark utilized by a notable business or mimicking it, the rival is really cashing in on the active brand name, customer base and product sales of the parent company and this just isn't legal.

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Is Trademark infringement and Passing Off the Exact Same?

Passing off will also be viewed as a component of trademark violations. The exact limitations of passing off have not been plainly delineated by the courts. The most common understanding is the fact that when the infringement is in a way that consumers have problems in choosing the parent firm, then the parent company's legal rights have been violated. This will come about only if the competing firm is making use of a trademark that is the exact same or deceptively similar to the registered trademark. Also, in passing off, the competitor firm's products and services will not need to be precisely the same as that of the parent business for the courts to inflict a penalty.

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Please take note, though, that courts possess a substantial amount of flexibility when they are ruling on trademark infringement, passing off and trade dress and color cases. We advise that you contact a professional before you consider taking your case to court.

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