If you can prove that the other company knew your company was using their name, you may be able to prove that the infringement was intentional. If intentional infringement is proven, the trademark registration of the other company may be deleted. For example, you want to form an LLC in New Jersey called “Marvelous Machine” but find out that there is already a company called “Marvelous Machines”. It is likely that the Minister of Foreign Affairs will reject your name because it is too close to the original name. The trademarks that a company uses in its business activities include the company name, logo and slogan. When these marks are registered with the U.S. Patent and Trademark Office, they are called trademarks. Registering a trademark provides a company with protection for its use in the United States. This means that other parties are not allowed to use a company`s trademarks when doing business. For example, your company may work in technology and a company with the same or similar name may work in the mining sector.
In this case, the consumer confounding factor is quite low. However, if two companies are in the same field or industry, such as two clothing brands with the same name, this could be a problem. If the other company registered the trademark before you first used it, there`s a problem. When a company registers a trademark, it is assumed that other companies have constructively indicated that the mark cannot be used. If you discover that this is true, you should settle the infringement lawsuit. Keep in mind that while your business name may be approved by Corporations Canada, it is always possible that another business is already using it, and in this case, it is your responsibility as a business owner to resolve disputes with other businesses. It depends on various factors. Let`s solve this dilemma of the same name by looking at three cases.
As a business owner, starting a business affects your entitlement to all facets of your business, including your business name. If the other company does web design or traditional marketing, the issue is controversial. Customers may be confused by names. You should consider billing. If a company can prove that it used the name first, there is a clear priority for that company. It could continue to use the name in its market. For companies operating in different states, this may or may not be a problem. If you chose a name used by an out-of-state business, consider the following before proceeding with the name. It is always possible for two different companies to have similar names as trademarks. For example, Delta Faucets and Delta Airlines obviously have similar names. However, the issue is driven by the potential for consumer confusion. If two similar brands are used in different industries in different markets, confusion is unlikely.
On the other hand, if two companies using similar brands operate in overlapping markets, priority will be an issue. In most cases, where two companies with the same or a similar name operate in overlapping markets and locations, the dispute is resolved through administrative proceedings with the U.S. Patent and Trademark Office or by a lawsuit brought by one of the owners. These cases can be costly for businesses, so it pays to find a way to settle the case amicably. Trademark laws help protect businesses from unfair competition by protecting logos, symbols, names and slogans that distinguish one company from another. The reason for this is that two companies operating with the same name or other identifying characteristics can cause confusion among consumers. One company may attract customers from another simply because the consumer cannot tell the difference between the two. You started your business four years ago and all is well when you suddenly receive a cease and desist letter. The letter informs you that you are using another company`s trademark – their company name. What should you do? The guiding principle of trademarks is to avoid confusion among consumers. If there is little chance that the accusing company`s customers will be confused by your use of a similar trademark, there is very little chance that there will be a trademark issue. The courts consider several factors, including whether consumers are likely to be confused by two companies operating in the same sector.
If the other company is a traditional company based in another state and doesn`t do much business on the internet, maybe you`ll be fine. However, you may not be able to perform similar services in the other company`s state. Because businesses are registered at the state level, it`s possible that your business has the same name as a business in another state. Trademark law is complicated, so it`s always a good idea to contact a trademark attorney if you have any questions or concerns about your company name. A lawyer will be able to conduct more thorough research and provide expert advice on whether you should use a particular trade name and whether and when to register a trademark. Trademark attorneys also ensure compliance with all legal requirements and deadlines throughout the trademark filing process.