More Godin on Trademark? The Sequel

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Last week we explored how at least some of Seth Godin's trademark advice is a bit dated.

This week, let's take a close and careful look at his advice concerning trademark registration:

Some lawyers will get all excited and encourage (demand!) that you register your trademark. This involves paying a bunch of money, filing a bunch of forms and earning an ® after your name instead of the ™. While the ® does give you some benefits by the time you get to court, it doesn't actually increase the value of your trademark. And you can wait. So, when you come up with a great name, just ™ it.

Actually, I've never met lawyers who "demand" that their clients register their trademarks. Strongly recommend, yes, and for good reason, yes, but demand, no. That is not a lawyer's role. Even inexperienced trademark lawyers know to explain the costs, benefits, and associated risks of pursuing or foregoing federal registration. Unfortunately, Mr. Godin appears to misapprehend all three.

We already have discussed the many and substantial benefits afforded to those who federally register their trademarks. These go well beyond what you have, "by the time you get to court." Indeed, in some instances, having the ® will avoid the need to go to court altogether, since the registration is actual proof of the claimed right and may be enough to move a squatter off your mark without even resorting to formal legal action. Good luck with that, if all you have done is "just ™ it." Moreover, in other instances, having the ®, can be the difference between continuing to use or expand the use of your trademark and not, so this is certainly more than "some" minimal benefit.

As to the risks, those who don't appreciate the value of a federal registration or the importance of filing prompt registration applications likely aren't aware of or don't understand this significant risk:

Now, some realize the importance of the protection, but in an effort to save or defer cost, they have considered holding off on filing a federal trademark application -- to see how the product does -- before making a final decision on the filing. If you or someone you know falls into this category, while I sympathize with your and their efforts to manage a tight budget, understand another risk that goes a step further than the risks already covered in the above-linked Create Magazine article.

To do so, after you have conducted the appropriate due diligence to clear use of the new name and mark, ask yourself how long it will take to get your product with the new name and brand in the stream of commerce and in the marketplace. Without the important benefit of constructive use relating back to the filing date of the federal trademark application, it is important to realize that your investment in preparing for the product launch may be lost altogether if another person or company files an intent-to-use trademark application, for a confusingly similar mark, even one day before you get to market with your newly named product. If this happens you and they may very well "see how the product does" with another name.

Now, as to the issue of cost, given the substantial benefits conferred and the substantial risks avoided, when those are recognized and understood, the financial cost of a federal trademark application seems well worth the $275 governmental filing fee toward the creation of an intellectual property asset of national scope.

Last, as to Mr. Godin's assertion that federal registration "doesn't actually increase the value of your trademark," he is simply wrong, so there you go. It stands to reason that national rights are worth more than local rights. Ask any party to a franchise agreement or even their informed bankers who loan money based on them.

Without a federal registration, rights are limited in geographic scope to those areas of operation where the use has been substantial enough to generate common law trademark rights. With a federal registration the trademark owner is deemed to have used his or her mark in every sliver, corner, and county of the U.S., as of the filing date, even though the trademark may never blanket the country with their goods or services. So, one need only consider the world of franchise relationships and trademark licenses to appreciate the enormous power and value a federal trademark registration brings to the table and to the bank.

Some other time, I'll explain some of the reasons for using the ™ symbol, but suffice it to say for now, doing so confers no legal rights. So, "when you come up with a great name" and you want to use it and have the best chance of expanding that use over time, as your business continues to grow, don't "just ™ it", instead, seek federal registration at the earliest possible opportunity.

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Seth Godin on Trademark?

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Seth Godin has an amazing knack for creating and spreading ideas that matter, mostly really good ones, by the way. I always look forward to his daily riffs and I have been known to spread some of his important ideas too when they overlap with things I happen to care a lot about.

When it comes to Mr. Godin's trademark advice, however, I'm not feeling it, sorry (that wasn't an apology either). Some of it is, well, lacking an indispensable quality. Even when it is accompanied by this witty disclaimer: "I'm not a lawyer. I don't even play one on TV. If you rely on my legal advice, you're getting exactly what you paid for."

The problem is, sometimes you end up getting much less than you anticipated and actually end up much worse off, when you follow down even a "free" path based on misunderstandings and misconceptions, at least as they relate to one's legal rights.

I'll never forget one evening watching Geraldo Live during the O.J. trial, more than fifteen years ago, as a young trademark lawyer. There was quite a stir about some trademark applications Mr. Simpson had filed for O.J. Simpson, Juice, and O.J., around the time of O.J. Simpson being charged with the murder of Nicole Simpson. I recall one of Simpson's defense lawyers, the brilliant constitutional lawyer Alan Dershowitz, rebuffing criticism about the trademark filings, unwittingly contending that Simpson never intended to use or benefit from those applications, he simply filed them to make sure no one else could. My jaw dropped when I heard this, because it provided a legal basis to immediately invalidate each one of the applications. In addition, had anyone followed this defensive "legal advice," their trademark filings would have been wasted money and considered invalid and void ab initio, since U.S. trademark law requires that an applicant must have a bona fide intention to use the mark on each and every good and service listed in the application.

Back to Godin on Trademark*, and even more recently, a couple of months ago Seth Godin wrote about how to protect your ideas in the digital age:

One way is to misuse trademark law. With the help of search engines, greedy lawyers who charge by the letter are busy sending claim letters to anyone who even comes close to using a word or phrase they believe their client 'owns'. News flash: trademark law is designed to make it clear who makes a good or a service. It's a mark we put on something we create to indicate the source of the thing, not the inventor of a word or even a symbol.

While there are certainly some greedy trademark lawyers in the world, and some that overreach on behalf of their client brand owners, even honorable and ethical trademark attorneys worth their hourly rate know that federal protection against dilution for truly famous marks was added to U.S. trademark law about fifteen years ago. At least for marks satisfying the difficult fame standard, these kinds of trademarks come darn close to owning the brand name in gross, that is, in connection with any goods or services.

For the garden variety and non-famous trademark, the scope of rights is defined by whether or not there is a Likelihood of Confusion.

With respect to what trademark law was designed for, and while I don't consider this to be a news flash any longer, well prior to dilution protection being added, U.S. trademark law was amended to make clear that much more than confusion as to source is covered. All the way back in 1962 the Lanham Trademark Act was amended by striking language requiring confusion, mistake or deception of "purchasers as to the source of origin of such goods and services." Moreover, a much broader scope of confusion protection was codified in 1989 in Lanham Act Section 43(a), which protects against trademark likelihood of confusion not only as to source, but as to affiliation, connection, sponsorship, association, and/or approval. This additional scope of trademark protection makes perfect sense given the current commercial realities of trademark licensing, franchises, co-branding, affiliate marketing, and OEM relationships.

I'm not saying Seth Godin's opinions about trademarks are Out of Bounds, I'm simply saying some of them are out of date.

With a little luck, and assuming I can get in enough time in front of my Stuart Smalley mirror between now and next week, I'll explore another misconception or misgiving it appears Mr. Godin has about the registration of trademarks:

Some lawyers will get all excited and encourage (demand!) that you register your trademark. This involves paying a bunch of money, filing a bunch of forms and earning an ® after your name instead of the ™. While the ® does give you some benefits by the time you get to court, it doesn't actually increase the value of your trademark. And you can wait. So, when you come up with a great name, just ™ it.

So, stay tuned.

A Marketer's Perspective: Questioning The Value of Coined Trademarks?

I’m thrilled to have this platform to vent about a long-standing beef: awkward, made-up product and company names. Trademark lawyers call them coined.

Among the worst offenders are automobiles, technology and finance. When I was a kid, cars had names like Roadmaster, Thunderbird and Catalina. Now a prospective car buyer has to wade through an alphanumeric sea of names like IS, GLK350 and FX35.

I don’t blame trademark lawyers … exactly. But the need for a strong, legally defensible name no doubt accounts for some of the odd lexicography we see.

I reserve most of my reproach for the naming consultants who come up with these clunkers and the corporate executives who think that a vague name containing an X will magically transform their company into a paragon of the new economy.

See if you can match these 10 names to the products or services they represent. Warning: One of them is a complete fake, made up by me!

1. Celero                                   a. dental insurance

2. Tolamba                               b. private mortgage banking

3. Onvio                                     c. oil and gas operations

4. Fortex                                    d. email relationship manager

5. Xobni                                     e. fake!

6. Opteum                                 f. motion control equipment

7. Contango                              g. trading software

8. Nexxar                                   h. wealth management services

9. Provantis                               i. money transfer services

10. Graxxion                              j. allergy treatment

Answers are below the jump.

Answers:

  1. c – oil and gas operations
  2. j – allergy treatment
  3. f – motion control equipment
  4. g – trading software
  5. d – email relationship manager
  6. b – private mortgage banking
  7. h – wealth management services
  8. i – money transfer services
  9. a – dental insurance
  10. e – fake!

John Reinan, Senior Director of Media Relations at Fast Horse

A Trademark Touch: Owning and Protecting Touchmarks

The October/November issue of Brand Packaging magazine just hit the streets and I'm deeply honored to say that my piece entitled "A Trademark Touch: Strategies for Owning and Protecting Touchmarks" is this issue's "cover story" (minus the skull and crossbones).

The digital version can be read here. I hope you find it eye-opening in a tactile kind of way.

By the way, I'd love some feedback on it.

What is your favorite touchmark anyway?

Assembly-Line Sports Marketing

In just 96 hours, John Sullivan could be hawking your products. That’s right, John Sullivan. Signed. Sealed. Delivered. No muss, no legal fuss. 

Wait a minute. Who’s John Sullivan? Well, for those living under a rock, he’s the first-year starter at center for the Minnesota Vikings, and a California company named Brand Affinity Technologies has figured out how to make him, and a handful of other mostly B-list NFL players, the newest wave in sports marketing.

Impossible! Can’t be done! John Sullivan hawking my products in just 96 hours? Yup, 96 hours. According to a recent article in the New York Times, Brand Affinity has streamlined the process of celebrity endorsements to something Henry Ford would be proud of. Contracts are standard. And so are the ad treatments, which are shot generically before you attach your brand to complete the campaign. Says a Brand Affinity spokesperson quoted in the article: “A company can contact a player, come to an agreement and the next day the ads could be up.” And it can all be done online.

Well, what fun is that?

Those of us who have toiled in the trenches of marketing recognize that the process of hammering out endorsement contracts and creating first-rate marketing with that newly minted spokesperson usually takes, shall we say, a bit more than four days. 

A well-thought-out contract should explore what’s possible, rather than close the door on the big idea. I’ll let you J.D.s list out all the other reasons why this cookie-cutter approach is flawed from a legal standpoint. From a marketer’s perspective, I view this as the equivalent of propping a brand next to a celebrity cardboard cutout. Sure, it’s good for a chuckle, but does anyone really believe you’re hanging out with that bikini-clad supermodel?

Effective marketing takes integration, collaboration and creativity. And those take time. With all due respect to John Sullivan, that can’t be accomplished by speed-dating your way through a bunch of B-list NFL players.

-Jorg Pierach, Fast Horse

One Risqué of a Bawls-to-the-Wall Marketing Style?

Have you ever experienced or observed marketing styles that might be fairly described as high-octane, fast-paced, or perhaps, so hopped-up on Red Bull® or some other energy drink, there is simply no time for meaningful collaboration, much less careful, proactive, strategic thinking or planning? Perhaps a fun, exhilarating experience, but what are the consequences?

If you have, as you might know first hand (or at least imagine), this style can seriously compromise valuable intellectual property rights and protection. You know when the trademark attorney gets the call if this style controls, right? Immediately upon encountering a serious and unfair competitive threat. But in many instances, this will be long after a coherent strategy might have been created, well after packaging is designed and introduced, well after marketing materials are finalized and distributed, long after websites have been launched, and well after all the unknowing, but self-inflicted damage is done. In some cases the resulting damage is manageable and can be repaired, other times it is not, and legal claims that might have been strong and viable suddenly have turned dead-on-arrival.

By way of example, perhaps you will recall my prior post about the Furminator and the lost intellectual property opportunities there?

In all fairness, the above-described marketing style may or may not portray the Bawls® Guarana energy drink brand, I can't know for sure, but seeing some of the brand's marketing statements -- after being drawn in by the brand -- has raised enough questions and goose bumps for me to at least wonder out loud.

Let's face it, the packaging is visually striking and begs to be handled like no other. Judging from reactions I have seen others have to the bottle, there is something about it that makes people want to touch it, feel it, or hold it, even if they don't end up consuming the contents.

What an amazing opportunity to engage multiple human senses and cement the bond of loyalty between consumer and brand. Indeed, the bottle design almost seems inspired by the teaching of famed Martin Lindstrom in his pioneer work on "sensory branding," entitled BRAND sense, but it appears to predate Lindstrom's 2005 masterpiece by almost a decade.

Although Bawls® brand owner Hobarama, LLC, has obtained a federal trademark registration for a number of visual elements combined together to form a specific trade dress concerning the bottle configuration, owning a purely tactile or touch trademark in the arrangement of the "bumps" element itself appears impossible now (and may even raise questions about the validity of the "bumps" aspect of the trade dress), given admissions already made in marketing materials: "The 'bumps' on the bottle are there to provide a grip so that it does not slip out of your hand when it is wet. And we think it looks cool." Cool looks are fine to tout, but not "non-slip" features, if trademark protection is desired.

Moreover, the statement "Our famous glass bottles are bumped to give BAWLS drinkers a non-slip-grip" seems commercially unnecessary, if not a subtle diversion for another possible explanation of the "bumps" given the risque' and double-entendre-laden brand name, but either way, the "non-slip" reference condemns any hope of a pure touch trademark based on the admitted functionality.

Why commercially unnecessary? Really, can you name another energy beverage brand that needs non-slip-grips in order to compete with Red Bull®?

I can't.

True Lies, Trademark Fraud, and the Medinol Detour

Trademark types: As promised, here are some of my more detailed thoughts and perspectives (at least for the time being) on the most significant trademark case of the year: In re Bose.

Thanks to Thomson Reuters for asking me to share them with their readers. I look forward to some great dialogue on the likely implications resulting from this long-anticipated trademark fraud decision.

Marketing types: An adversary's ability to cancel your company's trademark registration for fraud just got much more difficult with this important Bose decision. Basically, fraud means fraud again.

Instead of your adversary only needing to prove that you should have known that a material statement made to the Trademark Office actually was false at the time you made it (as was the law applied by the U.S. Trademark Office for the last six years), now, simple negligence is no longer enough to establish trademark fraud, instead, an actual intent-to-deceive the Trademark Office must be proven.

Having said that, despite this revived more difficult-to-prove fraud standard, it is as important as ever to treat the statements or representations you make to the Trademark Office as seriously as ever, and with the utmost solemnity, making sure you truly understand what you are signing so you can actually affirm the truth of those statements and representations.

It probably goes without saying that the apparent simplicity of the electronic trademark forms can be quite deceiving. So, there are no stupid questions when it comes to your understanding before signing electronic form documents that are submitted to the Trademark Office.

UPDATE: ExecSense Webinar on the Bose Decision, now available for purchase. Just so you know, all royalties due to me are being donated to The Ronald McDonald House Charity.

What Does "Trademarked" Mean to You?

 

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More than a few trademark types cringe when their clients or others say things like "let's trademark it," "they didn't trademark their logo," or "we don't want to trademark this name," and, when they ask questions like "is it trademarked?" or "is that trademarked software?" or "did we ever trademark our logo?" or "should we be trademarking this packaging?"

Indeed, some have written: “'Trademark' is not a verb. There is no such thing as 'trademarking' a word or phrase." Similar views are expressed here, here, and here.

Perhaps any cringing may result from the fact that the Lanham Act -- the federal trademark statute -- defines the word "trademark" as a noun, not a verb or adjective:

The term "trademark" includes any word, name, symbol, or device, or any combination thereof --

(1) used by a person, or

(2) which a person has a bona fide intention to use in commerce and applies to register on the principal register established by this chapter,

to identify and distinguish his or her goods, including a unique product, from those manufactured or sold by others and to indicate the source of the goods, even if that source is unknown.

Section 45 of Lanham Act, 15 U.S.C. 1127.

Turns out though, the words "trademark," "trademarked," and "trademarking," are recognized words with established verb meanings that have formed part of the English language: "(1) To label (a product) with proprietary identification; and (2) to register (something) as a trademark." Moreover, the word "trademarked" has an established adjective meaning too: "labeled with proprietary (and legally registered) identification guaranteeing exclusive use; 'trademarked goods'".

From my perspective, there is no need for cringing or even correction, just further inquiry into how the words "trademark," "trademarked," and "trademarking" are being used.

Given the various definitions for these words, the speaker might mean labeling a product or advertising material, utilizing or marking such materials with the appropriate trademark notice or symbol, registering a trademark or service mark, or perhaps, all of the above. Since the described actions (labeling and registering) are quite distinct, it becomes important to seek clarity on the speaker's intended meaning.

For example, when referring to labeling with proprietary notices, the TM symbol does not require any registration for its proper use, and its use does not even imply registration has been sought or achieved. It simply communicates that the owner of the trademark in question views the claimed mark as proprietary. Likewise, when the SM symbol is used, no registration is required, and none is implied by its use, it simply means the claimed service mark is intended by the owner to be proprietary.

On the other hand, federal registration with the United States Trademark Office is a requirement before one can use the above-depicted "R within the Circle" symbol in the U.S., and it means that the mark in question (either a trademark for goods, or a service mark for services) actually has been federally-registered -- having a pending registration application is not enough, the actual Certificate of Registration must have issued for the use to be proper and lawful.

Keep in mind, that the word "trademark" can have meaning either a noun or verb, should not be confused with our previous discussion of whether verbing trademarks and brands is a good idea: "Just so you know, in general, the law views brand names and trademarks as adjectives, not nouns or verbs, so kudos to Nancy Friedman of Fritinancy to recognize this important point." [For my previous Just Verb It? Series, see: Part I, Part II, and Part III].

Lion's Tap Shouldn't Have Sued. At Least Not So Soon.

A brief study in how the Lion's Tap could have had its burger and eaten it too.

I have to say, in the interest of full disclosure, I have an irrational love for the Lion's Tap.

Ever since I worked in Eden Prairie back in the 1990s, I've been hooked. Fast forward the better part of a decade, put our family a cool 35 miles away in Shoreview, and we still find ourselves driving nearly an hour on special occasions to grab a burger.

That's part of what made me so damn mad when I saw McDonald's latest billboards. Who's your patty? For Angus burgers? You've got to be kidding. Lion's Tap is "my" patty, thank you very much! They've had the slogan on their tastefully tacky t-shirts for over four years.

I thought about it though. I know Lion's Tap. But my guess is that only a small smattering of people do (perhaps 3-4% of the Twin Cities population if you were to survey). Who are they going to think came up with the slogan? And if they walked into Lion's Tap tomorrow, who would you think was ripping off whom? That's right. You guessed it.

It bugged me. I was a bit upset. I was ready to come to my restaurant's defense.

Until they sued.

You can read more here, but the fact of the matter is that Lion's Tap decided to run to the courts to remedy what is calls a trademark infringement case.

Here's the problem, instead of coming off as the victim (which you could argue Lion's Tap is), they come off as another coffee-in-the-crotch, show-me-the-money, lawsuit-happy opportunist. Just read some of the news stories and read some of the comments to see what I mean, here, here, and here.

Ick.

Let's explore what Lion's Tap "could have" done differently, and how it might have panned out.

Step 1: Calm down. I can't stress this enough. Righteous indignation is a dish best served carefully crafted. Yes, trademark infringement stings, and it can seem like a personal attack, but it is not. It's just business. McDonald's creative team could not have had an expectation of prior knowledge of Lion's Tap.

Step 2: Call the lawyer, but don't take off his leash [yet]. Your lawyer needs to understand the situation and begin preparing your case, but now isn't the time to act. Patience.

Step 3: Break out the digital video camera. Here's where you walk around your cozy little restaurant and ask your loyal customers what they think of McDonald's doing this to you. If they were like me, their candid responses would have been worth their advertising weight in gold.

Step 4: Get to YouTube. Post the video responses on YouTube. Right away. Start building a groundswell of support. Other people will make their own videos. People will comment. The videos would likely go viral quickly.

Why go though the trouble of Steps of 1 through 4 (instead of jumping ahead to Step 5)?

McDonald's -- your antagonist -- ends up looking pretty stupid, as though they copied someone else's good slogan. Or worse, they look like they're beating up on the little guy. There's no way Lion's Tap could pay for that type of positive exposure. Now, instead of a local hideaway, Lion's Tap could turn into a citywide sensation, introducing thousands of new people to the restaurant.

Now, Step 5: Sue the bastards. With public opinion behind you, now go after the money. No matter how it turns out, Lion's Tap would win. They win with broader exposure, they win with a reputation hit to McDonald's, and they could win a few bucks in court.  

Sorry Lion's Tap, you screwed up the "order". Only this time, you can't send it back.

Jason Voiovich, Principal and Co-Founder of Ecra Creative Group and Author of the State of the Brand weekly column

UPDATE: Here.

Twitter, Twitter Everywhere -- But Will They Own the Tweet?

For the last month or so I've been following the antics of Twitter as they attempt to assert rights to the word "tweet". Based on their completely inconsistent—one might even say schizophrenic approach, I feel justified in using the word "antics".

Until very recently, Twitter didn't seem to care much about what third-party apps were named. In fact, in a blog post from July 2009, founder Biz Stone said, "Regarding the use of the word Twitter in projects, we are a bit more wary although there are some exceptions here as well. After all, Twitter is the name of our service and our company so the potential for confusion is much higher. When folks ask us about naming their application with "Twitter" we generally respond by suggesting more original branding for their project. This avoids potential confusion down the line."

Note the phrasing: “suggesting more original branding”. What happens if the developers don’t take the suggestion? By allowing so many third party apps to use the name already, they’ve tacitly given permission for others to infringe on their trademark. If they then try to defend their trademark against the new filers, what can they say?

A look at the USPTO database reveals that although Twitterrific applied for a trademark in March 2009, they voluntarily dropped it in April, right around the time that Twitter started sending out cease and desist letters. Other applicants - Twitter Twail, TwitterTag, TwitterTool, and Twitter Package - still have active applications which have not yet been refused by the USPTO examiners.

But wait, what? Twitter's sending out C&Ds?

Dean Collins, developer of MyTwitterButler (a Windows Twitter app), received a C&D in August, which asked him to stop using the word "twitter" in his app name, along with a claim of violation of terms of services for the API. The letter says in part:

"As you are likely aware, Twitter's extensive and widespread use of its TWITTER trademark provides Twitter with strong and defensible rights in the mark, and has caused the mark to become well-known, if not famous, in today's online marketplace. Twitter owns trademark applications and registrations for its mark in the United States and numerous other countries for use in connection with its online services, which will provide Twitter with exclusive rights in the mark."

And here's where it gets more interesting. Collins posted the following comment to CNET on August 20th (SIC):

Speaking from personal experience www.MyTwitterButler.com was sent a C&D not only to change the name but cease selling the software that uses the Twitter API forever (which btw conforms to all of the daily account limits set by Twitter when using the API so that confuses us even more), however that's for another time.

My conciliatory gesture to Twitters legal representative was that I would be happy to rename my application www.MyTweetButler.com on the basis on Biz Stone’s blog post...only to be told that no Twitter wouldn't allow me to rename my application to Tweet as they also held the trademark to this as well.

So not only did they not want him to use "twitter", but they forbade him from using "tweet" as well! How does that work, exactly? Sam Johnston has written an excellent overview of the situation, so I'll summarize his points:

- In the same blog post in which he made the "suggesting more original blah blah blah", Stone revealed that Twitter was also trying to trademark the word "tweet" "because it is clearly attached to Twitter from a brand perspective".

- "Tweet" was essentially an organic term, developed by users, to describe a post on Twitter. Twitter itself, in its online documentation, says

Twitter always asks the question, "What are you doing?" Each answer to that question is considered a Twitter status update, or what people often call a "tweet."

strongly implying that it's not an officially sanctioned name.

- Twitter's application for the mark "Tweet" was filed in April of 2009 (remember, that's when those C&Ds started going out) but was initially refused in July. This was due to prior applications for marks containing the word "tweet": CoTweet, Tweetmarks, and TweetPhoto.

Speaking of trademark registrations, despite Twitter's attempts to assert some rights over "tweet" the applications keep coming in. Both Tweetalator and Tweet Beacon were submitted in July.

By the way, I checked with Collins at MyTwitterButler and as of August 25th, he told me "Apart from their lawyers stating I wasn't going to be allowed to just change the name to mytweetbutler.com there has been no progress. I’ve asked for them to specifically tell me what exactly my application is doing wrong against their API but am still waiting for more confirmation."

Let's get back to Stone's blog post. He says, regarding "tweet": [... W]e encourage the use of the word Tweet. However, if we come across a confusing or damaging project, the recourse to act responsibly to protect both users and our brand is important."

Twitter encourages the use of the word "tweet", which they demonstrated by sending out cease & desist letters and/or revoking Twitter accounts, even though Twitter's rights to the name is on shaky ground and they don't use "tweet" as an official word at Twitter, plus they've only just applied for a trademark but been initially refused, and they don't appear to be following up the threatening letters with any kind of action.

Seriously, it seems that Twitter can't make up its mind whether it should be nice to third party developers, or be big meanies. The key to good trademark protection - even if you don't have an actual registered trademark - is consistency. This means using the mark in a proprietary way all the time, not letting other folks get away with using it when you're not paying attention, and asserting your rights where you actually have some. Of course, Twitter needs to protect its intellectual property, but they should have had a strategy for how to do that early on, not as an afterthought. They own "Twitter", but should they prevent other people from using it? Are they really going to make Twitterrific, the most popular iPhone app for Twitter, change its name? Really?

Owning "Tweet", however, seems like a losing battle, and from the press I've seen, it's putting Twitter in a very bad light, especially from the developers' point of view.

Laurel Sutton, Principal Catchword Brand Name Development

CAFC Redirects TTAB in Trademark Fraud Ruling Today: In re Bose Decided

Today is a really, really big day for trademark types.

As many of us have been saying for a couple of years now, trademark fraud (i.e., fraud on the U.S. Trademark Office) continues to be one of the hottest issues facing trademark owners and the attorneys who represent them. Perhaps after today, not so much, but who really knows, we'll see.

For those not already plugged into the issue of trademark fraud, most mark the 2003 decision of the Trademark Trial and Appeal Board (TTAB) in Medinol v. Neuro Vasxas the starting point for a much lower, and easier to prove, standard of fraud.

After Medinol, if a trademark owner knew or "should have known" it made a material false statement to the Trademark Office, the entire resulting trademark registration was subject to cancellation at any time. Since then, and following the reasoning in Medinol, the TTAB issued numerous decisions granting opposition or cancellation of trademark applications and registrations on fraud grounds, causing trademark owners and their attorneys great concern with what many have called a strict liability standard, not one based upon an actual "intent to deceive" the U.S. Trademark Office. Most of these cases have fallen into the "overinclusive" goods and services category of fraud cases -- basically, cases having sworn statements that the applied-for mark is currently in use in connection with all of the listed goods and services, when in fact, something less than all the goods or services are actually in use with the mark.

For those interested on the development of the trademark fraud issue, here is a pdf of my slides for a talk I gave in January 2008, at LAIPLA's Washington in the West continuing education conference.

As some of you may recall, during several of my talks over the last two years, I have figuratively flashed a yellow light and cautioned that the CAFC -- the TTAB's primary reviewing court --  has not been heard on the subject of trademark fraud for quite some time, and it has not been clear to me that the CAFC actually would endorse the TTAB's easier to prove fraud standard in the Medinol line of cases. Today the CAFC weighed in on the subject.

Earlier today, the United States Court of Appeals for the Federal Circuit (CAFC) decided In re Bose, a long-anticipated decision on what it takes to establish fraud before the U.S. Trademark Office. In doing so, the CAFC flashed a red light, indicating the TTAB had read "too broadly" prior CAFC precedent that had mentioned the words "should have known," and it specifically reaffirmed "that a trademark is obtained fraudulently under the Lanham Act only if the applicant or registrant knowingly makes a false, material representation with the intent to deceive the PTO," and it further redirected the TTAB: "Unless the challenger can point to evidence to support an inference of deceptive intent, it has failed to satisfy the clear and convincing evidence standard required to establish a fraud claim."

So, after today, trademark fraud still exists, and it can be proven, provided it is "proven to the hilt," with "clear and convincing evidence," leaving "no room for speculation, inference or surmise," and so long as "any doubt must be resolved against the charging party." Basically, "deception must be willful to constitute fraud." [Here is a link to a pdf of the CAFC's Bose decision].

Hat tip to John Welch of the TTABlog for alerting his followers of the CAFC's decision published first thing in the morning today.

My more detailed perspectives about the CAFC's Bose decision will follow later.

Also, stay tuned, because we continue to await the CAFC's fraud decision that it is currently reviewing in Grand Canyon West Ranch, LLC v. Hualapai Tribe.

Securing the Desired Turf For A Trademark Battle

target-field

Let's talk turf today, two kinds. OK, maybe three.

First, with Target Field looking more and more like the long-anticipated brand new outdoor home ballpark for the Minnesota Twins, all Twins fans and the local media can think or talk about this week is the new real bluegrass blend turf being installed now (as I type this blog post, in fact, see live webcam here), as it was just transported from Graff's Turf Farms in Fort Morgan, Colorado.

Second, most are looking forward to saying goodbye to the artificial turf of the 27-year old Hubert H. Humphrey Metrodome, and have been counting down the final days for some time.

Last, and most importantly for the purposes of this blog, let's talk about the importance of legal turf.

Selecting the legal turf or forum where a trademark dispute or battle is fought in federal court is often a very strategic decision. Litigants not infrequently end up battling over where the dispute will be decided, long before even getting to the substance of their dispute. Certain aspects of the federal trademark laws are interpreted differently around the country, which can lead to what lawyers call "forum shopping," basically, making forum selections based on where the plaintiff believes his or her case will most likely receive a favorable judgment. Indeed, most companies who file trademark lawsuits would prefer to file them close to home (unless forum shopping benefits dictate otherwise), in their own backyard, for that perceived home field advantage, and, because the out-of-state defendant typically ends up needing to hire two sets of lawyers to defend, their usual trademark counsel and local counsel too.

The general legal rule is that the first to file a trademark lawsuit is the one who gets to select the turf where the battle will be decided. There are exceptions to this general rule, perhaps we'll explore those another time. For now, however, suffice it to say, being the first to file, often creates some helpful advantage or at least some leverage to bring the matter to a more favorable amicable resolution. The first-to-file plaintiff is able to make his or her settlement demand, with the comfort of knowing that -- if it is not accepted -- he or she already has secured the place for the dispute to go forward. If it happens to be a place where the defendant does not want to litigate, for one reason or another, this can facilitate perhaps better settlement terms for the first-to-file plaintiff.

Another thing that first-to-file trademark plaintiffs know is that simply filing the lawsuit doesn't mean that the court machinery automatically starts moving the case along. Although the filing of the complaint does "commence" the legal action in federal court under Federal Rule of Civil Procedure (FRCP) 3, the defendant has no obligation to answer until the complaint and summons are properly and formally served on the defendant. Moreover, FRCP 4(m) provides that the plaintiff can take up to 120 days after the filing of the complaint before he or she decides to actually serve the summons and complaint to trigger the defendant's obligation to answer. When the first-to-file plaintiff doesn't immediately serve the summons and complaint it probably signals that the plaintiff is interested in settlement, but it wanted to lock up the desired turf and battle location, if it eventually ends up being litigated instead of settled. 

You may recall a federal trademark case I reported on back in April, about 120 days ago, in fact, one with an incredible allegation of fame concerning Liberty Building Systems. Judging from the letter the plaintiff filed in court on the eve of the expiration of the 120 day period to serve the summons and complaint, it appears the parties were close to reaching a settlement at that time. Yesterday I was able to confirm that a Notice of Voluntary Dismissal now has been filed, so we'll never see decided how truly incredible the claim of fame might be.

Since the case was voluntarily dismissed with prejudice, we can only assume that the plaintiff became satisfied with what ever concessions it may have obtained from the defendant. Since the Liberty Steel Buildings website is still up, however, I'm not sure what those concessions might have been, if any. If anyone does know and can share, ringy-dingy please.

So, further evidence that most trademark cases settle, they never make it to trial, especially if the first-to-file plaintiff selects and secures the desired turf wisely.

Percolating over Trademark Enforcement

Recently, I stopped in a neighborhood coffee shop for an iced coffee. It was a fabulous little coffee shop in a neighborhood I don’t frequent and whose name I won’t mention. Anyway, while perusing the menu, I noticed they offered a blended coffee drink under the name Frappuccino.  Noting the teenager behind the counter, I did not feel it would be beneficial to provide a trademark tutorial or a warning as to how Starbucks would react to this use of its arguably famous trademark for identical goods. 

Sipping my delicious frozen beverage, I could not help thinking it would be a good blog topic to discuss the importance of trademark policing and enforcement.   Obviously, this is not always an easy task and these types of uses are especially difficult to detect.  In fact, Starbucks has been very active in protecting its trademark rights, even against small, mom-and-pop coffee shops which it discovers are using a similar name or logo mark such as Conga Coffee & Tea (similarly shaped green logo mark).  However, identifying an infringing name of a shop is one thing, but identifying an infringing menu item is a far more difficult task. 

 

Companies spend a lot of time and money developing brand names for products and services and many companies have hundreds of branded products in their portfolios.   An important part of branding is protecting those brands and companies need to determine how to best monitor their marks.  Employing a watch service is always a good idea for major brands and/or a company name.  However, the cost of a watch service is by the mark and can quickly add up if a company has numerous brands to protect.  Thus, a few suggestions as to steps a company can take to protect its marks include:

 

  1. Apply for federal trademark registration whenever possible;
  2. Proper and consistent use of the ® ™ symbols in connection with each and every brand;
  3. Undertake periodic Internet searches for potentially infringing uses;
  4. Create champions for your brand - highly loyal customers, distributors, retailers, and other partners, who will bring potential infringements to your attention;
  5. Internal education for employees to keep their eyes open and listen with an open ear when others bring potential infringements to light; and
  6. If you become aware of a potential infringement, take action sooner rather than later by sending a formal letter.  You may want to consider hiring a trademark attorney to send the letter; investing in a well written cease and desist letter will often pay off by putting an end to the infringement. 

Pros and Cons of Stand-Alone Non-Verbal Logos and Other Trademark Styles: A Legal Perspective

As promised earlier this week, in my post entitled "Without Words, But Not Speechless: More On Non-Verbal Logos That Can Stand Alone," here is my effort to identify, from a legal perspective, some of the pros and cons of non-verbal logos and other trademark styles. 

But, before addressing the legal implications, it is worth noting that a number of our insightful readers and commenters already have helped articulate a variety of pros and cons from a business and marketing perspective, here. By my count, there appears to be consensus on at least two important points: (1) Having an iconic stand-alone non-verbal logo or wordless trademark symbol is highly desirable, especially for truly international brands; but (2) be prepared to spend a lot of time, effort, and significant resources to achieve one.

In addition, at least one designer has written that having a logo without words "can be a big branding pain," for a variety of reasons. She identifies three basic logo styles: (1) Text logos; (2) symbol logos; and (3) combination logos. Examples of text logos would be the Coca-Cola script, the Yahoo! stylized word, and the Google stylized word, all three illustrated in my earlier post. The highly stylized Ebay logo is another good example of a text logo. On the other hand, the Shell logo, McDonald's Golden Arches, and the Nike Swoosh, are all good examples of symbol logos. In addition, here is a message board collecting a number of other possible candidates for symbol logos that are capable of standing lone -- without words -- yet, they still have a lot to say to consumers. Many of them, in fact, were mentioned by commenters to my prior post.  

Anyway, the designer referenced above contends that for a variety of reasons, combination logos often make the most sense. According to her, a combination logo "combines both a symbol and the company name. The symbol and text can be integrated together, side by side, or with one located above the other."

Generally, from a trademark owner and legal perspective, I prefer the combination logo too, but not the "integrated" type, instead the "side by side" type or the "one above the other" type. The Mercedes-Benz combination logo shown below nicely illustrates the "one above the other" type of combination logo:

Why do I generally prefer this type of trademark logo format and style?

Well, in general, this format and style is more flexible, easier to clear for adoption and use, easier to register and protect each element separately, and easier to enforce rights in both verbal and non-verbal elements.

With respect to enhanced flexibility, a trademark owner can elect to always use the verbal and non-verbal elements together, perhaps as a way of reducing the risk of infringing on another's prior rights in a mark perhaps similar to either the verbal or non-verbal element, or as Jack Cuffari commented, the combination logo is the "best-case scenario" because it is possible to "wean the symbol away from the name once research has proven that the target audience gets the connection, so that the symbol can be used alone, or in conjunction with the brand name."

Indeed, few symbol logos spring into existence without a history of having been used side by side with the underlying brand name, so, the symbol adopted by the "Artist Formerly Known as Prince" is probably the best exception to this general rule:

prince_symbol2  

With respect to ease of clearance, it is generally less of a challenge to clear physically separable combination logos over text logos or integrated combination logos, since the Mercedes-Benz verbal portion involves a straightforward word search, and the corresponding three-point star within a circle symbol involves a straightforward design search. In fact, it is often more difficult to obtain a comprehensive and reliable trademark search report for a proposed text logo or an integrated combination logo as compared to a symbol logo or a physically separable combination logo. Because of design coding challenges, it is easier for a trademark searcher to locate prior marks of potential concern when one's proposed logo comprises a stylized star or shell design than a text logo that may be unknowingly or unintentionally similar, not to the word, but to the color combination and lettering style employed by, say, Coca-Cola, Yahoo!, Google, or Ebay:See full size image 

 

 

For more information on the importance of trademark clearance, see my previous post entitled "Look Before You Leap! The Dangers of Not Clearing Brands Before First Use."

With respect to ease of registration, if the brand name is physically integrated and part of or even touching the non-verbal design elements, in many cases, the non-verbal design elements cannot be separately registered as a trademark. To register the non-verbal design elements of an integrated combination logo, it must be shown that those non-verbal elements actually perform a trademark function to indicate source separate and apart from the verbal element. This can be difficult to establish if the verbal element is always present within the design. On the other hand, the Trademark Office views a non-integrated combination logo as comprising at least three different marks, each of which may be registered alone: (1) The word or words; (2) the non-verbal symbol; and (3) the combination of verbal and non-verbal elements. By being able to register each element separately at the outset, even during a time when they are always used together, it facilitates the trademark owner's ability to eventually "wean the symbol away from the name" with added confidence. 

For more information on the importance and benefits of federal registration, see my previous post entitled "The Power of Federal Trademark Registration Remains Strong in Tough Economic Times."

With respect to ease of enforcement, assuming each element of a physically separable combination logo has been registered, enforcement is enhanced too, for the reasons already stated above. Having each element registered separately, eventhough they may only be used together, permits the Trademark Office to refuse registration of later marks that are confusingly similar to either the verbal or non-verbal element. In the event the Trademark Office doesn't see a conflict for some unexplained reason, the non-integrated combination logo format also enhances the trademark owner's ability to challenge registration of another's mark that may not be confusingly similar to the combined elements, but to one of them.

Is Twitter® "Following" Kool-Aid®, Mickey Mouse®, and Spam®?

twitterrificDownload-Spam Logo-

What does Twitter have in common with Kool-Aid, Mickey Mouse, and Spam? Maybe nothing, at least yet, but I predict that it will soon, unless Twitter retains some talented PR help in a hurry. Why?

The Kool-Aid, Mickey Mouse, and Spam brands all have spawned secondary or alternate and negative non-trademark meanings that have become part of the English language, meanings in each case that lack positive brand associations, to say the least. If Twitter is not careful it will find itself "following" the likes of Kool-Aid, Mickey Mouse, and Spam, and be in the similar undesirable position of tolerating language changes that distract from their brands and favorable brand messages, to be left watching others make generic use of their brand names to communicate a variety of ideas and meanings that are neither flattering nor brand building.

Kool-Aid "is a brand of artificially-flavored drink mix owned by the Kraft Foods Company," coined by inventor Edwin Perkins as "Kool-Ade" back in 1927. After being correctly or incorrectly associated with the 1978 Jim Jones cult-driven mass suicide known as the Jonestown Massacre, Kool-Aid has spawned an additional and negative non-trademark meaning:

"The saying 'Do not drink the Kool-Aid' now commonly refers to the Jonestown tragedy, meaning 'Do not trust any group you find to be a little on the kooky side,' or 'Whatever they tell you, do not believe it too strongly.' Fox News commentator Bill O'Reilly is famous for using the term in this manner."

"Having 'drunk the Kool-Aid' also refers to being a strong or fervent believer in a particular philosophy or mission — wholeheartedly or blindly believing in its virtues." So, based on these alternate and negative meanings, blogs like www.dontdrinkthekoolaidblog.com exist. I suspect that these non-trademark meanings of Kool-Aid have frustrated more than a few Kraft brand managers, marketing types, and lawyers over the years.

Mickey Mouse, the creation of Walt Disney in 1928, has become a valuable brand and icon of The Walt Disney Company over the last several decades. However, there are also pejorative uses of the brand name that Disney apparently has learned to tolerate: "'Mickey Mouse' is a slang expression meaning small-time, amateurish or trivial. In the UK and Ireland, it also means poor quality or counterfeit." Mickey Mouse is also defined as informally meaning "useless, insignificant, or worthless," and "trivial or petty."

Spam is a well-known, probably famous, brand of canned and processed meat, owned by Minnesota-based Hormel Foods. It was the butt of jokes in a popular Monty Python sketch, first televised in 1970, and as a result, years later the Spam brand name (coined in 1937) acquired an alternate and negative meaning within the world of electronic communications, namely, junk, undesired, or unsolicited e-mail. Something most people with a computer and e-mail account despise. Probably the only types who don't despise this kind of spam are those who flood the world wide web with it and perhaps those who build businesses and software products to combat the serious problem of spam e-mail. This alternate and negative meaning of Spam is so prevalent that software manufacturers have developed their own brands containing the once single-meaning Spam brand name. For example, SPAMfighter is federally registered for "computer software for eliminating unsolicited commercial electronic mail."

Now, back to Twitter, and to what some call "Drinking the Twitter Kool-Aid."

A possible connection between these four brands (Twitter, Kool-Aid, Mickey Mouse, and Spam) came to me after watching a Kevin Spacey discussion on The Late Show with David Letterman, where Dave and the Academy Award-winning actor discussed Twitter for over four minutes, in which "K-Spa" starts the discussion by admitting that his "business partner" made him "drink the Kool-Aid," that is, Twitter Kool-Aid, implying that the use of Twitter is kooky, or at least promoted by kooks. After more than four minutes of discussing Twitter, and despite touting his "over 800,000 followers" on Twitter, a hilarious Spacey appeared unable to make a compelling case for the beneficial use of Twitter, leaving Letterman to end the conversation by stating, "You know what it reminds me of, oh yeah, a waste of time." Apparently, Dave had harsher words for Twitter back on April 24 when he referred to it as "stupid crap." Others have dubbed it "permission-based stalking."

It appears that Letterman is not the first to have come to the same conclusion about Twitter being "a waste of time." Others, including our own Dan Kelly, certainly have questioned time spent using Twitter. Indeed, a search on Google for "Twitter waste of time" is so popular that it appears as a ready-made search phrase option on Google after typing the character string "Twitter wa" -- and this search query actually yields 30,700,000 hits. The number one hit on Google using this search query agrees that it is, "unless you use it in a way that isn't." Given this growing negative dialogue, one has to wonder, will the public embrace a new meaning of Twitter, basically, a single word replacement for the clunkier three-word phrase "waste of time"? Instead of frittering one's time away, might you be accused of "twittering" your time away, even if you're no where near a computer, handheld device, or cellphone? Will these alternate and negative "time wasting" meanings begin to appear in dictionaries, opening the floodgates to additional undesired uses that may be difficult or impossible to control?

I submit that there are plenty of uses that the law is simply not prepared to stop. Knowing which are which is, of course, important. In addition, this is where the close collaboration of marketers, trademark types, and perhaps most importantly, PR gurus is necessary and critical, to help brand managers prevent their brands from spawning alternate and negative meanings that can distract from or undermine favorable brand development and management.

Just Verb It? Part III: Testing the "Slippery Slope" of Using Brands as Verbs

Although intellectual property lawyers of the Dr. No variety may not like to admit it -- I submit that, not all slippery slopes are created equal. While some slippery slope cautions might prevent a few bumps and bruises in traveling along a particular path (e.g., the one on the left below), I suspect far fewer slippery slope cautions actually prevent life-ending falls from perilous cliffs (e.g., the one on the right below), yet other man-made slippery slopes specifically are designed for fun and enjoyment -- not danger -- and have generated enormous sales over the years (e.g., WHAM-O's SLIP'N SLIDE brand products).

      

 

 

 

 

 

 

 

 

 

 

So, putting aside Professor Douglas Walton's teaching that the slippery slope argument is "often treated as a fallacy," it is worth asking what brand of slippery slope most accurately represents the risk associated with marketers using their brands and trademarks as verbs?

As discussed in Part I of my Just Verb It? series, many marketers love the idea of having their brands embraced as verbs, but many trademark lawyers totally forbid any "brandverbing," i.e., "mis-using" brands (adjectives) as verbs: "Why? To prevent brand names and trademarks from becoming generic names and part of the public domain for anyone to freely use, even competitors."

No doubt, genericide -- the ultimate fear of using brands as verbs -- equals certain trademark death, a horrible result from both marketing and legal perspectives; but, I submit it doesn't necessarily follow that brandverbing activities automatically result in trademark death or genericide. To be sure, far more than a single act of verbing a trademark or brand must occur before a majority of the relevant consuming public no longer sees the claimed trademark or brand as identifying and distinguishing certain products or services as coming from a single source. Given this, there must be an opportunity to engage in some thoughtful and creative level of brandverbing without committing trademark suicide, right?

Unlike the kind of trademark abandonment that automatically results from the single act of non-use of a trademark coupled with no intention at that time to resume use of the trademark, the kind of trademark abandonment that is also known as genericide, in contrast, results from a gradual change in the meaning of a trademark or brand to an unprotectable generic term. A change that shifts the meaning -- understood by a majority of the relevant consuming public -- from identifying, distinguishing and indicating a single source for a particular product or service to a designation that connotes no single source at all, but instead, an entire product or service category with multiple unrelated sources.

As discussed in Part II of my Just Verb It? series, significant companies like Microsoft, Culver's Restaurants, and Yahoo! have all used at least some of their brands as verbs, so I asked "what do these companies know or at least believe that others on the 'straight and narrow' don't know or at least believe?" Perhaps they appreciate that not all slippery slopes are created equal? On the other hand, Yahoo! appears to have erased the brandverbed Do You Yahoo!? bumper sticker that I highlighted was being sold on the Yahoo Company Store website only five weeks ago. Does this signal a desire by Yahoo! to rethink or attempt to erase its brandverbing history? If so, there is some more clean up or erasing needed as other brandverbed items remain for sale there, such as the Do You Yahoo!? pencil, selling for 85 cents, described this way: "Our signature slogan makes a great statement on the classic BIC® pencil." So, Yahoo!'s "signature slogan" consists of a brandverbed phrase. This shouldn't result in trademark suicide, but we'll see how long this item lasts.

The New York Times certainly considers the "verbing up" of brands to be a timely and hot topic, as evidenced in Noam Cohen's July 18 article entitled "The Power of the Brand as Verb," where he reports: "It once would have been unthinkable for a company like Microsoft to encourage people to use its (Bing) brand name so cavalierly. Businesses feared that if their product name became a verb, then it would lose its individual identity." (My previous discussion of Bing, here).

Going forward, will companies like Tivo continue to utilize the slippery slope argument to forbid any amount of brandverbing? Or will they soften these kinds of black/white statements?: "Trademarks are never verbs. It is never permissible to use any of our trademarks as verbs." How about Palm? Adobe?

Given the apparent marketing and business value associated with having brands embraced as verbs, I submit that creative trademark types and marketers can and should work together to find ways of mitigating the extreme risk of trademark genericide without bowing to the slippery slope argument that forbids any brandverbing whatsoever. 

Stay tuned for Part IV of the Just Verb It? series, and my concluding thoughts about how to avoid or mitigate the risk of trademark genericide without embracing the slippery slope and resorting to black and white prohibitions on any and all brandverbing activities.

Rapala Fishing Lures: More Hits Than Google? Or, More Cats Than You Can Shake a Stick At?

Rapala Fishing Equipment: Cats

Rapala, the world's largest manufacturer of fishing lures has pleasured us with some pretty clever and creative advertisements over the years, a lot of them award-winning ads too. For example, Carmichael Lynch created the above billboard ad that over time gradually "attracted cats" to the billboard featuring a super-sized Rapala minnow fishing lure. Lots of cats, in fact, many more than you can shake a stick at, you might say, if you fancy idioms and don't happen to be fond of those feline types. Carmichael Lynch notes: "With simplicity and humor, we've helped the [Rapala] brand connect with its enthusiast audience and grow to be the undisputed market leader for fishing lures." This is simply delicious creativity.

More recently, however, the undisputed market leader for fishing lures is now using the brand name of the undisputed market leader for Internet search engines in Rapala billboard advertising, apparently to continue growing Rapala's fishing lure business. Although there are Twitter tweets and other mentions on the web referring to this new Rapala billboard ad, I haven't been able to locate an online image yet, so I'll have to take a picture of the one I have seen myself and post it here when I can. In the meantime, just picture the above billboard minus the cats (and minnow lure) and with this slogan in large prominent black type above the red Rapala logo: "More Hits Than Google". Is this new Rapala billboard ad one of the award-winning variety?

What does an Internet search engine have to do with a fishing lure anyway? Apparently, quite a lot, at least, in a macro sense. Successful ones from each variety are measured by the number of "hits" they are able to attract. Lures attract fish hits: "One of the greatest moments for any fishermen is when a huge bass 'hits' their top water lure". A search engine attracts Internet user hits to itself and various other searched-for websites and blogs: Hit means a "connection made to a website over the Internet or another network: Our company's website gets about 2,000 hits daily."

In any event, if there were awards given for ads that raise questions of interest to trademark types, then Rapala's "More Hits Than Google" billboard ad may be in the running for at least a (Dis)Honorable or Honorable(ss) Mention. As a trademark attorney, I am always drawn to and intrigued by ads that use the trademarks of others, especially those far outside the context of comparative advertising, where the justification to do so seems somewhat "fishy," or at least, more strained. They are particularly interesting to me because they raise so many questions for trademark types to wonder about.

Here are but a few questions to ponder: Why mention Google by name? Why mention any search engine by name? What would be lost by saying instead: "More Hits Than Your Favorite Search Engine?" Was the ad reviewed by legal? Was the ad cleared by legal? Note the difference between the previous two questions? Was Google asked for permission? Did Google grant permission? Is Google's permission needed? Does this use of the Google brand constitute nominative fair use? Does the ad suggest any sponsorship or endorsement by Google? Is the ad likely to confuse any consumers as to whether there is some sort of connection between Rapala and Google? Does your answer change to either of the prior two questions, knowing that Rapala billboard ads use a Google-like minimalist design having a stark white rectangular background with other minimal content centered in the white rectangle? Is Google aware? Does Google care? Does the ad contain a claim that requires substantiation? Would anyone take it literally? Does it constitute mere puffery? I could keep going, but you get the idea, right?

In case you're interested, still hungry, and not exhausted by all these unanswered questions, here are a couple of my prior posts discussing the use of another's trademark in advertising:

  1. Picking Levi's Pocket or Nominative Fair Use; and
  2. Using Another's Body to Sell Your Products? The Problem of Airbrushing Non-Traditional Trademarks.

 

Holiday Inn Lights It Up With a Pair of Non-Traditional Trademarks

Notice anything special about this pair of photographs featuring two different Holiday Inn front entrances? OK, putting aside that the one on the right -- with green lighting -- seems to have attracted, at least, a few cars, whereas the "blue light special" on the left appears to stage a full house with virtually every room light on, but ironically it reveals an empty parking lot.

                                   

Well, these aren't ordinary photographs, they are trademark specimens of use; Six Continents Hotels, owner of the Holiday Inn brand, claims that they depict a pair of non-traditional trademarks, having filed them with the U.S. Trademark Office in April 2009, and asserting that use of the "lighting" marks commenced back in January 2008. So, we aren't talking about the new H logo previously blogged about here or the old Holiday Inn word mark -- those are standard and traditional single-letter logo and word trademarks. In case you're wondering, no sign of any red or yellow lights for Holiday Inn, at least, on the Trademark Office database.

This is how Holiday Inn describes the claimed green lighting trademark:

"The mark consists of green lighting formed by four light fixtures placed in a symmetrical fashion near the entryway of the building. The lower set of two green lights are evenly placed on columns to the right and left of the entry way and direct the green lighting downward, while the upper set of two green lights are evenly placed on the building wall above the entry way and direct the green lighting upwards."

It took the Trademark Office only three weeks to issue registration refusals (green lighting refusal in pdf here).

Surprisingly, the Trademark Office did not issue an initial functional refusal as it typically does when trade dress and single color marks are claimed, which would put the burden on the applicant to establish non-functionality, but it nevertheless refused registration for the following reasons:

  • Non-distinctive three-dimensional configuration
  • Mere decoration or ornamentation
  • Acquired distinctiveness not shown
  • Customary in hotel industry to have lighting near entrances for illumination/security

Having said all that, the concept of protecting a lighting scheme as a trademark, even a colored one, even in the hospitality industry, is certainly do-able with early and close collaboration between trademark and marketing types.

They are not common, however, as evidenced by the Trademark Office's inability to locate a prior registration to bar approval of the Holiday Inn applications on likelihood of confusion grounds. Indeed, the only federally-registered non-traditional lighting mark in the hospitality industry that I'm aware of, despite some admittedly modest searching, is one I obtained for Mystic Lake Casino & Hotel more than ten years ago, covering "a formation of light beams resembling the conical framework of a tipi emanating from a circular source of light."

My humble prediction is that a strong showing of look-for advertising is what it will take for Holiday Inn to avoid having their green and blue lights simply burn out at the Trademark Office.

Holiday Inn has until November to respond to the initial registration refusals, so stay tuned here on DuetsBlog for further developments.

Thriving In A Speeded-Up World

Moore’s Law holds that the power of an integrated circuit will double every two years. That prediction, made in 1965 by Intel co-founder Gordon Moore, has proved remarkably durable.

The continued application of Moore’s Law has taken us in a few decades from crude transistor radios to handheld information devices packing more power than entire rooms of mainframe computers that sent the first spaceships to the moon.

And it’s unleashed an unprecedented burst of creativity, as the reach of the Internet allows people from around the globe to exchange information and build on each other’s ideas at dizzying speed.

I was reminded just how far we’ve come when I ran across a 1997 law journal article on trademarks and the Internet in the course of doing a little homework for this blog post.

The article seems impossibly quaint today, explaining the concept of linking from one website to another and using quotation marks to highlight such exotic terms as “homepage,” “hits” and Web “surfers.”

A key issue at the time, according to the authors, was cybersquatting: Internet users claiming rights to domain names that were identical to federally registered trademarks. However, they believed it had been effectively settled by recent court decisions on the topic.

The Internet has no doubt been both a great boon and a tremendous headache for trademark lawyers. On the one hand, it created an entirely new field of practice. On the other hand, I can only imagine the diligence required to regularly police the entire Web for trademark infringement.

We in marketing feel the effect of the Web constantly. Each week, it seems, brings new applications, new sites, new ways of organizing and delivering information on behalf of our clients.

I’m reminded of The Education of Henry Adams, a Pulitzer-winning memoir by the journalist, historian and descendant of two presidents. In his lifetime (1838-1918), Adams saw astonishing change, witnessing the growth of the United States from a largely Anglo-Saxon, insular and agrarian society to a multicultural industrial behemoth and world power.

Adams concluded that his classical education had left him unprepared to cope with these dynamic changes, and stressed the need for individual self-education.

We’re only beginning to see how the Internet will change our world, and anything I write today may look as quaint in a dozen years as the journal article I cited above.

Still, I’m convinced that all of us – trademark attorneys, marketers and virtually everyone else – should heed Adams’ advice.

We all need to take responsibility for our own self-education to keep up with the rapid changes around us. Stand still and you risk being left behind, wondering why nobody is interested in your stories about the latest cybersquatting case.

John Reinan, Senior Director of Media Relations at Fast Horse

Non-Verbal Logos That Can Stand Alone, And One That Can't

Even young children understand the power of brands and trademark symbols before they can read.

Years ago, when my children were at the ripe young age of wondering (and maybe caring) what my job was, I'd try to explain the kinds of things a trademark attorney might do. Of course, I didn't tell them some view trademark types as "the most basic figure." 

It took a while to find a message that stuck with them. What finally got through was when I posed a hypothetical question, asking whether they liked eating at the Golden Arches, and what they would think if they couldn't get a Happy Meal there because it wasn't McDonalds after all, but some other restaurant using the Golden Arches too. They were outraged this could ever happen.

So, the Golden Arches can probably stand alone.  

Here is another non-verbal logo that can truly stand alone:

Nike Swoosh logo

Yes, it functions as an exceedingly strong and probably famous brand and trademark with no further explanation or word mark to support it (and to not undermine my point, I’ll refrain from uttering the four letter brand name firmly linked to it in our minds).

What do you think about this one?

 

(As you may recall, Dan previously posted on a different topic related to this logo here).

I’d respectfully suggest that when the hang-tag attached to the luggage item bearing this logo is closely supported by a lot of words like SWISSGEAR, WENGER, and FROM THE MAKER OF THE GENUINE SWISS ARMY KNIFE, the logo is having a tough time standing alone and probably needs a trademark support group.

By the way, anyone notice the resemblance to the flag of Switzerland?

How about the International or American Red Cross?

Last thought, for now, concerning non-verbal logos, really:

Don't brand owners need to "name" their non-verbal logos, especially those that "stand alone," otherwise how can anyone spread the word, so to speak?

For example, Nike seems to have figured this out, owning federal trademark registrations for the word SWOOSH (in connection with footwear and clothing items), separate and apart from what is known as the "Swoosh" Logo. 

McDonalds similarly owns a federal registration for the words THE GOLDEN ARCHES for restaurant services.

I'm not sure there is a suitable, brief and unique name for the Wenger logo shown above, perhaps that is part of the reason for the "FROM THE MAKER OF THE GENUINE SWISS ARMY KNIFE" tag line?

Wenger describes their non-verbal logo in recent trademark filings this way: "The mark consists of a chrome colored cross on a red square with rounded edges, outlined by a chrome colored square with rounded edges."

I think this just proved my point.