Legal Question in Business Law in California
Trademark Infringement
When a company name like
Professional Golf Tour is established
with a logo PGT, can another company
start a Ladies Professional Golf Tour
with a logo of LPGT without being
legally challenged for trademark
infringement.
2 Answers from Attorneys
Re: Trademark Infringement
Depends on many factors. Merely having a logo and embroidering it on golf shirts creates few enforceable trademark rights. The PGT shoulf retain an experienced trademark attorney to search and register the mark. Also, the name "Professional Golf Tour" could be challenged as "descriptive." For example you can't trademark the words "ice cream" or "vehicle" because it is the generic term that describes the item -- maybe a court would find this is also true for professional golf tours. If PGT is not a descriptive term the question then becomes whether or not LPGT is infringing. The test is whether there is a likelihood of confusion on the part of consumers. All of the above assumes a court decision on the merits. In real life, you just get sued; and whoever has the most money for legal fees, expert witnesses, etc. has the upper hand.
Re: Trademark Infringement
Sure, you can be legally challenged. Whether you will win or lose in court is another matter. If Professional Golf Tour and PGT are registered trademarks, the outcome will hinge upon whether Ladies' Professional Golf Tour and LPGT are infringing.
This in turn depends in large measure upon whether there is a "likelihood of confusion" in the minds of consumers of the products. "Confusion" is not limited to mixing up PGT and LPGT, which I think is not too likely; it includes the possibility that consumers will be led to believe that there is a business connection between them, e.g., that one is an affiliate or subsidiary of the other. This is perhaps more likely.
The danger is that the cost of litigation to determine whether infringement exists may be quite a burden on the defendant, even if it prevails at trial.
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