Legal Question in Business Law in California

Trademark question

If I have incorporated a company and have been doing business and making profits but never trademarked the company name and logo and someone else comes along and trademarks the name and logo do they now own the rights to my business and profits and do I now have to stop using that name and logo?


Asked on 12/08/08, 5:57 pm

4 Answers from Attorneys

OCEAN BEACH ASSOCIATES OCEAN BEACH ASSOCIATES

Re: Trademark question

No you have common law trademark rights. Contact me directly you may be entitled to statutory damages.

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Answered on 12/16/08, 2:25 pm
Michael Stone Law Offices of Michael B. Stone Toll Free 1-855-USE-MIKE

Re: Trademark question

They don't have the right to your business and profits, and the fact that you've been in business under your name counts for something, but you had better consult a trademark lawyer before you DO have to stop using your name and logo.

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Answered on 12/08/08, 6:11 pm
Terry A. Nelson Nelson & Lawless

Re: Trademark question

You're a little late trying to protect the name and logo now, against someone that did it right. You might have an argument about prior art and your use of the name to try to keep them from using it in your area, but it would be an uphill battle at the least. And, no they don't get your business and profits, but they might be able to force you to change your business name and logo, which would certainly affect you.

Talk to experienced counsel for his opinion on what remaining rights you have to the name and logo, and to see if it would be worth the expense and risks to try to pursue them.

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Answered on 12/08/08, 7:21 pm
Cathy Cowin Law Offices of Cathy Cowin

Re: Trademark question

They don't have any ownership rights to your company. You have a common law trademark that predates (presumably) their trademark; however, common law marks are geographically specific. Once someone gets a federal trademark, if you don't object to their application, they have a legal presumption that they have a valid trademark that is enforceable against all others. That does not mean that you can't demonstrate prior use, but it does make it difficult and expensive. Whether you're better off to change your name or try to negotiate or oppose would be a business analysis that would include a determination of what the good will associated with the name of your business (e.g. customer name recognition, etc.) is really worth.

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Answered on 12/08/08, 8:15 pm


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