Legal Question in Intellectual Property in New York

Hello,

Would it be considered trademark infringement for a coupon website to use a trademark within the domain name, for example "pepsicoupons.com", under the following conditions:

-The website is used to discuss the product and/or refer visitors to sources of coupons for the trademarked product.

-The website states that it is not official officiated with the company/product.

-Has advertisements on the site that may be related to the company/product.

I assume that the trademark owner could force the website owner to relinquish control of the domain if they really wanted to, but if the domain was used in the above manner would the trademark owner be able to claim that the website was registered in "bad faith" and possibly claim monetary damages? Or would using the trademark in this way be considered fair use?

Thanks for your help!


Asked on 5/16/11, 10:51 pm

2 Answers from Attorneys

Nancy Delain Delain Law Office, PLLC

Trademark is about not confusing the consumer in the marketplace. Because Pepsi is a so-called "famous" mark (famous pretty much means what it says in this context), the surrounding aura is great; confusion could be found for things that have little, or even nothing, to do with the trademarked product. The consuming public, whom the courts believe to be remarkably unsophisticated for general-consumption items like Pepsi, would likely be found likely to be confused. Confusion = trademark infringement = big-time judgments against the infringer.

Sorry; even your use could well be considered to be infringing and the "fair use" defense would hold precious little water. And yes, Pepsi guards its marks and would likely go after you for trademark infringement.

Now that the question has been asked and answered, note that the plaintiff (Pepsi your example) could and very likely would go after the owner of this website for enhanced damages, including a trebled money judgment and their reasonable attorneys' fees.

THIS POST CONTAINS GENERAL INFORMATION AND IS INTENDED FOR ENTERTAINMENT PURPOSES ONLY. IT DOES NOT CONSTITUTE LEGAL ADVICE, NOR DOES IT CREATE ANY ATTORNEY-CLIENT RELATIONSHIP. FOR LEGAL ADVICE ON YOUR PARTICULAR MATTER, CONSULT YOUR ATTORNEY.

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Answered on 5/16/11, 11:36 pm
Kevin B. Murphy Franchise Foundations, APC

As a Franchise Attorney I agree with the other attorney answer and only add the following. "Fair use" is a possible defense to a claim of copyright infringement. It does not apply to trademark infringement. Consult with a good business or franchise attorney in your area for specific advice.

Mr. Franchise - Kevin B. Murphy, B.S., M.B.A., J.D.

Franchise Foundations, a Professional Corporation

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Answered on 5/17/11, 6:54 am


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