Legal Question in Intellectual Property in Wisconsin
Use of a Domain name close to a registered trademark
In 2001 I registered a domain name, let's call it www.wigits4less.com and I stared a small business with it. Customers can search for specific wigits and then I tell them what company currently has the cheapest wigits. I then recieve a commission from the wigit seller they choose. 6-9 months after starting the business, I found out that my site/business was almost exactly the same as another site...www.wigits.com I didn't knowingly choose my name because of there name and I considered changing my name, but I already had myself somewhat established.
I recently recieved a letter from a law firm indicating that my company name and URL infringed upon another company's federal tradmark...''wigits'' (the company that owns wigits.com). They told me I had to stop using the domain name, advertising the name, and that I couldn't forward any traffic from the domain name because I am diverting sales and comprimising their marks effectivness.
Wigits.com does 60-100 times the business I do. I'm a super SMALL fish!
1. Does wigits.com have a case against me?
2. I may be willing to change names IF i can forward traffic..at least for a while. Do you think this would be acceptable?
3. What if I ignore them?
2 Answers from Attorneys
Re: Use of a Domain name close to a registered trademark
The answer to your 3 questions hinges on an analysis of who owns the trademark and whether it is a valid, exclusive trademark.
The trademark owner has all the rights, and the domain name usually follows the trademark. In other words, whoever owns the trademark can sue the competing domain name owner and even get its domain name.
However, the trademark might be nonexclusive in some circumstances. And if the mark is generic (i.e. names the product or service being provided), then there may be no trademark rights at all.
You should consult a trademark lawyer for further assistance. I've handled alot of cases like this.
Re: Use of a Domain name close to a registered trademark
I would definitely get a law firm to research this , render an opinion, and possibly send a letter to this company. Without further factual information, I could not say whether wigits.com has a case against you. However, as an IP attorney, I do not believe that you should give up any IP rights just because of a perceived threat.
I can give you some general information about IP-related law off the discussion list. You are welcome to e-mail me. This might ease some of your concerns. I am always willing to help people by arming them with information.
Good luck.
Lee