law 227: trademarks & unfair competition trademark dilution july 2, 2009 jefferson scher
TRANSCRIPT
Law 227: Trademarks &Law 227: Trademarks &Unfair CompetitionUnfair Competition
Trademark DilutionJuly 2, 2009
Jefferson Scher
TM & Unfair Comp — Day 11TM & Unfair Comp — Day 11AgendaAgenda
•Trademark DilutionProtection for trademark rights even
in the absence of probable confusion“Dauntingly elusive” theory takes
numerous formsBlurring, tarnishment — other?
Overlapping and possibly conflicting Federal and State laws
DilutionDilutionTrue Property Rights in TrademarksTrue Property Rights in Trademarks
•Infringement = likelihood of confusion
•Dilution = likelihood of association that causes harmBlurringTarnishmentOther?
DilutionDilutionHow can a mark be “diluted”?How can a mark be “diluted”?
•BlurringDefinition: the association of a mark
with more than one source, even if:Goods/services are completely unrelatedJunior user has an equally good or better
reputationExample: POLARAID refrigeration and
heating systems, BACARDI jewelry
DilutionDilutionHow can a mark be “diluted”?How can a mark be “diluted”?
•Tarnishment (or disparagement)Definition: the association of a mark
with something unwholesome, unsavory or degrading, or “low class”Blurring at its worst
Example: CANDYLAND.com adult web site, DOGIVA pet food, STEIN-WAY clip-on beer can handle
DilutionDilutionHow can a mark be “diluted”?How can a mark be “diluted”?
•Other dilution scenarios?Unfair nominative use — like
tarnishment without the association with the junior user
.com domain names (may be obsolete)There are few bounds on the creativity
of lawyers and judges when a famous mark is being exploited “unfairly”...
DilutionDilutionDilution Scenarios — CasesDilution Scenarios — Cases
•Federal “association” casesNIKEPALGULPYCHEWY VUITONGREATEST SNOW ON EARTHIs it clear now??
DilutionDilutionDilution Scenarios — CasesDilution Scenarios — Cases
•State Dilution CasesGREATEST USED CAR SHOW ON EARTHLEXUS
•Federal Trade Dress DilutionHershey package designPepperidge Farms goldfish crackersVola “Falling water” faucet
DilutionDilutionDilution Scenarios — CasesDilution Scenarios — Cases
•Referential or nominative useTy Inc. v. PerrymanDeere & Co. v. MTD Products (NY)Hormel Foods v. Jim Henson Prod.
(NY)Caterpillar v. Walt Disney
(optional/online)
WHAM-O v. Paramount (optional/online)
DilutionDilutionDilution in the Trademark OfficeDilution in the Trademark Office
•Dilution can be a basis for oppositionLanham Act §2, after (f):
A mark which would be likely to cause dilution by blurring or dilution by tarnishment under section 43(c) may be refused registration only pursuant to a proceeding brought under section 13.
Not applicable to ex parte examination
DilutionDilutionTrue Property Rights in TrademarksTrue Property Rights in Trademarks
•Dilution reconsideredDoes dilution theory go too far?
Rights exceeding actual goodwill?Proper balance after the TDRA?
Social science and pseudoscience: economic and behavioral analysis
Uniqueness or lack thereof (optional Stadler)
TM & Unfair Comp — Up TM & Unfair Comp — Up NextNextTopics and Reading for Day 12Topics and Reading for Day 12
•We resume Tuesday, July 14th
•Rights of PublicityChapter 9, pp. 675-723
•ParodyChapter 12, pp. 838-873, 885-889Supplement pp. 92-95