trademarks rights vs. free speech

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T®ADEMARK RIGHT T®ADEMARK RIGHT$ versus FREE SPEECH A contrarian view A contrarian view © Ronald D. Coleman GIBNEY, ANTHONY & FLAHERTY, LLP • New York, NY

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Presentation from December 2000 INTA "Trademarks in Cyberspace" panel

TRANSCRIPT

Page 1: Trademarks rights vs. Free speech

T®ADEMARK RIGHTT®ADEMARK RIGHT$versus

FREE SPEECHA contrarian viewA contrarian view

© Ronald D. ColemanGIBNEY, ANTHONY & FLAHERTY, LLP • New York, NY

Page 2: Trademarks rights vs. Free speech

Ronald D. Coleman GIBNEY, ANTHONY & FLAHERTY LLP New York, NY

First PrinciplesThe First Amendment

“Congress shall make no law…”

Axiom: Trademark rights are a limitation on “speech” (expression)

T®ADEMARK RIGHTT®ADEMARK RIGHT$ versus FREE SPEECHFREE SPEECH

Page 3: Trademarks rights vs. Free speech

Ronald D. Coleman GIBNEY, ANTHONY & FLAHERTY LLP New York, NY

[W]e cannot indulge the facile assumption that one can forbid particular words without also running a substantial risk of

suppressing ideas in the process.

Cohen v. California, 403 U.S. 15, 26 (1971)

First Principles

Page 4: Trademarks rights vs. Free speech

Ronald D. Coleman GIBNEY, ANTHONY & FLAHERTY LLP New York, NY

First Principles

Courts are not to stake out new territory in the trademark domain at the expense of curtailing the

ability of a speaker to communicate his

message.

Rogers v. Grimaldi, 875 F.2d 994 (2d Cir. 1989)

Page 5: Trademarks rights vs. Free speech

Ronald D. Coleman GIBNEY, ANTHONY & FLAHERTY LLP New York, NY

In determining the outer limits of trademark protection the weight of the risks of confusion and suppression of

expression may tip the scales against trademark protection.

Silverman v. CBS, Inc., 870 F.2d 40, 49 (2d Cir. 1989)

First Principles

Page 6: Trademarks rights vs. Free speech

Ronald D. Coleman GIBNEY, ANTHONY & FLAHERTY LLP New York, NY

Courts are to be particularly reluctant to issue an injunction, even in a Lanham

Act case, where there are delicate questions implicating First Amendment

rights.

Stop Olympic Prison v. United States Olympic Committee, 489 F. Supp. 1112,

1123 (S.D.N.Y. 1980)

First Principles

Page 7: Trademarks rights vs. Free speech

Ronald D. Coleman GIBNEY, ANTHONY & FLAHERTY LLP New York, NY

First Principles

A trademark may frequently be the most effective means of focusing attention on the trademark owner or its product, the recognition of exclusive rights encompassing such use would permit the stifling of unwelcome discussion, and is forbidden.

United We Stand Am., Inc. v. United We Stand, Am. N.Y., Inc., 128 F.3d 86, 92, n.3 (2d Cir. 1997), cert. denied, 118 S. Ct. 1521 (1998)

L.L. Bean, Inc. v. Drake Publishers, Inc., 811 F.2d 26, 31-33 (1st Cir.), cert. denied, 483 U.S. 1013 (1987)

Mutual of Omaha Ins. Co. v. Novak, 836 F.2d 397, 402-03 n.8 (8th Cir 1987)

Page 8: Trademarks rights vs. Free speech

Ronald D. Coleman GIBNEY, ANTHONY & FLAHERTY LLP New York, NY

COMMERCIAL SPEECHCOMMERCIAL SPEECH

Communication of information, expression of opinion, recitation of grievances are all deserving of constitutional protection, and are not commerce.

New York Times Co. v. Sullivan, 376 U.S. 254, 267 (1964).

Page 9: Trademarks rights vs. Free speech

Ronald D. Coleman GIBNEY, ANTHONY & FLAHERTY LLP New York, NY

Page 10: Trademarks rights vs. Free speech

Ronald D. Coleman GIBNEY, ANTHONY & FLAHERTY LLP New York, NY

SOLE purpose of SOLE purpose of expressionexpression

Component parts of a single speech are intertwined Information is not transformed into commercial speech, even if money is

involved. Less protection Rationale, Central Hudson Gas & Electric Corp. v. Public Service Commission

“Four” part test Liquormart v. Rhode Island “misleading” commercial speech is not protected

Prevention of misleading expression No First Amendment protection

False advertising Traditional trademark infringement

Page 11: Trademarks rights vs. Free speech

Ronald D. Coleman GIBNEY, ANTHONY & FLAHERTY LLP New York, NY

Problems: Trademark dilution

statuteExpansion of trademark rightLimited liability for dilution

Applies only to “famous marks” News commentary is also exempted Noncommercial speech is exempted

Two influential casesPlanned Parenthood Fed’n of Am. v. BucciJews for Jesus v. BrodskyAntidilution: Blurring or Tarnishment

“Blurring and “Tarnishment”

Page 12: Trademarks rights vs. Free speech

Ronald D. Coleman GIBNEY, ANTHONY & FLAHERTY LLP New York, NY

Antidilution Occurs when…

Plaintiff’s marks appear on plethora of goods Necessary to evaluate overall

impression as a wholeBlurring analysisClear in context of mark’s use

Blurring in Brodsky?Tarnished Jews for Jesus

mark Tarnishment in Brodsky?

Hershey’s

Teletech

Mar’s

Page 13: Trademarks rights vs. Free speech

Ronald D. Coleman GIBNEY, ANTHONY & FLAHERTY LLP New York, NY

Problems:Problems: Trademark infringement, and more on Brodsky

Likelihood of confusion? Stylized mark - No star in domain name

Prohibits use “in commerce”“In commerce” is akin to “commerce

clause”

§ 32 Liability, Section 1114 § 43 Liability, § 1125 claim Protecting The Thoughtless Consumer

Page 14: Trademarks rights vs. Free speech

Ronald D. Coleman GIBNEY, ANTHONY & FLAHERTY LLP New York, NY

Page 15: Trademarks rights vs. Free speech

Ronald D. Coleman GIBNEY, ANTHONY & FLAHERTY LLP New York, NY

Protecting The Protecting The Thoughtless ConsumerThoughtless Consumer

The Lanham Act Second circuit explanation

Use of a domain name (1996-1998)

Brodsky case: Represents high watermark of argument Planned Parenthood Web site Brodsky Web site Pre-Brodsky argument

Page 16: Trademarks rights vs. Free speech
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Page 20: Trademarks rights vs. Free speech

Ronald D. Coleman GIBNEY, ANTHONY & FLAHERTY LLP New York, NY

Likelihood of Likelihood of ConfusionConfusion

Predominant rationale: Initial interest confusion

Traditional usage of Initial Interest confusion Teletech, supra, 977 F. Supp. At

1414 Checkpoint Sys. V. Check Point

Software Techs Syndicate Sales v. Hampshire

Paper Corp.

Page 21: Trademarks rights vs. Free speech

Ronald D. Coleman GIBNEY, ANTHONY & FLAHERTY LLP New York, NY

What Do You What Do You Think . . .Think . . .

Is the damage to the First Amendment done by these decisions significant?

Will the Supreme Court ever speak on these issues?

Should the trademark bar urge Congressional action?

Or will the problem just "heal itself"?

Page 22: Trademarks rights vs. Free speech

QUESTIONS?QUESTIONS?Where’s thebathroom?