Trademarks I Introduction to Trademarks Class 19 Notes Law 507 | Intellectual Property | Spring 2004 Professor Wagner Today’s Agenda 1. Intro to Trademarks 2. Trademark Theory 3. The Subject Matter of Marks 4. Registration Procedures 2/10 Introduction to Trademarks • Trademarks are a relatively ‘newer’ doctrine, with much growth in the 20th century. (Why?) • Statutory basis: • Lanham Act, 15 U.S.C. et seq. • Note: does not necessarily preempt related state laws o Trademarks o ‘Unfair competition’ o Rights of publicity, etc. • What is the ‘term’ of a trademark? 3/10 Trademark Theory 1. Who benefits from trademarks? How? 2. What, precisely, are the social benefits of trademarks? (What things does it stimulate?) 3. Consider how trademarks do the following: • • Lower consumer search costs Enhance product quality 4. Why is branding especially important where aspects of the product cannot be verified? 5. Consider the case of pharmaceutical drugs: is branding socially beneficial? 4/10 Trademark Theory (2) What is goodwill? How do trademarks support the development of goodwill? • Won’t companies have incentives to create goodwill even without trademarks? Consider: • What are the ‘costs’ of trademarks? • Are there other ways we could generate the same benefits without extending the property right? (Will these necessarily require government intervention?) • Much recent criticism of trademarks is related to their increasing power across a variety of products (‘leveraging the brand’). How troubling is this trend? 5/10 The Subject Matter of Marks Basic point: trademark protection depends upon the ‘strength’ of the mark • A hierarchy of strength: (Why this order?) 1. Arbitrary marks 2. Suggestive marks 3. Descriptive marks 4. Generic marks 6/10 The Subject Matter of Marks 15 USC § 1127 Trademarks: word, name, symbol, device, or any combination thereof … to distinguish goods from others and indicate source o Why the requirement for ‘use’ or ‘intent to use’ in commerce? Service mark: same as trademarks, but identify services. Trade names: identify companies, not products (no traditional trademark protection, though perhaps state law protection) 7/10 The Subject Matter of Marks Qualitex Co v Jacobson Products Co., Inc. (1995) • What does the court suggest is the test for whether particular types of subject matter can be trademarked? • Consider the following objections to colors as marks: o Uncertainty concerning infringement o A limited supply of colors (Should the court be concerned that there are physical limitations on the numbers of colors perceptible by humans? Why or why not?) o Functionality o Irrelevance: use a logo with color, etc. instead QuickTime™ and a TI FF (Uncompressed) decompressor are needed to see this pict ure. 8/10 The Subject Matter of Marks Certification Marks: • What are certification marks? • How are they truly different from trademarks? Collective Marks: • What are they? • How are they different from trademarks? Trade Dress and Product Configuration • What do we mean by trade dress/configuration? 9/10 Next Class Trademarks II Establishment of Trademark Rights 10/10