Posts Tagged: "abandonment"

Ready for 2021?  Beware Non-Use of Your Trademarks in 2020

Some businesses, as a result of the pandemic, have been pressed to discontinue manufacture or sale of products or have otherwise limited the scope of their business activities. As a result, in 2020 the use of one or more of the trademarks owned by your business may have stopped. Under U.S. trademark law, in the fifth year of a trademark registration term, and every ten years thereafter, a post-registration maintenance filing at the USPTO is required (e.g., evidence and a sworn statement about continuous trademark use in U.S. commerce). If sustained discontinuity of trademark use has occurred what options are available to keep a trademark registration active?

Weak Chinese Patent Applications and China’s Burgeoning Patent System

Bloomberg recently published an article providing data analysis on Chinese patent applications to claim that, while China receives more patent applications than any country, “most are worthless.” If you were trying to usher in a culture change, moving from no patent system just a few decades ago to a thriving and high functioning patent system, you would look to incentivize your own citizens and corporations to file patent applications. That is precisely what China has done and is continuing to do. Thus, the mantra about Chinese patent applications being worthless, or nothing of a concern because they are overwhelmingly only filed in China, completely misses the enormity of the change taking place in China, and why it bodes well for the Chinese moving forward.

Trademark Food Fight: Did In-N-Out Burger Abandon the Triple Triple?

Smashburger asserts that In-N-Out stopped using the Triple Triple mark and thus, abandoned its rights, when the triple meat, triple cheese hamburger was rebranded as the 3X3 hamburger over three years ago, the generally understood benchmark for abandonment of rights. And, in my research of In-N-Out’s archived web pages, as far back as 2012, In-N-Out appears to have done exactly what Smashburger asserts – it replaced the Triple Triple hamburger from its Not-So-Secret Menu with the 3X3 hamburger. Magically, references to the Triple Triple mark reappear on its Not-So-Secret Menu in early September of 2017, right after Smashburger sought to cancel In-N-Out’s Triple Triple registration. This leapfrogging of rights may be the saving grace to Smashburger’s rights in its Triple Double mark.

CAFC Vacates TTAB, Refuses Bright-Line Rule to Distinguish Software from Services Rendered

The Federal Circuit vacated the Trademark Trial and Appeal Board’s (“Board”) cancellation of two JobDiva service mark registrations—one in whole and the other in part—and remanded for further consideration. As the Court pointed out in its opinion, JobDiva could have avoided the issues in this case by initially registering “marks to identify both software and services performed by software.” Practitioners should take care to register a mark for all goods and services for which the mark may be used.

TTAB Agrees with Parents Everywhere: Children do not hold the Control—Noble House v. Floorco

Subsidiaries of larger companies who are preparing to file a trademark application may want to think twice before deciding who to list as the Applicant. In April 2016, The United States Patent and Trademark Office’s Trademark Trial and Appeal Board (TTAB) issued a precedential decision canceling the trademark registration of a subsidiary because the parent company was the only one using the mark… Given the outcome of this cancellation action, companies with multiple entities should be on alert. Companies should first confirm that the entity actually using and controlling the mark is the one listed on the registration. If not, to avoid cancellation of the trademark, the entities should consider entering into a trademark license or an assignment.

Third-Party Use of Similar Marks Relevant to Strength of Opposer’s Trademark

The Federal Circuit explained that evidence of third-party use bears on the strength or weakness of an opposer’s mark. In this case, which arose as an appeal from the TTAB, the evidence demonstrated“ubiquitous use of paw prints on clothing as source identifiers. According to the Federal Circuit, given the widespread use of paw prints, consumers would know to look for additional indicia of origin rather than just the paw designs. The evidence, therefore, demonstrated that consumers are not as likely confused by different, albeit similar looking, paw prints.

Zombie Trademarks: Bringing a Trademark Back From The Dead

Unlike patents and copyrights, a trademark can exist in perpetuity so long as it is being used. And a mark has to be used to stay alive. But sometimes, and for a variety of reasons, a company will stop using a mark. This is known as “abandoning” it. A trademark can be abandoned while the application is still pending or it can be abandoned later after it has been in use for some time. Abandonment can happen for a few reasons, for example, failure to respond to an Office action or for failure file a required affidavit. But today, we’re talking about abandonment for non-use. Abandonment can be a tricky concept, but in terms of non-use, a trademark will be abandoned when an owner stops using it with no intention of resuming use of the mark. But abandonment is not necessarily permanent, hence the zombie nickname. A once dead trademark can spring back to life if a few conditions are met.

Making Progress with Difficult Patent Applications

Some patent applications are difficult to get agreement on. The examiner won’t allow and the applicant won’t abandon. The net result is that office actions and responses go back and forth with no apparent resolution in sight. We propose that progress with these difficult patent applications can be tracked by looking at two separate but interrelated metrics, “applicant effectiveness” and “examiner effectiveness”. These two metrics can then be used to diagnose and correct problems in patent prosecution and examination.

Breakthroughs & Abandonment: Patent Abandon Rate is a Reliable Measure of Speculative Portfolios

Abandons per action can be interpreted as a level of speculation in applications. Applications that have high abandon rates are highly speculative. Most of the inventions described in these applications ultimately have little value and the applications are abandoned quickly. If a portfolio of speculative applications as a whole, however, has value, then that value is concentrated in a few “breakthrough” applications. For some investors, this is a very desirable characteristic and they may wish to seek out portfolios with high abandon ratios.