Causes Of Action For Trademark Infringement
Trademarks provide legal protection for certain terms, logos, images and other symbols used by companies for running their business. They not only ensure that the consumers are not puzzled by counterfeit products but also permit the trademark owner to take action against fraudulent persons or firms, who try to copy the mark to make a profit out of it.
The two main reasons of action brought under trademark law are dilution of the trademark of a renowned firm and chance of misunderstanding by the customers.
The infringement caused by dilution of the trademark involves purposeful actions on part of other companies or persons that will lead to affecting the uniqueness of the mark of an established firm, which in turn would reduce the reputation of its goods in the market. For instance, if the trademark of a shoe polish manufacturer significantly resembles that of a popular food manufacturer, customers might think that the company is moving away from its core product, which might adversely affect its perceived quality.
The violation based on likelihood of misunderstanding arises when two trademarks are identical or so similar that the consumers can’t distinguish between them. The confusion could be about anything from the features of the product to its exact source. The underlying assumption behind such a violation is that an ordinary customer cannot be expected to keep in mind the precise details of all the products in the marketplace. In such a case, a violation of trademark would have major potential to cause financial damage to the firm that owns the original trademark.
However, there are many other claims that are possible in terms of trademark infringement. One such claim is where legal action is brought because another company is projecting its goods as if they were created by the owner of the trademark. Similarly, the trademark owner can also allege unfair competition and other trade malpractices.
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