In: Finance
list and define the classic factors that a court must weigh when determining whether there has been a trademark infringement that warrants an award of damages and an injunction
First, Let us understand what a trademark infringement is
Trademark Infringement:
A Trademark is a license, which allows the owner to have exclusive rights over its usage.
When some third-party starts using that registered trademark, without any authorization from the owner, then it is a clear cut case of Trademark infringement.
The registered company is called as the Senior user, and the alleged copier is called as the junior user
Factors considered are
1) How distinctive the mark of the senior user is : If the strength of the mark is weak, the courts might let it slide
2) The level of similarity between the two trademarks in question : If the marks are similar in every aspect, courts might deem they will cause confusion
3) The level of similarity between the products/ services of the two companies in question: The main factor for infringement is, consumers will get confused and buy one item thinking that they were buying another.
4) Has the junior user adopted the mark of the senior user in bad faith
5) Some evidence that consumers have been confused by the similarity of the trademarks
6) The level of sophistication of the buyers of those companies
7) The comparable quality of product/ services of the two companies in question
If the court after analyzing multiple factors from the above list, decide that infringement has taken place, then it will lead to award of damages and/ or injunctions