Federal Trademarks
TLDR: Business owners likely do not need to register federal trademarks unless their
brand or slogan is highly unique and is used in multiple states’ markets nationwide.
WHAT IS A TRADEMARK?
A federal trademark is a registration for the name or logo you use to market your business, goods, or services and prevents others from using the same distinct term or logo. There are multiple types of trademarks: arbitrary, fanciful, suggestive, descriptive, and generic. An arbitrary mark uses an existing word that is not associated with the good or service, an example of this is “Apple” for computers. A fanciful mark uses made-up words, terms, or symbols that have no other meaning than to identify a brand. An example of this is “Exxon” for petroleum or gas. A suggestive mark indirectly suggests the quality of the goods or services it represents but does not directly describe them. An example of this is “Netflix,” where “net” is the internet, and “flix” is for movies/shows. Descriptive marks describe one or more of the characteristics, qualities, ingredients, or features of the goods or services it represents. Descriptive marks are generally not able to be trademarked unless they acquire a secondary meaning through use in commerce, an example of this is “American Airlines,” which has become a distinctive mark. Generic marks is a term that has become so common and widely used that it refers to an entire category or class of goods or services and is not eligible for trademark protection. An example of this would be “car.”
WHEN SHOULD YOU REGISTER A TRADEMARK?
You will want to consider registering a trademark if the term is distinct to your business, good, or service and is used in sales across state lines. If your business is registered in Minnesota and you are not planning to expand beyond the Minnesota market, you are already protected by State law and use in commerce.
WHAT IS PROTECTED WITHOUT A TRADEMARK?
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- YOUR BUSINESS NAME
The Secretary of State office controls business entity name registrations to prevent duplicity. Once your LLC is registered with the Minnesota Secretary of State, another Minnesota business cannot register under the same name. If your business goals extend beyond the state of Minnesota, register your LLC in each state where you will conduct substantial business activities (eg. opening an office, hiring employees, or selling to that market). - YOUR BRAND OR SLOGAN
Within each state, protections are in place to prevent people from copying your brand or slogan without requiring a federal trademark. As long as your business used the term in commerce first, your non-trademarked brand or slogan is still protected from copycats by the Minnesota Deceptive Trade Practices Statute.
- YOUR BUSINESS NAME
WHAT IF SOMEONE COPIES YOUR NON-TRADEMARKED BRAND?
If you believe that someone is attempting to rip off or copy your brand, contact a lawyer for assistance in pursuing the issue. When a competitor engages in deceptive trade practices, you can request an injunction preventing them from copying your business. You are not required to prove that you suffered monetary damages or that they intended to copy you if it is proved that deceptive trade practices took place.
This is for educational purposes only and is not legal advice. Please contact an attorney on whether pursuing a trademark is right for you or your business.
Special thanks to law clerk Vivian Kramer for her valuable contributions to this article.
