Benefits of Trademark Registration

The Federal government through the Lanham Act and the various states through state laws have provided for the registration of marks. Registration statutes are widely held to provide no new substantive rights, but rather to provide certain powerful and useful presumptions and remedies. Federal registration applies only to marks used in the types of commerce which may be lawfully regulated by congress. Examples of such valid use in commerce are found later in the text. State registration is ordinarily available for marks used anywhere in the state.

The most basic benefit of registration is that it provides constructive notice of the mark and the registrant's claim to ownership. Other owners or users may not then claim lack of such knowledge even though they had no actual knowledge of use or ownership.

There are many other benefits of national registration under the Lanham Act and most state statutes provide similar protection. Registration creates a strong presumption of ownership, use, and validity. This places the burden of proof upon non-registered users claiming ownership, use, or validity. Subject to a few specific limitations, other users loose the power to contest the registered owner's right to a mark subsequent to five years of consecutive use after registration. After five years registration may only be avoided or canceled upon proof of such actions as fraudulent registration, abandonment, or because the mark has become a descriptive one as described above. Neither registration nor the five year rule affect rights in a mark which may have accrued to another prior to registration.

Federal registration not only provides for constructive nationwide notice; but, in effect, provides constructive nationwide use. Although registration does not prevent a legitimate user of the mark from continued use; it does ordinarily limit such a user to the geographic area or market territory established prior to registration.



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