USPTO launches nationwide program
US Patent and Trademark Office encourages small businesses to recognize and consider the benefits of registering intellectual property, including business names. “Small businesses often find themselves at a particular disadvantage because they often lack the resources and expertise available to larger corporations. Small businesses also often lack the familiarity with the process”. To help address this problem, the USPTO has launched a nationwide program to encourage small businesses to recognize and consider the benefits of protection.
US Patent and Trademark Office
170,000 small business owners effected
“Over 30,000 small companies are involved in litigation involving big companies each year. However of all those notified of an alleged infringement, only a handful chooses to fight. It is estimated that over 170,000 small business owners are faced with the choice to fight, or give up their name”
The U.S. Commerce Department
Threats and unsubstantiated claims rise
“The new (NSI) Policy continues the oppressive rules of the old Policy. For a total of 64 cents, any trademark holder can have innocent business owner put out of business. In Section 9 of the new dispute policy, NSI requires merely that trademark holders notify the small business of the existence of a trademark, claim harm, and send a copy to NSI. Unscrupulous groups make threats and unsubstantiated claims with alarming regularity."
DNRC President Mikki Barry
Litigation costs exceed $100,000
“With its deep pockets, the large company will certainly sue the small business. As part of the process, the small business has agreed to jurisdiction not only in its own locality but also in the venue of the large corporation. Potentially, the small business would have to travel to another state if the authority is located domestically. This entire process favors the deep pockets who can afford the multiple layers of litigation, the travel, and the legal research. Small-business owners go out of business trying to pay the legal fees. Once a small business has been sued, they have already lost,"
Office of Advocacy, US Commerce Department
Protect your name
Trademarks are more important than ever.
If you're investing time and money in a brand name or intend to do business: trademark your name. Before the invention of the Internet, you may have happily and legally done business in your community without being confused with a business using the same name in another state. Now the law says, if one of you puts up a website, customers won't know who's who. Even if you're legally in the clear, in trademark issues, the side with the greatest ability and willingness to spend money on lawyers gets their way.
USA Today
Small businesses get beat up instantly
“Small businesses get beat up instantly if they try to fight against the big companies over names. The big company will write them a letter saying that they have violated their trademark, and whether they did or didn't, it's a matter of the court system. The small-business person can't really fight back; they'll have to pay for their name's defense. With big businesses, it's no problem; they have great lawyers, so they just pay. For the small companies and individuals, it's not such an easy task”.
ICANNWatch
Small business vulnerable
“This (Name Dispute Policy) is not a good thing for small businesses. Small companies are getting beaten up endlessly by big companies, because the big companies will claim rights to the names even if the little guys are using them first. Big companies with their powerful commercial interests are playing their usual mean games."
Inc Magazine
Trademarks: Not just for the big guy
“Trademark experts -- lawyers, lobbyists and others -- think few people understand that establishing and protecting brand names is a critical part of the economic success of small business”.
New York Times
Small Companies Stomped Out
"Some bigger players sue just to put the small company out of business and prevent them from competing…They have the means and the resources to stomp out the small company or start-up."
Vision
How Can Entrepreneurs Can Survive Trademark Lawsuits - Avoid them
From the Department of Nightmares comes yet another story of a David-and Goliath lawsuit. Imagine spending several years building your brand, investing thousands of dollars, and having cultivated thousands of satisfied customers, to find that an online behemoth with enormously deep pockets will stand in your way.
“Many entrepreneurs often overlook the importance of trademarks in their business. Others even think this does not apply for small businesses. In this competitive market where brands are worth billions of dollars, you cannot afford to be careless”.
Entrepreneur Magazine
Brand Name Bullies - Where does it stop?
“Trademarks provide guarantees of quality and consistency of the goods or services with which they're identified; Some trademark holders, however, take this vigilance to an extreme, to the point where they become "brand name bullies." Where does it stop? All too often, companies asserting their trademark rights engage in overreaching, overzealous behavior.
S.E. Texas Legal Journal