Counterfeiting: Why Consumers Should Never Buy Fake Goods

Hello Everyone!

Welcome Back! Today I am not going to discuss the law as much but I want to bring to your attention the crime and economics behind Counterfeit goods. I read a very informed and interesting article in the January 09 issue of Harper's Bazaar Magazine about the Counterfeiting Industry. Harper's Bazaar spearheaded the "Fakes Are Never In Fashion" campaign in 2005 to inform the public about the atrocities of the Counterfeit Trade. Every January, the magazine publishes an article about counterfeiting. Here are some very amazing numbers provided by Harper's Bazaar:

$600 Billion
Estimated annual sales in counterfeit products worldwide

$512 Billion
Global sales lost to counterfeit goods

$250 Billion
Annual loss to American companies from intellectual property theft

$20 Billion
Estimated loss to American companies from counterfeit products

$1 Billion
Estimated annual loss in New York City tax revenues due to counterfeiting

750,000
Number of jobs lost due to intellectual property theft in the United States

10%
Estimated percentage of fakes among all goods produced worldwide every year

As you can see these are pretty staggering numbers. However, I was more appalled by the use of child labor in Thailand and China to produce counterfeit goods. As reported in the January 09 Issue of Harper's Bazaar Magazine, children as young as 6 years old work around the clock in sweat shops producing fake goods. The children are often dirty and underfed. In one raided Thailand sweat shop, the owner had broken the lower legs of elementary age children and tied them to their thighs so the children legs would not heal. When asked why he committed such a horrific act, he said "because the children wanted to go outside and play." I nearly cried.

Besides the obvious legal reason why we should not buy Counterfeit goods,(federal crime, trademark infringement, and brand dilution) we all should detest the mistreatment and cruelty to children in producing these "fake" goods. In today's culture we all want to own luxury for less. Instead of saving or waiting until we can afford these goods, we will purchase a $50 "fake" Louis Vuitton handbag on the street. Purchasing counterfeit goods is stealing from those companies who have investing considerable effort and time in building a recognized and respected brand. It is also supporting human trafficking, child abuse, and child labor.

Please visit Fakes Are Never In Fashion.com to learn more about what we can do as consumers to stop Counterfeiting.

Note: Counterfeiting Facts in this post are credited to Harper Bazaar Magazine: January 09 Issue

Trademark Registration: Why it is important to choose the appropriate Classifications

Hello!

Welcome Back! Today I will discuss determining what classification your good or services falls under when registering your trademark. This is an important topic because choosing the wrong classification or not including a classification can jeopardize your trademark rights. Here are a few tips:

1. First a classification is a description and scope of the types of goods or services that fit your trademark.

2. When choosing a classification first think about the industry you are in. Specifically, what industry does your product or service serve? For example, if you are a film company you are in the Entertainment Industry. So you would choose Classification 041 which covers Entertainment in the nature of motion pictures.

3. Next make sure you include multiple classifications if your trademark will identify different products or services within your company. For example, the trademark BBB Bar-B-Q may identify Restaurant services, which is covered under classification 043. But the trademark may also identify BBB Bar-B-Q Sauce which is a product covered under classification 030.

4. Lastly, be strategic when identifying classifications for your product and/or service by including classifications of products or services that you have yet to bring to market. For example, you own a restaurant but plan to sell T-Shirts displaying the restaurant's trademark. You can include the classification 025 which covers T-Shirts and base your trademark application on an intent to use basis. This will prevent another company from claiming a trademark right in your trademark on T-shirts. More importantly, if you do not include T-Shirts in your original application and later want to include your trademark on T-Shirts, you would have to go back and apply for a trademark for T-Shirts. It is best to include all Classifications the first time around. It will save you time and money.

When Can You Use the TM or SM sign?

Hello!

Welcome Back! Today I am going to discuss when it is appropriate to use the TM or SM sign after your trademark. First let me explain what the TM or SM sign represents.

A TM is an acronym for trademark while SM is an acronym for service mark. A trademark identifies unique goods or products, .i.e., Cheerios Cereal. A service mark identifies unique services, i.e., Anderson Consulting.

It is appropriate to use the TM or SM sign after your trademark or service mark when you claim a right in your trademark or service mark. What does this mean? It means that you are using the trademark or service mark in connection with the sale of goods or services in commerce. Click here for my explanation of "Use In Commerce." You can use the TM or SM signs regardless of whether you have filed an application with the USPTO. As I have discussed previously, an individual or entity can have common law trademark rights. If you are first to use a trademark or service mark in your region, you have common law trademark rights. This right is granted to an individual or entity without USPTO registration.

Why is it important to use the TM or SM sign? Well it puts the public on notice that you are asserting rights in your trademark. So an infringer may be deterred if they see that you are claiming a trademark right. However, it is still very crucial that you do obtain registration from the USPTO. USPTO registration protects your trademark or service mark nationwide and is important in obtaining trademark registrations in other countries. You can only use the official R symbol once the USPTO grants registration of your trademark or servicemark.

I hope this information was helpful. If you have any questions or would like to leave a comment, please do so.