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What is Trademark Counterfeiting?

If your company has a word, logo, symbol or other identifier that is used to help consumers associate the source of goods or services that you provide, it is imperative that you take action to protect it as a trademark. Under the trademark laws, you can protect your mark from consumer confusion as well as safeguard your business’s goodwill from being misrepresented by other parties.

When another party illegally uses a protected trademark, it is referred to as “trademark infringement.” There are a variety of ways your trademark can be infringed upon. Whether the infringer is acting intentionally or not, it is important to take action immediately to protect your rights.

An area of trademark infringement that seems to be on the rise is the creation of counterfeit products. The counterfeiting of a trademark occurs when a party creates goods that look exactly like the trademarked goods (including the stolen logo or other identifying mark) and selling them as the goods of the trademark owner. We have all seen the stands on the roadside selling “Gucci” or “Prada” purses for $25.

While most consumers are aware that a table set-up on the side of the road is most likely selling counterfeited goods, there are many instances where it is not so obvious. Not only is the consumer being misled by counterfeited trademarks, but the trademark owner is being harmed because the fake products are typically of lower quality than the original product. As a result, the owner of the trademark has its reputation and business goodwill damaged by the counterfeited goods.

There are a variety of penalties for a party that is found guilty of counterfeiting. The government has the authority to seize imported counterfeit goods as well as impose criminal punishments. Additionally, the trademark owner can file a lawsuit against the counterfeiters. The owner of the mark can seek to recover actual damages, including lost profits, and possible treble damages depending upon the nature of the trademark counterfeiting.

If you believe another party is guilty of trademark counterfeiting, contact us for help immediately. The Swenson Law Firm is located in Sacramento County and we proudly serve businesses of all sizes from all over the State of California.

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