Archive for August, 2011

Little Trees Even Enjoy Trademark and IP Rights

Los Angeles, Calif. – Companies put a lot of effort and money into their designs, sales and marketing tactics, so it is no wonder the Car-Freshner Corporation is aggravated by a company that is trying to use a similar tree design for its financial benefit. In a lawsuit against Stanislawski Marketing Ventures, who is doing business as Beck & Call promotional products, Car-Freshner alleges that the company “offers, markets, and distributes promotional air fresheners with a tree design that is indistinguishable from and confusingly similar to Car-Freshner’s distinctive Tree Design Marks.”

The case is currently underway in the U.S. District Court for the Northern District of New York, but it has repercussions that are relevant to businesses everywhere. The Car-Freshner Corp. has used the iconic tree symbol on its air freshener for more than 55 years. Numerous TV, movie, and pop culture references have used the tree fresheners and thereby created an even bigger impression on consumers. The lawsuit also lists Julius Sämann, the inventor of the air freshener who “spent five years extracting pine needle oils in the Canadian wilderness before he came up with the shape, name, and fragrance in New York in 1952.”

Car-Freshner Corp. has six registrations for its tree designs in a wide array of goods and services classifications and it further licenses those designs to third parties such as MasterCard, Samsung, Carnival Cruise Lines, and Buffalo Wild Wings. Car-Freshner Corp attests that Beck & Call not only created customizable tree design air fresheners for companies such as DirecTV but that their use of the tree design violates the Lanham Act and other trademark laws. From infringement, unfair competition, trading off the goodwill and reputation of Car-Freshner, and dilution of its unique tree design, Beck & Call has been slammed with it all.

The lawsuit goes to the core of trademark and intellectual property rights a business works hard to maintain, enjoy, and profit from. As such, businesses who secure legal counsel early on during product development stages and further work with their counsel to help them navigate through additional complex business and intellectual property matters often come out ahead of their competition.

In California, Los Angeles intellectual property attorney and Los Angeles business attorney Anthony Spotora provides critical legal guidance to businesses and individuals. From launching a product, analyzing business plans, and registering trademarks and copyrights, the Law Offices of Spotora & Associates is a trusted resource in Southern California and throughout the nation. They represent a wide array of industries as they research, protect, enforce, and defend their clients’ rights.

For more information:

www.spotoralaw.com

Law Offices of Spotora & Associates, P.C.

1801 Century Park East, 24th Floor

Los Angeles, California 90067-2302

P (310) 556.9641

F (310) 556.9642

Toll Free: (877) 4U-EZ-LEGAL

To learn more, visit https://www.spotoralaw.com/.

Retaining Legal Counsel is Critical When a Business Wants to Raise Capital

Business owners work diligently to build value in their company and to attract consumers and investors. Many plan for the day when they can go public and have an initial public offering (IPO). With recent technology companies raising some serious cash, it’s no wonder that many businesses are contemplating if they can mimic LinkedIn and Pandora’s IPO successes. To that end, whether your company is in the tech sector or a different industry, you’ll want to get a qualified business attorney on your side.

When a company files for SEC registration, the information becomes public record. As such, a knowledgeable business attorney will ensure that the registration and documents meet SEC requirements and protect your corporate image. Preparing for an IPO is tedious work, and unless your company can get an SEC exemption, the paperwork is best drafted and reviewed by counsel.

For those companies who want to pursue other methods of raising capital and are eligible for one of the SEC exemptions, legal counsel remains critical. For example, the Rule 504 exemption of Regulation D allows a company to avoid SEC registration if they: sell up to $1 million in securities in any given year timeframe privately; do not have to file reports per the Securities Exchange Act of 1934; and, it is not a blank check company. The Rule 504 exemption lets a company avoid SEC registration and some report filing, but a company will still need to file Form D after the first securities are sold in a private sale. An experienced business attorney will help a client make sure the documents for the private sale and Form D are completed thoroughly without erroneous statements and violations of antifraud provisions.

This also applies to Rule 505, Regulation D of the SEC exemptions. Rule 505 allows up to $5 million in securities offerings and has different investor requirements, but Form D is still mandated. A business attorney will give a company peace of mind that they are completing investor disclosure documents and Form D efficiently.

Rule 506 exemptions allow a company to raise unlimited monies but all non-accredited investors must be sophisticated investors, unlike the guidelines of Rule 505’s non-accredited investors. Form D is still required.

Overall, a business attorney is well worth the investment to ensure that all the steps are completed with precision. The SEC is not a governmental body anyone wants knocking at the door for failing to comply with their rules and regulations. Retaining legal counsel, whether to raise capital through an IPO or privately, helps a company move forward in the best way possible. Business owners can therefore focus on the aspects they are best at and lessen their stress and potential liability during this critical time.

In California, Los Angeles business attorney Anthony Spotora counsels businesses from sole proprietorships to major international corporations on raising capital and SEC requirements and exemptions. The Law Offices of Spotora & Associates, P.C., has decades of experience with businesses throughout California, the U.S., and abroad.

For more information:
www.spotoralaw.com
Law Offices of Spotora & Associates, P.C.
1801 Century Park East, 24th Floor
Los Angeles, California 90067-2302

P (310) 556.9641
F (310) 556.9642
Toll Free: (877) 4U-EZ-LEGAL

Anthony Spotora is a Los Angeles entertainment lawyer and Los Angeles business attorney. To learn more, visit Spotoralaw.com.

Trademark Registration and Infringement Concerns Across State Lines

Before federal trademarks were enacted, most individuals and companies registered their marks with the state. State registration for trademarks is still available and less expensive, but with most companies and products wanting to be national, federal trademarks are worth the expense and added protection. In fact, unless a company plans on only selling their goods or services in the state – which is particularly rare with so many companies selling over the Internet – federal registration makes more sense for most businesses.

A business’ name is vital to its branding and sales tactics. Recently, the IP Watchdog magazine commented that trademark infringement is one of the top five mistakes that a startup company makes. As a company gets busy with all the other tasks to get sales and operations going, it can brush off critical steps that will protect the business’ identity, efforts, and assets. Every business can benefit from speaking with a qualified intellectual property attorney to do a full clearance search, to register, acquire, and enforce its trademark.

The current lawsuit of iCloud Communications v. Apple demonstrates the importance of far-reaching trademark protection. iCloud Communications is a Phoenix, Arizona based company that sells cloud computing telecommunication services, hardware, and software. They have used their trademark since 2005 and expended a lot of effort and money to establish, “goodwill and valuable rights in and ownership to the iCloud Marks in connection with computer telephony and electronic data transmission and storage services.” So it was to their surprise when Apple’s Steve Jobs unveiled a new telecommunications and data storage platform called iCloud on June 6 at the Worldwide Developer Conference.

IP and trademark cases usually favor the company that used the registered trademark first and are backed by evidence of how the trademarks were used in the state versus federal context. Already the Phoenix company says it is getting calls “from both existing and prospective customers regarding whether it is now owned or affiliated with Apple” and because of Apple’s extensive marketing machine, more people will associate iCloud with Apple than anything else. If true, it seems clear then that iCloud Communications can prove that there is not only a likelihood of confusion but, there is already actual confusion.

Trademark confusion, dilution, and disputes are serious matters and when a company must stop using its mark, all collateral, customer relations, and years of effort with that particular name must cease. Moreover, in federal courts, an infringer can be liable for three times the owner’s damages plus attorney fees and court costs.

In California, Los Angeles intellectual property attorney Anthony Spotora counsels many diverse businesses to set up, purchase, and maintain their trademark rights. The Law Offices of Spotora & Associates can help a company with basic trademark registrations and more complex matters involving a large portfolio of registrations both in the United States and abroad. Their accomplished trademark attorneys can protect and enforce your trademark and ensure it’s renewed within federal guidelines to strengthen your protection.

For more information:
www.spotoralaw.com
Law Offices of Spotora & Associates, P.C.
1801 Century Park East, 24th Floor
Los Angeles, California 90067-2302

Anthony Spotora is a Los Angeles entertainment lawyer and Los Angeles business attorney. To learn more, visit Spotoralaw.com.