While patents, copyrights, and trademarks are sometimes the most well-known forms of intellectual property, trade secrets often fly under the radar. In general, a trade secret is any kind of information that provides a business with a competitive advantage. These intellectual property rights are pieces of confidential information that can be sold or licensed and can encompass a wide range of information. From recipes and customer lists to marketing plans and pricing strategies, there is an abundance of information that falls under the trade secret category.

 

What qualifies as a trade secret? 

According to the World Intellectual Property Organization, to qualify as a trade secret, the information must reach these requirements: 

  • Commercially valuable, giving a competitive advantage 
  • Be known only to a limited number of individuals 
  • Be subject to reasonable steps taken by the rightful holder of the information 

 

How can a trade secret be protected? 

There are many preventative steps companies can take to protect their trade secrets from theft or misappropriation such as Non-Disclosure Agreements or Non-Compete Agreements. Another commonly implemented strategy is to train employees on the importance of trade secret protection and the consequences of disclosing the protected information.

 

One of the largest trade secrets in the world is the Coca-Cola recipe, made from a secret mixture of the stimulant coca leaf and African kola nuts, which contain caffeine. Don’t worry, the universally-loved soda recipe is still kept safe, although, in 2021, a former Coca-Cola employee was convicted of trade secret theft related to BPA-free coatings that line the soda cans to retain flavor. Dr. Xiaorong You was convicted of selling this Coca-Cola trade secret to the Chinese Government. The Indictment alleged that the trade secret information cost almost $120 million to develop.

 

After uploading multiple trade secret documents to her Google Drive, Dr. You was arrested on February 14, 2019, and her trial began in April 2021. According to prosecutors, Dr. You had plans to share this information with the Chinese government to start her own BPA-free coating firm. The jury convicted Dr. You of possession of stolen trade secrets, economic espionage, and wire fraud. This Coca-Cola chemist and former employee is now facing 14 years in prison for trade secret theft. 

 

What makes trade secrets distinctively important? 

Something unique about trade secrets is their longevity. They have the ability to last as long as they are kept secret! With this, there is no registration process or costs, unlike patents or trademark registration which are time-consuming and sometimes expensive. Trade secrets have the ability to give a competitive advantage, no matter the size of the company. 

 

Trade secrets are a valuable form of intellectual property and have the potential to give companies a significant advantage, and this could apply to your business. By understanding what trade secrets are and how they can be protected, you can ensure that your company remains competitive by safeguarding important information. 

If you have questions regarding trade secrets within your organization, contact Martin IP Law Group. Remember, it’s always best to prevent damage rather than reverse it, so protect your intellectual assets today! Our flat-fee consultation is a great place to start.

No matter the size of your business, you deserve the rights to your unique intellectual property. From large-scale manufacturing concepts to small and innovative objects, we believe all ideas are worth protecting. With one of our three fractional counsel plans, we have something for everyone from entry-level to robust guidance. Martin IP Law Group is able to provide your business with timely, on-demand support that allows you to protect, enforce, and maximize the value of your intellectual assets. 

 

What is Fractional Counsel? 

We provide many of the same services as an in-house intellectual property attorney would provide. However, because some businesses’ needs or budgets do not justify hiring an in-house attorney, we offer all of the necessary services part-time at a fraction of the cost. All services are provided for a flat rate, a monthly fee. With one of our three unique fractional counsel plans, you can budget for legal fees with confidence in knowing that the fees will be consistent and regular! 

 

Is it right for your business?

Ask yourself these questions to see if Fractional IP + Startup Counsel is right for your business: 

  1. Is budgeting for legal expenses difficult?
  2. Are your company’s legal needs inconsistent, such that a full-time in-house attorney would be underutilized?
  3. Is the cost of hiring a full-time, in-house attorney beyond your company’s budget?
  4. Is it difficult to get legal advice when you need it?
  5. Would you benefit from proactive advice and legal services?

If the answer to any of these questions was yes, then your business may be a good candidate for fractional IP services. 

 

What are the benefits?

There are ways that fractional IP counsel could benefit your business. Here are some of our favorites: 

  1. Saves you and your business money 
  2. Proactive legal representation 
  3. Consistent and controlled cost 
  4. Free time to focus on the growth of your business
  5. Customized and timely legal services 

 

With expert legal knowledge, industry insights, and a commitment to personalized, on-demand service, Martin IP Law Group is ready to serve your business as a strategic partner in safeguarding your intellectual assets. Contact us today to get started! 

In 2012, Jill Marshall and April Nelson brought together their years of experience in occupational health and formed JC Michaelson ™ to help employers and employees make better-informed healthcare decisions. The company now provides healthcare education to businesses, fostering skills that create a healthier and more productive work environment. JC Michaelson ™  is a Women-Owned Small Business (WOSB) Federal Contracting Program Member, HubZone-Certified Small Business, and a Certified Women’s Business Enterprise (IN). 

 

In today’s competitive business landscape, intellectual property has become a valuable asset for companies of all sizes. April and Jill knew they wanted their experience to be validated and their small business to be seen as credible in a market dominated by larger consulting firms.

 

For small businesses, harnessing the potential of intellectual property can be a game-changer, helping business owners stand out in their market, collaborate with larger companies, and establish a solid foundation for growth and recognition.

 

Jill and April met Rick Martin at a local networking event and followed up to learn more about the possibilities for protecting their intellectual property. Jill stated, “One thing I learned early on is that when you own a business, you shouldn’t waste time on those who aren’t experts in their field. When we sat down and met with him, we knew right away he was the expert. He and his team know what they are doing and are going to get this done for us so much quicker and better.” 

 

This collaboration led to the trademark of the JC Michaelson name, as well as their Report of Early Discomfort Program (RED)™, a proprietary program used within their consulting. With so much intentionality and effort poured into these entities, Jill stated, 

 

“This is our program. We want to show our clients that we know what we’re doing. Others are doing similar things, but they’re not doing it with the background and experience that we have. This is our brainchild, let’s protect it.” 

 

With their growth and success, it is our honor to be securing trademarks for a small business that is making waves in their industry, especially one that is predominately male-run.  

 

For small businesses, having a solid IP protection strategy is vital to safeguarding names, and patents, and establishing copyright protections, and is necessary for future growth. A robust intellectual property portfolio also enhances the credibility of a small business in the eyes of partners and clients. Likewise, partnerships with larger companies become more appealing when they can demonstrate their ability to protect their intellectual property. 

 

By investing in IP protection, this small business has created a strong foundation for future endeavors, while establishing its position in the market. This also ensures its unique programs and initiatives continue to thrive and impact the industry. And, we’re honored to be a part of helping companies from small to large thrive!

 

If you are ready to protect your intellectual assets and make waves in your industry, reach out to Martin IP Law Group today!

In the late 1950s, a new doll was sweeping the nation – Barbie. Trademarked in 1959 by Mattel, the rights to the name “Barbie” extend far beyond dolls. Clothing, car accessories, and other lifestyle items also fall under their intellectual property plan. 

 

The new Barbie movie, directed by Greta Gerwig and starring Margot Robbie and Ryan Gosling as Barbie and Ken, was released across the globe on July 21, 2023. With its $145 million set budget and $150 million marketing budget, it certainly exceeded expectations. The movie had the biggest box office debut of the year and is history’s biggest female solo-directed film. 

 

The World Intellectual Property Organization states the brand has licensing deals with over 100 companies as part of the movie’s marketing plan. However, despite its success, this seemingly innocent movie about the world’s most well-known doll sheds light on the evolution of trademark protection, owner’s exclusive rights, and public expression.   

Territorial Misrepresentations 

You may have heard about Barbie’s legal challenge involving the “nine-dash line,” representing China and Taiwan’s claims of territory in the South China Sea. This illustration is seen on a cartoon-like map shown in the movie’s first half. Vietnam and the Philippines claim this misrepresents how the territories are actually split. 

 

Forbes reports that the leader of the cinema department of the Ministry of Culture, Sports, and Tourism in Vietnam, Vi Kien Thanh, says, “Vietnam’s National Film Evaluation Council has decided the film would not be granted a license over its inclusion of the ‘illegal image.’” 

 

Warner Bros. defends the map, describing it as a “whimsical, child-like crayon drawing” and stating that it represents “Barbie’s make-believe journey from Barbie Land to the real world.” While representatives say it was never meant to cause controversy, they aren’t making any moves to accommodate the alteration requests. 

Music Matters

As a multibillion-dollar industry, Hollywood seems untouchable and far removed from the lives of middle-class working people – so do large toy companies like Mattel, Barbie’s manufacturers. Plus, how does this all fit into intellectual property law? 

 

Two decades ago, “Barbie Girl” was released by Aqua. Not surprisingly, this led to a lawsuit between the Danish band and Mattel over using the popular doll’s name in the lyrics. Since the song was considered a parody, it was protected by the First Amendment. 

 

During the credits, the 2023 movie features a remix of this song, titled “Barbie World (With Aqua)” by Nicki Minaj and Ice Spice. Instead of leading to a lawsuit like its predecessor, Mattel embraced the song without hesitation. 

 

Mattel, Inc. vs. MCA Records, Inc. shows that no one is exempt from trademark infringement, even massive corporations. It also raises questions about parody and brand rights. 

 

Intellectual property laws exist for a reason, to protect ideas central to a business’s brand identity and legacy. Like Barbie, many trademarks and copyrighted materials are household names and deserve to be appropriately preserved – just like small business owners’ and entrepreneurs’ ideas do. 

 

At Martin IP Law, our legal experts work with all types of intellectual property (IP), including trademarks, copyrights, trade secrets, and patents. After you check out the new Barbie movie, schedule a consultation with us today to learn if our services fit your IP needs.

When you see a little blue bird, what’s the first thing that comes to mind? If you’re an active social media user, it’s probably Twitter. Since March of 2006, the distinctive emblem coupled with its bright blue hue, has become widely recognized. 

 

However, Elon Musk, Twitter’s newest owner, has changed its branding – a logo and name that’s stuck with the company for the past 17 years. Now, it’s just X with a white “X” logo inscription on a black background. Musk also altered Twitter.com to X.com. 

 

Before Musk’s ownership, Jack Dorsey, Evan Williams, and Christopher Stone were the company’s co-founders. During this time, the logo was only changed three times. While Dorsey and his colleagues were no strangers to controversy, Musk’s recent rebranding has sparked debate about whether this was a logical choice – and the legality of it. 

 

Trademarking the Alphabet

Because the logo is just the letter “X”, trademarking is tricky. Nondescript marks, which include letters and numbers, are trademarkable but require substantial proof for acceptance. The most important thing to prove is that the mark is distinctive enough from other businesses’ trademarks. The letter or number must give a second meaning (apart from the original) associated with a business or organization. If it’s too general, the chances of acceptance are slim.

 

Potential Complications Ahead 

According to the United States Patent and Trade Office (USPTO), trademarks protect a business’s name, logo, and designs related to its products or services. It also stops other businesses from using your name in any form of fashion. This is where things get tricky.

 

Take McDonalds™, for example. Kantar reports that the fast-food chain is one of the world’s most valuable businesses, coming in 5th place after other large companies like Google and Amazon. Despite its size, the name wouldn’t be protected without a trademark. The company also owns the rights to the golden arches logo and the phrases “Egg McMuffin,” “Happy Meal,” “McNugget,” and more, making these designs and terms off-limits for others in the restaurant industry. 

 

If another business were to market or profit off these terms in any way, they would be committing trademark infringement. According to the USPTO, this is an “unauthorized use of a trademark or service mark on or in connection with goods and/or services in a manner that is likely to cause confusion, deception, or mistake about the source of the goods and/or services.” When this happens, the offender can be sued, served a court order to remove anything with the stolen trademark, or other legal consequences. 

 

Our blog about the 2022 Bridgerton trademark and copyright infringement debacle details how this looks in real-time. 

 

Limited Protections, Higher Liability 

In short, Twitter’s trademark is legal, but it’s complicated. Since the “X” design is so simple, it may be hard to distinguish it from other businesses’ use of the same branding. This limits the amount of protection Twitter has over its new name and logo, narrowing opportunities for future use. 

 

It’s going up against other tech giants like Microsoft and Meta (formerly Facebook) – plus the thousands of other, smaller businesses that have already trademarked some form of the letter X. Currently, this number is estimated to be almost 900. Because of these numbers, the company will likely experience challenges with its trademark. 

 

Either way, trademarks this broad open the door to potential legal action from other businesses. And because Twitter’s biggest competitors are already using similar branding, although, for lesser-known branding projects, the consequences of this latest rebranding might come more quickly than expected.  

 

Trademark Specialists at Martin IP Law Group 

While we don’t know the future of Twitter and its rebranding, we do know we can help you with your trademark ideas. If you’re looking to gain exclusive rights to your brand’s logo, designs, and more, the Martin IP Law Group is ready to get you started.

As a business owner, inventor, or creative thinker, coming up with unique, new, and innovative ideas is what you’re best at. But despite the individuality that comes with creating new concepts, it’s easy to have them stolen in today’s consumer culture. The old saying, “copying is the oldest form of flattery,” isn’t as true today as it was in the past. 

 

Stealing an idea and profiting from it as if it was your own has always been frowned upon, but being copied in 2023 could significantly impact your business – or land you in a lengthy legal battle. While the Martin IP Law  Group team can help if this happens, we’d rather help ensure that your ideas, or intellectual property (IP), are protected from the beginning.                                                                                            

 

Let’s start by defining what IP is. The World Intellectual Property Organization defines intellectual property as “creations of the mind, such as inventions; literary and artistic works; designs; and symbols, names, and images used in commerce.” These are all intangible assets, which carry the same weight as tangible assets. 

 

What are the different types of intellectual property protection? 

Intellectual property laws give you exclusive rights to your property and allow you to sell it to the public and profit from it. However, there are different types of IP protection. 

  • Copyright: Copyrights protect literary or artistic creations like books, films (i.e., movies, documentaries), software, or music. It prevents other business owners from distributing, reproducing, or using the work in other ways without permission. For example, an author would copyright a series of books to stop other writers from copying their ideas. 
  • Trademark: A trademark is a unique word, phrase, design, or symbol distinguishing a business’s products or services. Other businesses cannot create a similar or identical material with this protection. Brands like Apple or Burger King are examples of trademarks. 
  • Patent: Patents are government-granted exclusive rights protecting inventions or discoveries. The patent owner is the only one allowed to produce, use, or sell it. Some of the most well-known patents are items you use every day, such as the telephone (Alexander Graham Bell) and the lightbulb (Thomas Edison). 
  • Trade Secrets: Unlike the other types of IP protection, trade secrets are confidential pieces of information vital to the operation of a business. Examples are manufacturing processes, customer lists, or marketing strategies. When this information is classified as a trade secret, it prohibits public disclosure or competitor use. Famous trade secrets include the Coca-Cola recipe or the KFC Original Recipe. 

 

How do you start protecting your intellectual property? 

IP laws help maintain a balance between creativity and providing incentives for individuals and organizations like you to invest their time, resources, and talents into producing groundbreaking ideas and original products. At Martin IP Law Group, we work with entrepreneurs to protect their information, propelling your business toward success. From the application process to celebrating the finalization of IP rights, our legal experts are with you every step of the way. Contact us today to schedule a consultation. 

The United States Patent and Trademark Office (USPTO) released new updates about the patenting process! Here’s everything you need to know about the changes. 

 

As a new patent holder, one of the things you might look forward to the most is receiving your certified patent grant. With its gold seal and official display, it gives you something to show for your accomplishment. However, as of 2023, these certificates will no longer be sent to patentees – or, at least not for free. 

 

So how does this benefit you? 

 

Although you now have to pay more for a physical paper certificate, it does reduce the time it takes between when the issue fee is paid and the issuance of the patent. In addition to that, if you’re a client of Martin IP Law Group, you’ll get your certificate AND a plaque with a copy of your patent on it. We know how important it is to commemorate your accomplishment, and we want to celebrate with you! 

 

The USPTO is also reducing rates for micro and small entities, saving you money and making it easier for small and local businesses to obtain a patent. Instead of a 50% and 75% reduction, you can receive 60% or 80% off the total cost.  

 

Both updates went into effect after April 2023. 

 

Want to stay in the know about future USPTO updates and other legal news? Follow us on LinkedIn, Instagram, or Facebook to keep up with everything intellectual property-related!

Your logo is the thing that oftentimes people first see about your company. It’s their first impression, so you want to make it a good one. If you look at companies like Apple, like McDonald’s, they have very recognizable logos that you’ve seen, and you associate with their product or their service. That’s what you want to design – something that’s memorable, something that’s lasting and makes a good impression. Apple’s trademark portfolio is reported to be worth nearly a trillion dollars as of 2022. Your branding and your logo are important to your company, and you want to take the time to do it right. Below are 5 tips and tricks to ensure that your logo is not only great for you and your business, but also protectable.  

 

TIP #1: ESTABLISH A BUDGET 

If you’ve looked online for someone to design a logo for your business, you’ve most likely seen prices ranging anywhere from $25 to $2,500. With logo designers, like attorneys and other businesses, oftentimes you get what you pay for. The ones on the lower end of that price range often times cut corners. They may not provide actual professional design work. Instead, they may just take some clipart from here and clip art from there, put some (very little sometimes) thought into it, and design your logo based on some things that are already publicly available. We’ve seen that happen here at Martin IP law group. Clients have come to us seeking protection for logos they paid someone to design, only to find out that the designer they hired to design their logo, took images from publicly available sites like iStockphoto and used that in their logo. The problem is, there’s no originality there, there’s nothing really that you can protect. And there’s nothing to differentiate you from other people because that mark and that that image is publicly available. Companies like iStockphoto have specific disclaimers on their site, saying that you cannot use these images as part of your logo, so you certainly cannot register them. If you hire a qualified designer, they’re going to know better, they’re going to design something on their own, and they certainly won’t take it from someone else.  

  

TIP #2: ESTABLISH A TIMELINE 

Designing a really good logo isn’t something that happens overnight. A claim to be able to give you a logo, at least one worth having, in 48 hours is not realistic. The designer needs to get to know you, and your business. They need to get to know your culture, so that they can design a logo that fits you and your business. So spend the time to sit down with a qualified designer and make that happen. We’re talking weeks or months, not just days or hours. So make sure you do it right.  

  

TIP #3: CHECK OUT THE DESIGNER’S PORTFOLIO 

Most graphic artists and logo designers are going to have a portfolio publicly or privately available where they can show you other work that they’ve done – other logos they created. Make sure to take a look and get a feel for what their style and effect is, and see if that matches your style.  

  

TIP #4: CHECK OUT THE REVIEWS 

Everybody has online reviews these days. That’s a good way to find out who they’ve worked for before and what these prior clients have to say about the process and working with that designer. 

  

TIP #5: MAKE SURE YOU OWN THE IP! 

Finally, you want to make sure that you own the intellectual property that’s created as part of this process. Make sure to document who owns the trademark and copyright for the logo, and get it in writing! It may be part of the designer’s standard contract language or something you put together that acknowledges that you own the IP, not the designer. Either way, make sure it gets put down in writing somewhere.  

A lot of people go online to have their logo designed, through sites like Upwork, or Fiver, or other common sites where you can go and you can contract somebody to design your logo. If you go to either Fiver or Upwork’s website, their Terms of Service, specifically state that it’s up to the agreement between the two parties – the designer and the purchaser (you) – to determine who owns the intellectual property. It also goes on to specifically say that the designer shall transfer or assign those rights to the purchaser, but ultimately there still needs to be a written agreement.  

Typically, when you pay someone else to design a logo for you, it will be considered a work for hire which you, not the designer, would own. But in that small fraction of cases where there is a dispute as to who owns it, having a written agreement will save you a lot of headaches, and money too!  

 

We have put together a handy checklist for you to use to ensure that you have not missed anything is designing your logo the right way. If you have any further questions about designing your logo, or protecting those rights, contact us here. We’d be happy to help! 

 

Fortune 500 companies like Apple, Microsoft, and Google have teams of in-house intellectual property attorneys who constantly monitor and advise the company on how to identify and protect their ideas, inventions, and identity. The intellectual property of a small or medium sized business can be even more valuable to that company, but may not be extensive enough to justify a full-time, in-house intellectual property attorney on staff. Under our Fractional IP Counsel plans, your small to medium sized business will get the same or similar services as the Fortune 500 companies, albeit to a lesser extent based on your company’s needs, but for a fraction of the cost.

Intellectual Property is a huge asset that is often overlooked. It’s a big part of a lot of businesses, whether it be trademarks, patents, copyrights, or trade secrets. Whether you are a startup, small or medium sized business, or even a large business with an in-house general counsel who does not have expertise in IP law, your business would benefit greatly from one of our fractional IP counsel plans that can be tailored to your specialized needs.

Our Team works with you to provide proactive legal representation

One of the best benefits of hiring fractional counsel is that you are taking a proactive approach to risk management rather than a reactive approach. Instead of reacting to legal problems, you are working with an IP attorney and staff to prevent or mitigate future liability. Regardless of the size of the company, a reactive approach to dealing with legal matters increases the risk of future liability. A proactive approach can reduce the time and cost of dealing with legal matters.

Through our fractional counsel plans, we learn about your business, your goals, and your team to help you grow your company and develop legal strategies and plans that work for your company. Your fractional legal counsel is available to address your legal needs when you need a lawyer, not when a law firm can return your call. Our plans are customizable, so if your needs change, we can adjust the plan to grow with you.

Consistent and controlled cost for legal services

Our fractional counsel plans provide all of the legal services that your company needs for a set monthly fee. This allows small and medium sized companies to have the immediate access to legal counsel that has historically only been available to large companies with in-house attorneys. And by having a set monthly fee, your company has greater control over legal expenses and can budget for legal expenses much more effectively.

Free up your time to grow your business and save money on legal fees

Because our fractional counsel plans are proactive, legal emergencies rarely happen. When they do, you can rest assured that we will be there to handle them so you can continue to do what’s important – run and grow your business! Because the attorney is a part-time contractor, you control how much money you spend for ongoing legal services and what legal services are included in the contract.

Hiring a full-time in-house attorney with salary and benefits is cost prohibitive to many smaller companies. Hourly rates at law firms with attorneys experienced in handling complex intellectual property transactions can exceed $500 per hour. Hiring a part-time attorney with a flat-rate fee is less expensive than either option. And because we are contractors, not employees, you don’t incur the costs in providing comprehensive benefits.

Use Fractional IP Counsel to avoid the five most common mistakes businesses make in protecting their IP

Companies utilzing the traditional approach to hiring an outside IP attorney may ultimately obtain patents, trademarks or copyrights to protect their assets, but they are leaving a lot on the table in additional assets that could and should be protected. Issues concerning proper ownership and the best form of IP protection are often overlooked. Thinking global and monitoring competitors’ IP positions and portfolios are not often considered in the traditional approach. If you want to avoid the five most common ways in which companies fail to adequately protect their intellectual property, click here to download a copy of our FREE REPORT.

Halloween is one of our favorite holidays here at Martin IP Law Group. What’s not to like? Spooky decorations, apple cider, pumpkin carving and all of those creative costumes. Like other holidays in the United States, Halloween is big business for retailers. According to the National Retail Federation, total consumer spending this Halloween is projected to reach a new high of  $10.2 billion (up from the $9.1 billion in 2017 when this article first appeared in our blog), with 69% of Americans planning to partake in Halloween festivities. With all of that money at stake, it’s no surprise that retailers are increasingly seeking and enforcing the intellectual property rights associated with their Halloween costume designs. Copyright, trademark, trade dress and even patent protection exist for Halloween costumes. Does your costume infringe someone else’s intellectual property?

Creepy Copyrights

In general, Halloween costume designs do not qualify for copyright protection under US Copyright laws because, as clothing, they are considered to be “useful articles”. However, there are two exceptions where copyright protection has been found to apply to Halloween costumes, albeit in a limited way.

The first situation where copyright protection has been found to apply is for masks. In Masquerade Novellty v. Unique Industries, the court ruled that masks qualify for copyright protection because they broadly fall outside the “useful article”. This position was adopted by the U.S. Copyright Office with regard to registrability of masks in 1991. However, as is the case with any other work eligible for copyright protection, a mask must still have a certain required level of creativity to qualify for copyright protection. For example, in Don Post Studios, Inc. v. Cinema Secrets, Inc., a court has held that the iconic Michael Myers mask from the Halloween Movie Series, which by the way I will go out on a limb and predict that it doesn’t actually “End” this year, did not have adequate creativity as it was simply a mold of William Shatner’s head painted white.

Second, while functional elements of a Halloween costume (i.e., arm and neck holes) aren’t eligible for copyright protection, design elements that are “physically or conceptually separate” from the article can be protected. In 2011, SCG Power Rangers LLC had some limited success in a lawsuit against Underdog Endeavors, operators of MyPartyShirt.com, alleging copyright infringement of its Mighty Morphin Power Rangers costume. In 2017, the U.S. Supreme Court weighed in on the “useful article” debate in Athletica v. Varsity Brands. In a 5-2 decision, the Supremes extended copyright protection to cheerleading uniforms, calling into question copyright protection in the costume and fashion worlds. The majority opinion held that when a design can be “identified and imagined apart from the useful article,” it is eligible for copyright protection. Since the cheerleading designs could exist separately from the uniform—say, as a painting—they are subject to copyright protection.

Also, shortly before Halloween in  2017, Rasta Imposta, a New Jersey designer and manufacturer of Halloween costumes sued Kangaroo Manuafacturing (KMART) alleging that it’s Totally Ghoul Banana Men’s Halloween Costume infringed on Rasta Imposta’s copyrighted banana costume design, which was first introduced in 2001 and which K-Mart had previously distributed in its stores. The complaint alleged that K-Mart’s costume “has the same shape as the Banana Design, the ends of the banana are placed similarly, the vertical lines running down the middle of the banana are placed similarly, the one-piece costume is worn on the body the same way as the Banana Design, and the cut out holes are similar to the Banana Design.” In the 2019 decision Silvertop Associates Inc. v. Kangaroo Manufacturing Inc., the court applied the test outlined by the Supreme Court in Athletica and found that the combination of colors, lines, shape, and length (i.e., its artistic features) in Rasta Imposta’s banana costume’s were both separable and capable of independent existence, and thus were copyrightable.

Terrifying Trade Dress

Trade dress generally refers to characteristics of the visual appearance of a product or its packaging that signify the source of the product to consumers. Trade dress protection is intended to protect consumers from packaging or appearance of products that are designed to imitate other products – to prevent a consumer from buying one product under the belief that it is another. In order to make a case for trade secret infringement, a person is required to show that the trade dress is inherently distinctive or has acquired secondary meaning, and the junior user’s use of the allegedly infringing design would be likely to cause confusion among consumers. Rasta Imposta has also asserted claims of trade dress infringement against Kangaroo in that lawsuit.  While it would appear from the complaint that Rasta Imposta has a pretty strong argument that K-Mart’s new banana costume is designed to imitate their costume, it does not appear that the court addressed that issue in the Silvertop decision.

Thrilling Trademarks

A trademark is a word, phrase, symbol, and/or design that identifies and distinguishes the source of the goods of one party from those of others. Many Halloween costumes, particularly in the superhero arena, depict symbols and/or designs that are protected by the Lanham Act. Most notably, companies like DC Comics (Superman, Batman, Wonder Woman, Green Lantern) and Marvel (Captain America, Iron Man, Thor, Spider Man) use trademark law to protect their comic book characters, symbols and indicia. The primary issue in considering trademark infringement is whether there is a likelihood of confusion as to the source of the goods. Thus, if you are in the business or making or selling costumes, the unauthorized sale of a Batman costume, for example, would likely constitute trademark infringement as the customer would likely believe the costume was somehow endorsed or at least authorized by DC Comics. On the other hand, simply wearing you home made superhero costume would not likely constitute infringement absent some other representation that you are acting on behalf of the trademark owner.
Where a mark is so recognizable that it has acquired “famous mark” status, even in the absence of a likelihood of confusion, a claim could be made that a person wearing a home made or unauthorized costume bearing a trademark is diluting the distinctiveness of the mark. Dilution is the unauthorized use of a strong or famous mark in a way that weakens the distinctiveness of the mark or tarnishes it.

Some costume sellers like to see just how close they can come to infringing on the big Hollywood studio charicatures without being sued for infringement. Take for example the “Juice Demon” costume shown in this photo. Warner Bros. Entertainment owns several registered trademarks to the name Beetlejuice, including Registration No. 4,863,369, which covers the use in “Clothing for men, women and children… and masquerade and Halloween costumes and masks sold in connection therewith”. Clearly, had the seller of the costume shown in this photograph named the costume “Beetlejuice”, there would be a clear cut case of trademark infringement. However, by using the term “Juice Demon” instead, a case of trademark infringement is less clear. In that case, as will all cases of trademark infringement, the ultimate question is whether there is a liklihood that consumers will be confused as to the source of the product.

Petrifying Patents

A limited number of Halloween costumes are also subject to patent protection. U.S. Patent No. 6,904,612 issued to Chosun International is for a weather and climate adaptive Halloween costume. The owner of a patent has the right to exclude all others from making, using, selling, offering to sell or importing the patented invention. The claims of a patent, which appear at the end of the document, determine the legal scope of protection afforded to an invention. Properly drafted claims can provide broad protection resulting in a valuable asset to the owner, while poorly drafted claims can be like flushing money down the toilet.

So what’s a Ghoul to do?

Unless you are in the business of making or selling Halloween costumes, the chances that your costume would be considered an infringement is small. Still not sure? Still uncomfortable? Scared? Email us a picture of you in your Halloween costume and we will give you a FREE OPINION on whether your costume is infringing. Also, if you send us a photograph of your Halloween costume before November 4, 2022, you will be entered in a drawing to win a $50 gift card. Happy Halloween!

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