Trademarks and Trade names - Why Businesses Should Check Name Availability

A recent Florida Intellectual Property lawsuit provides clear warning to business owners – check trade names and logos out before sinking time and money into building a brand name for your business. The trademark infringement lawsuit was brought by a Florida business, The Wigglebutt Inn, against Indiana-based Wigglebutt Doghouse.
Prior to filing suit, Florida-based Wigglebutt Inn advised Wigglebutt Doghouse of the existence of its registered trademark – registered with the USPTO June 1, 2010 in connection with dog boarding and dog care. The Florida operation had begun operations in September 2009. The Cease and Desist letter provided the “Doghouse” 14 days in which to stop using “Wigglebutt” or other similar names. As the “Doghouse” failed to comply with The Wigglebutt Inn’s demand, the “Inn” filed a lawsuit against the “Doghouse” in U.S. District Court in Fort Myers, Florida, for violations of Federal trademark laws and Florida law.
The Wigglebutt Doghouse was incorporated in May of 2010, nine months after the Florida operation opened for business. The Doghouse filed legal papers to do business in the State of Indiana on September 29, 2010, three months after The Wigglebutt Inn secured its Federal Registration for the name. The “Doghouse” then spent over a year building their business under the name Wigglebutt Doghouse. They now face the necessity of defending their right to use that name – expending money and time in the effort. Further, if they are unsuccessful, they could be prevented from continued use of the name and, more importantly, could be required to turn over branded products, packaging and print materials to The Wigglebutt Inn for destruction and to turn over profits earned under the Wigglebutt name.
So what is the “moral” of this story? Before you launch your new business, service or product, make sure that the name has not been registered with the USPTO and is not already in use in commerce. Run a Google search; contact an intellectual property attorney for a check of USPTO registrations. Check for State registrations – both trademark and fictitious names. Check the corporate records in your state to see if the name is currently in use. Preliminary research and due diligence will save you time and money in the long run.
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