Is this infringment?

I am in New Jersey

I have a cousin who is a graphic design graduate. She is very talented and is trying to build a portfolio of work. As you may imagine, it's hard to break into the design world without a body of work. So I suggested she create designs for non-existent companies to show off her abilities.

Someone else suggested that maybe she should find a company (I'll call them Co. X) that has a logo that she wants to redesign. She would new design for the logo and state clearly underneath that she was not hired to do the design, but if she were, this is what she would do. She would publish on an online portfolio site Co. X's existing logo adjacent to her concept logo.

I thought that was an interesting idea, but obviously a bunch of legal questions came up. Firstly is she infringing on Co. X in any way? Further does Co. X have any rights to use the design? If she uses a shared portfolio site to showcase her examples, are they liable for anything?

Much appreciated.

Your suggestion to your cousin is an excellent one. It would work to showcase her talents and attract clientele.

The "someone else"s suggestion, however, could be legally problematic.

Company X has not only trademark rights in their logo, they also have trademark rights in their name. Using the Company X name to describe the company is no problem, but when you get into using their name or their identifiers like logos in a commercial manner, you risk infringing on their rights.

For a portfolio that is not widely showcased (ie, on a website or in distributed brochures), the risk of any consumer confusion over the use of the Company X name would probably be pretty slim. But if your cousin has plans to expand to the internet, then the risks increase substantially, even with disclaimers.

The consumer confusion, including any confusion by any company that may wish to hire her, could potentially result in Company X taking some sort of action (a cease and desist letter, probably; an infringement action possibly) against your cousin. There are also dilution claims possible and even unfair competition claims. Not the best way to start a career.

Another suggestion that is sort of a cross between the suggestions made by you and the other person is to have your cousin seek out already existing companies that have a name to identify them but no logo. These could be the mom-and-pop stores in a community. She could volunteer her talents to design for such a company or companies a logo, free of charge or perhaps for a materials-cost price, in exchange for the right to use these logos in her portfolio and marketing brochures and on her online website.

The companies win by having a logo designed by a talented new designer and they win by the free advertising they receive by being showcased in your cousin's portfolio. Your cousin wins by having logos to display that she created for real companies who might not otherwise be able to afford them, and by having satisfied clients of these logos to spread the word of her talents.

If your cousin chooses the other person's suggestion, I suggest she run it by an attorney in her area first, so she can get a better idea of the risks she might face. Your suggestion and mine are relatively risk-free.