Can I use another company's name in my marketing?

[cmg505]

What is the name of your state (only U.S. law)? South Carolina

Hi. I am starting my own hot tub repair and service business. I was previously employed by another company doing this but was laid off when the company started to struggle financially. I want to send a postcard mailer to most of my previous customers letting them know that I have started my own company repairing hot tubs. Is it legal for me to say on my postcard that I have x amount of years working on "Hot Tub Makers" hot tubs? (fake name)
thanks

 

[quincy]

You can state your past employment. The fact that you worked for "Hot Tub Makers" is a fact. You are using the trademarked "Hot Tub Makers" name in a legally allowable way. Simply listing the company name, to inform the recipients of your postcards of your qualifications, is fine. Prospective customers will want to know your qualifications.

Special words of warning, however:

What you cannot do with your postcards or with your business is use the trademarked name "Hot Tub Makers" as a way to advertise your own business or imply in any way that "Hot Tub Makers" endorses or supports your new enterprise. If customers can be confused by your use of the trademarked name, into thinking you are still connected with "Hot Tub Makers" or that you are "Hot Tub Makers," you can be sued for trademark infringement.

In addition, if you had any sort of noncompete clause in a contract with your former employer, you could put yourself in a position of being sued if you operate a similar business in the same geographic area. Or if you attempt to disclose to your former customers any information about your former employer's financial condition, or in any other way attempt to denigrate or defame the owner or your former employer, you risk being sued.

Actually, you can be sued for simply mailing out postcards using the former employer's company name, because any one can sue anyone else for pretty much any reason at all. It's just that such a suit, when proper precautions are taken, would (under most circumstances) fail.

I seriously suggest you have a postcard "draft" reviewed by an attorney in your area prior to mailing any of the postcards out. You want to make sure you have not given your former employer any legitimate reason to file suit against you. A lawsuit is no way to start a new business.

Good luck with your new enterprise.

 

[swalsh411]

How did you obtain the customer list? Are these customers you worked for yourself or did you do something like copy the customer record file from your former employer?

 

[quincy]

Ah, good questions, swalsh! I thought I had hit on all the potential problem areas.

A mass mailing of postcards to perhaps all residents in the community, instead of a select mailing to only past customers, can avoid claims of customer-list misappropriation.