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Different Industry. Same name.

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brox5000

Junior Member
What is the name of your state (only U.S. law)? DE LLC, NJ business

Startup in the sports garment industry. Did some focus grouping and found a name that people really like. However, found 2 different CA companies with the same name and spelling but in completely different industries; industrial fittings and couplers and a physical therapy company with a type of therapy for injury/muscle recovery.

My question is, if I change the spelling of my business and add a qualifier, should I be in the clear? I don't compete and I'm in a different industry.
Example but not actual names: CalmFit vs KalmFit Sport

Thanks for any advice
 


FlyingRon

Senior Member
There are two issues. Every corporation must have a UNIQUE name distinct from any other California entity. I suspect your two companies actually have distinct names. Either the name of the business is different from what they're trading under (for example the legal entity of Subway (restaurants) is not Subway but rather Doctor's Associates) or the names are slightly different in ways you haven't noticed. Just proposing an alternate spelling may suffice here.

The larger issue is that of trademarks. The names you use in commerce can't rise to the level that would cause confusion with other businesses. Being in different industries or geographically disparate helps here. Just "tweaking" the spelling or other trivial changes won't necessarily eliminate that appearance of confusion.
 

brox5000

Junior Member
Thanks for the reply. Yes, that's what my research shows as well. However, a further delineation beyond spelling is adding an additional word. My example was CalmFit vs KalmFit Sport. Conversely, the 2 companies in CA are spelled exactly the same but are in different industries.

So, in short, would a change in spelling and an additional qualifying word like "sport" enough?
 

FlyingRon

Senior Member
A change in spelling or additional word probably suffices for business names, but likely is NOT for trademark confusion.
 

janiekwong

Junior Member
If it happens that you are competitors in the same industry, then you have more analysis to do. But it is clear that you're not competitors, then there isn't much to worry about. Trademark is designed to prevent consumer confusion. If there is no chance for consumer confusion, then you have very very low risk.
 

quincy

Senior Member
If it happens that you are competitors in the same industry, then you have more analysis to do. But it is clear that you're not competitors, then there isn't much to worry about. Trademark is designed to prevent consumer confusion. If there is no chance for consumer confusion, then you have very very low risk.
So under your theory, janiekwong, I could start a business named "Adidas" and, as long as I didn't sell shoes, I would have a "very very low risk" of being sued? Or if I named my lingerie business "Disney" there would be no legal issue with that? Really?

The holders of famous trademarks can (and will) work to prevent ALL other uses of their trademark. There are both federal and state dilution laws that are used by famous mark holders to stop others from using their marks.

In other words, what you wrote is wrong. Making a trademark choice involves more than just determining whether another business is in competition with yours.

For your benefit, here is a link to the United States Patent and Trademark Office (USPTO): http://www.uspto.gov
 

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