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Study shows that trademark infringement continues to rise

Businesses in California have more opportunities than ever due to emerging markets, globalization and online commerce. As a result, a trademark research and protection company noted that companies are filing more trademarks than ever before in an effort to register and protect valuable intellectual property. An increasing level of trademark infringement cases has prompted businesses to pay closer attention to identifying and defending their trademarks from infringement that frequently damages brands and revenue.

A 2019 survey found that 85% of brands had to grapple with trademark infringement issues over the past year. In 2018, 81% of businesses reported the problem, which was an increase from 74% in 2017. Infringement took many forms with violations of trademarks occurring with business names, web domains, social media accounts, online marketplaces and advertising. These represented the top kinds of misuse.

Survey respondents indicated that customer confusion accounted for 45% of damages resulting from infringement. Another 38% lost revenue because of infringing actions, and 37% reported that their brand reputations were damaged. Nearly half of infringement targets needed to rebrand themselves to recover from the damage. Three-quarters of trademark holders chose to take legal action when confronted by infringement.

Official registration of intellectual property forms the legal foundation for bringing legal action against an infringing party. An attorney might detail the process for challenging unlicensed use of intellectual property and aid with the documentation of harm and financial losses linked to the infringement. This information could strengthen a business's position in court during trademark infringement litigation. An attorney might communicate this evidence in court to justify a claim for financial damages. Legal counsel could also explain appropriate strategies for rebuilding a brand and monitoring against future infringement.

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