When launching a new business, product, or brand, you may want to quickly move from idea to execution. In the middle of your momentum, the trademark search step could be seen as optional or unnecessary. So, what happens if I skip the trademark search step?
You might think that this is a way to save time or money, but it can expose your business to legal and financial risk. A trademark search is more than a formality. This is an important step in protecting your brand and avoiding disputes in the future. Here is what you need to know about these searches.
What Is a Trademark Search?
A trademark search looks for existing trademarks. The purpose is to see whether your proposed name, logo, or slogan is already in use by another business. You need to identify potential conflicts before you invest in branding or file a trademark application.
With a proper search, it will look beyond a quick internet or database check. This search notes any marks that are identical or confusingly similar, including variations in spelling, sound, or meaning. Additionally, it evaluates whether they are used in related industries.
What are the risks if you don’t complete a trademark clearance search? Let’s take a look.
Your Application May Be Denied
When you don’t search, you risk the chance of a rejected trademark application. The U.S. Patent and Trademark Office (USPTO) will refuse registration if there is confusion with an existing trademark.
When that happens, the filing fees are not refunded. You may be forced to abandon the mark or start over with a new name after already investing time and money into the brand.
You Could Be Forced to Rebrand
Even if your trademark application is approved, skipping a search can still lead to other problems. If another business has prior rights to a similar mark, it may challenge your use of the name. This can happen even after your brand is already in use, with a cease-and-desist letter.
Rebranding is not easy or cheap. You will have to change business names, logos, packaging, websites, social media accounts, and marketing materials. If you have an established business, it can also mean losing customer recognition and goodwill that took years to build.
Trademark Infringement Claims
When you use a mark that is too similar to an existing trademark, you can expose yourself to claims of infringement. Trademark disputes are expensive and time-consuming. Even if you believe your use is defensible, responding to legal demands, negotiating settlements, or litigating a dispute can strain your business.
In some cases, businesses may be required to pay damages, profits, or attorney’s fees, and to stop using the mark.
Online and Marketplace Conflicts
Amazon, Etsy, Shopify, and social media sites rely on trademark ownership to resolve disputes. If you skip the search and discover another business holds trademark rights, your listings or accounts could be taken down with little warning. When you lose access to a sales or marketing channel, that can disrupt revenue and customer relationships, especially for online businesses.
Limited Enforcement Power
Skipping a trademark search can also weaken your ability to protect your brand against others.
If you do not know who else is using similar marks, you may unintentionally choose a name that has weak legal protection. This can make it harder to stop competitors from adopting similar branding. In turn, it will be harder to enforce your rights, even if you obtain a registration.
When a Trademark Search Is Needed
While every business benefits from a trademark search, it is extremely important when:
- You are investing heavily in branding or advertising
- You plan to expand nationally or online
- You intend to license or franchise your brand
- Your business name is central to your identity or reputation
In these situations, the cost of rebranding or legal disputes outweighs the cost of doing things correctly at the outset. It is time to take the extra step and conduct a trademark search for your business.
Protect Your Business with a Trademark Search
What happens if I skip the trademark search step? This can lead to denied applications, forced rebrands, legal disputes, and lost business opportunities. If your business is serious about protecting your brand, a trademark search is a required and strategic step.
At Iconic Inc., we can make sure that your business and brand are protected. Schedule a consultation today to learn about why trademark searches and other IP protections are needed for your ideas.