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Trademark Infringement Demand Letters

Lanham Act – 15 U.S.C. §§1114, 1125(a)

Federal Trademark Infringement Law
📋 Federal Protection: Trademark rights arise from use in commerce, but federal registration under the Lanham Act provides nationwide priority, presumptions of validity and ownership, and access to federal courts with enhanced remedies.
Lanham Act Infringement Claims
Statute Coverage Requirements
§1114 (15 U.S.C.) Registered trademark infringement Use in commerce of registered mark or colorable imitation likely to cause confusion
§1125(a)(1)(A) False designation of origin / unregistered mark infringement Use of mark likely to cause confusion as to origin, sponsorship, or approval (no registration required)
§1125(a)(1)(B) False advertising False or misleading commercial statements about own or competitor's products
§1125(c) Trademark dilution (famous marks only) Use causing blurring or tarnishment of famous mark
Elements of Trademark Infringement (§1114 & §1125(a))
  • You own a valid trademark: Either registered or common-law rights from prior use in commerce
  • Defendant uses a mark in commerce: In connection with goods/services
  • Defendant's use is likely to cause confusion: As to source, origin, sponsorship, or affiliation
Benefits of Federal Registration
  • Nationwide constructive notice of your claim (prevents others from claiming good faith)
  • Presumption of validity and exclusive right to use mark
  • Ability to bring federal lawsuits
  • Statutory damages and treble damages in some cases
  • U.S. Customs can block imports of infringing goods
  • After 5 years, registration becomes "incontestable" (very strong presumptions)
Remedies – 15 U.S.C. §1117
Remedy Details
Injunctive relief Permanent injunction barring future use of infringing mark
Defendant's profits Infringer's profits attributable to infringement (you prove revenue; they prove expenses)
Your actual damages Lost sales, licensing fees, harm to reputation
Costs Litigation costs awarded to prevailing party
Attorney's fees Available in "exceptional cases" (bad faith, willful infringement)
Treble damages Court may increase damages up to 3× in exceptional cases
Destruction of infringing materials Court orders destruction of goods, packaging, labels, signs bearing infringing mark
⚠️ Trademark Bullying Risk: Overreaching demands against weak or non-confusing uses can backfire. Recipients may seek declaratory judgment, and courts/public opinion penalize "trademark bullies."
Proving Likelihood of Confusion
Multi-Factor Test

Courts use multi-factor tests (varies by circuit) to evaluate likelihood of confusion. Common factors:

Factor Analysis
1. Strength of your mark Fanciful/arbitrary marks (strongest); suggestive; descriptive (weak); generic (no protection)
2. Similarity of marks Sight, sound, meaning, commercial impression; dominant elements
3. Proximity of goods/services Same industry? Complementary products? Overlapping distribution channels?
4. Likelihood consumers will bridge the gap Will you expand into defendant's market? Have you licensed mark for related goods?
5. Evidence of actual confusion Misdirected customer contacts, surveys, social media confusion (very strong evidence)
6. Defendant's intent Did defendant adopt mark to trade on your goodwill? (Suggests bad faith)
7. Quality of defendant's goods If inferior quality associated with your mark, reputational harm
8. Sophistication of consumers Sophisticated B2B purchasers less likely confused than general consumers
💡 No Single Factor is Dispositive: Courts weigh all factors together. Strong evidence in a few factors can outweigh weakness in others. Actual confusion is the strongest evidence but not required.
Common Infringement Scenarios
  • Identical or nearly identical marks for competing goods: Clear infringement
  • Similar marks for related goods: Depends on sophistication of consumers, marketing channels
  • Identical marks for unrelated goods: Usually no confusion unless mark is famous (dilution claim possible)
  • Domain name / social media handles: Likelihood of confusion online is fact-specific; initial interest confusion doctrine applies
  • Keyword advertising: Buying competitor's trademark as Google Ads keyword can be infringement if ads are confusing
Evidence to Gather
  • Your mark documentation: Registration certificates, specimens, first use dates, advertising spend
  • Defendant's use evidence: Screenshots of website/ads/packaging, product listings, domain WHOIS
  • Actual confusion: Emails from confused customers, social media posts, misdirected inquiries
  • Market overlap: Evidence you compete in same channels (retailers, trade shows, online platforms)
  • Intent evidence: Defendant's internal emails, prior cease-and-desist awareness, copycat timing
Weaker Cases / Defenses to Anticipate
  • Descriptive or weak mark: "Best Plumbing" vs. "Best HVAC" – hard to monopolize descriptive terms
  • Crowded field: Many similar marks in industry weakens each owner's claim
  • Different channels: High-end retail vs. discount online – less confusion
  • Geographically separate: If both parties have common-law rights in different regions, both may coexist
  • Senior user defense: Defendant proves they used mark first
Drafting Trademark Demand Letters
Strategic Goals
  • Cease use of infringing mark and adopt non-confusing alternative
  • Transfer or cancel domain name if applicable
  • Payment for past infringement or licensing revenue
  • Destruction of materials bearing infringing mark (packaging, signs, inventory)
  • Co-existence agreement (if interests can be harmonized – different territories, markets)
Letter Structure & Tone
  • Professional, measured tone: Avoid "trademark bully" perception
  • Educate on law: Briefly explain likelihood-of-confusion standard
  • Offer business resolution: Phase-out period, licensing, name change assistance
  • Reasonable deadline: 14–21 days typical
  • Preserve goodwill: If parties might have ongoing relationship (supplier, customer, complementary businesses), frame as "protecting both parties' interests"
Essential Components
Section Content
Your trademark rights Mark, registration no. (if registered), classes, first use date, incontestable status if applicable
Description of infringing use Defendant's mark, where it appears (website, products, social media), goods/services offered
Likelihood-of-confusion analysis Highlight strongest factors: identical/similar marks, overlapping goods, actual confusion if any
Legal consequences Reference §§1114, 1125(a); remedies (injunction, profits, damages, treble damages, fees in exceptional cases)
Demand Cease use by [date]; transfer domain; destroy materials; payment if applicable
Business alternatives Offer phase-out schedule, co-existence if appropriate, licensing for legitimate continued use
Response deadline 14–21 days; state intent to file federal lawsuit if no response
⚠️ Declaratory Judgment Risk: Aggressive letters can prompt recipients to file DJ actions in their preferred forum, putting you on defense. Balance firmness with reasonableness.
What to Avoid
  • Threatening criminal prosecution (trademark infringement is rarely criminal)
  • Overreaching claims (demanding cessation of non-infringing uses like fair use, parody)
  • Demanding monetary damages without basis (unless you have actual damages or strong profits calculation)
  • Rigid all-or-nothing demands (prevents negotiation)
Special Considerations
  • Domain disputes: Consider UDRP (Uniform Domain-Name Dispute-Resolution Policy) for faster, cheaper resolution than litigation
  • Small businesses: Offering reasonable transition period (60–90 days) and name-change assistance can lead to faster resolution
  • Innocent adopters: If defendant had no knowledge of your mark, emphasize education over punishment
  • Bad-faith infringers: If defendant deliberately copied your mark, shorter deadline and more aggressive tone appropriate
Sample Trademark Demand Letters
Sample 1: Registered Trademark – Product/Brand Name Infringement
[Your Company Name] [Address] [Email / Phone] [Date] [Defendant Company Name] [Address] Re: Trademark Infringement of [YOUR MARK®] – Demand for Immediate Cessation Dear [Recipient Name]: I am writing on behalf of [Your Company], the owner of the federally registered trademark [YOUR MARK] (U.S. Reg. No. [Number], registered [Date], Int'l Class [XX] for [goods/services]). Our mark has been in continuous use since [First Use Date] and is registered on the Principal Register, having achieved incontestable status. We have recently discovered that your company is using the confusingly similar mark "[Their Mark]" in connection with [their goods/services] as displayed on your website [URL], product packaging, and [other locations]. Your use constitutes trademark infringement under 15 U.S.C. § 1114 and false designation of origin under § 1125(a). LIKELIHOOD OF CONFUSION: Your mark is likely to cause confusion with our registered mark based on the following factors: 1. Similarity of Marks: "[Their Mark]" is [identical / nearly identical in sound, appearance, and meaning] to our registered mark [YOUR MARK]. 2. Relatedness of Goods/Services: We both operate in the [industry] sector, offering [similar products/services] to overlapping customer bases. 3. Channels of Trade: Both marks are used in [retail stores / online marketplaces / trade shows / etc.], increasing likelihood consumers will encounter both and assume affiliation. 4. Actual Confusion: [If applicable: We have received multiple customer inquiries and complaints from individuals who believed your company was affiliated with or authorized by us. (Attach evidence.)] 5. Defendant's Intent: [If applicable: Your adoption of this mark shortly after our product launch / in the same geographic market suggests intent to trade on our goodwill.] LEGAL REMEDIES: As the owner of a valid, incontestable federal registration, we are entitled under 15 U.S.C. § 1117 to: • Injunctive relief prohibiting your use of the infringing mark; • Recovery of your profits from sales using the infringing mark; • Our damages from lost sales and harm to our brand reputation; • Destruction of all materials bearing the infringing mark; • In exceptional cases, treble damages and attorney's fees. DEMAND FOR RESOLUTION: To avoid federal litigation, we demand: 1. Immediate cessation of all use of "[Their Mark]" in any form by [Date - 21 days from letter]; 2. Confirmation in writing that you will adopt a non-confusing alternative mark; 3. [If domain: Transfer of domain name [domain.com] to our ownership]; 4. Destruction of all inventory, packaging, signage, and promotional materials bearing the infringing mark; 5. [If seeking damages: Payment of $[Amount] representing estimated profits from infringing sales OR licensing fees for unauthorized use]. We recognize that transitioning to a new brand name involves costs and disruption. We are willing to discuss a reasonable phase-out period [e.g., 90 days for existing inventory] provided you immediately cease new production and advertising under the infringing mark. Please respond by [Deadline Date] with your agreement to these terms or a proposal for resolution. If we do not receive a satisfactory response, we will proceed with filing a federal trademark infringement lawsuit without further notice. We prefer to resolve this matter amicably. Please contact me directly at [Email/Phone] to discuss. Sincerely, [Your Name / Authorized Representative] [Title] Enclosures: - Trademark Registration Certificate - Screenshots of Defendant's Use - Evidence of Actual Confusion (if applicable)
Sample 2: Domain Name / Online Trademark Infringement
[Your Company] [Address] [Email / Phone] [Date] [Domain Registrant Name] [Address from WHOIS] Re: Trademark Infringement via Domain Name [InfringingDomain.com] Dear [Registrant]: We are the owner of the trademark [YOUR MARK] (U.S. Reg. No. [Number]), used in connection with [goods/services]. We have discovered that you registered and are using the domain name [InfringingDomain.com], which incorporates our registered trademark. INFRINGEMENT: Your domain name is confusingly similar to our trademark and is being used to [describe use: sell competing products / divert traffic / affiliate marketing / etc.]. This use constitutes: 1. Trademark infringement under 15 U.S.C. § 1114; 2. Cybersquatting under the Anticybersquatting Consumer Protection Act (ACPA), 15 U.S.C. § 1125(d), if you registered the domain in bad faith with intent to profit from our mark. Internet users searching for our company are likely to encounter your domain and believe it is affiliated with, sponsored by, or approved by us. This creates initial interest confusion and diverts potential customers. REMEDIES: Under the ACPA, we are entitled to: • Transfer or cancellation of the infringing domain name; • Statutory damages of $1,000 to $100,000 per domain name; • Actual damages and your profits; • Attorney's fees and costs. Alternatively, we may pursue resolution under ICANN's Uniform Domain-Name Dispute-Resolution Policy (UDRP), which provides for expedited transfer of domain names registered in bad faith. DEMAND: We demand: 1. Immediate cessation of use of [InfringingDomain.com] for any commercial purpose; 2. Transfer of the domain name to our ownership within 14 days; 3. Disclosure of any revenue generated from the domain. If you believe you have legitimate rights to use this domain, please provide documentation of those rights (e.g., trademark registration, evidence of prior use in commerce predating our mark). Otherwise, please initiate the transfer process immediately to avoid costly litigation or UDRP proceedings. Please respond by [Date] to arrange transfer or to discuss this matter. Sincerely, [Your Name] [Company]
Sample 3: Co-Existence / Licensing Offer
[Your Company] [Address] [Email / Phone] [Date] [Company Name] [Address] Re: [YOUR MARK] Trademark – Proposal for Co-Existence Agreement Dear [Recipient]: We are the owner of the registered trademark [YOUR MARK] (U.S. Reg. No. [Number]) for [goods/services]. We have become aware that you are using the similar mark "[Their Mark]" for [their goods/services]. While there is potential for consumer confusion between our marks given [brief explanation: similarity, market overlap], we recognize that you have also invested in building your brand and that our businesses [serve different market segments / operate in different geographic regions / target different customer demographics]. PROPOSAL: Rather than pursue litigation, we propose a co-existence agreement with the following terms: 1. Geographic/Channel Limitations: You may continue using "[Their Mark]" provided you operate exclusively in [specific region / online only / specific retail channels]. 2. Disclaimers: Your marketing materials and website include a clear disclaimer that you are not affiliated with [Your Company]. 3. Trade Dress Differentiation: You adopt different color schemes, logos, and packaging design to minimize visual confusion. 4. Field of Use: You limit use to [specific goods/services not overlapping with ours]. 5. Monitoring & Compliance: Both parties agree to periodic review to ensure no expansion into the other's protected territory. This arrangement would allow both businesses to operate without the expense and uncertainty of litigation. We are open to discussing the specific terms and adjusting boundaries to fairly reflect both parties' interests. Please let us know by [Date] if you are interested in pursuing this approach. If we cannot reach agreement, we reserve all rights to enforce our trademark through litigation. Sincerely, [Your Name] [Title]
Defenses & Responding to Trademark Demands
Evaluating a Trademark Demand Letter
📥 Received a Trademark Demand? Don't ignore it, but don't immediately capitulate. Evaluate the strength of their claim and your defenses before responding.
Initial Assessment Checklist
  • Verify their rights: Search USPTO TESS database for registration; check status (live, abandoned, cancelled)
  • Check registration details: What classes? What goods/services? Is it actually registered or just applied-for?
  • Evaluate likelihood of confusion: Honestly assess whether consumers would be confused
  • Review your timeline: When did you start using your mark? Do you have senior rights?
  • Assess damages exposure: How much have you invested in the mark? Can you rebrand?
Common Defenses
Defense When It Applies
No likelihood of confusion Marks are not similar; goods/services are unrelated; different channels/geographies; sophisticated consumers
Fair use – descriptive Your use describes your goods/services in their ordinary meaning, not as a trademark (e.g., "sharp" for knives)
Fair use – nominative You use their mark to refer to their product (e.g., "compatible with [BRAND]" or comparative advertising)
Prior use / senior rights You used the mark in commerce before they did (common law rights trump later federal registration in your geographic area)
Generic or descriptive mark Their mark is weak or not protectable; crowded field
Abandonment They stopped using the mark for 3+ years with intent not to resume
Laches They unreasonably delayed enforcing rights while you built up your brand
First Amendment Your use is expressive (parody, commentary, artistic work)
Response Strategies

1. Immediate Rebrand (if weak position):

  • If you clearly infringe and have limited investment in your mark, consider quick rebrand to avoid litigation costs
  • Negotiate transition period and agreement not to sue for past use

2. Negotiate Coexistence:

  • Propose geographic, channel, or field-of-use limitations
  • Offer to modify mark slightly or add disclaimers
  • Useful when both parties have legitimate interests and can coexist without confusion

3. Assert Defenses / Refuse to Comply:

  • If you have strong defenses, send detailed response explaining why no infringement exists
  • Provide evidence of prior use, market differentiation, lack of confusion
  • Signal willingness to defend in court if necessary

4. File Declaratory Judgment Action:

  • If you want certainty and want to choose the forum, file DJ action seeking declaration you don't infringe
  • Strategic in cases where you have strong defenses and they've created reasonable apprehension of suit
⚠️ Trademark Bullying: Some trademark owners overreach, threatening small businesses over weak claims to chill competition. If demand seems overreaching, consult counsel about pushing back or seeking declaratory judgment. Courts and public opinion penalize bullies.
Settlement Negotiation Tips
  • Emphasize your investment in the mark and customer goodwill built up
  • Offer modifications (different spelling, added disclaimer) rather than full cessation
  • Request mutual release and covenant not to sue
  • If you must rebrand, negotiate their payment of some transition costs
  • Get agreement in writing; record with USPTO if it involves geographic or use restrictions
When to Fight
  • You have prior use and senior rights in your region
  • Their mark is weak/descriptive and you have legitimate descriptive use
  • No realistic likelihood of confusion (different industries, channels, consumer bases)
  • Rebranding would destroy significant business value
  • Their claim is clearly pretextual or bullying
Attorney Services for Trademark Disputes
Trademark Conflict?

I represent trademark owners seeking to enforce their rights and businesses defending against infringement claims. Whether you need to protect your brand or respond to a cease-and-desist letter, I provide strategic counsel to achieve the best outcome.

For Trademark Owners
  • Draft cease-and-desist letters balancing firmness with business resolution
  • Conduct trademark clearance searches before you invest in branding
  • Register trademarks with USPTO and maintain registrations
  • Negotiate co-existence agreements and licensing deals
  • File federal trademark infringement lawsuits
  • Pursue UDRP and ACPA domain name disputes
  • Obtain preliminary injunctions to stop ongoing infringement
  • Oppose infringing trademark applications at USPTO
For Businesses Accused of Infringement
  • Evaluate strength of infringement claim and available defenses
  • Respond to cease-and-desist letters with defense analysis
  • Negotiate coexistence agreements and settlements
  • Defend federal trademark litigation
  • File declaratory judgment actions when strategic
  • Challenge weak or invalid trademark registrations
  • Rebrand efficiently while minimizing business disruption
Why Early Legal Advice Matters
Avoid Costly Mistakes: Trademark disputes can escalate quickly. For owners, a poorly drafted demand letter can trigger declaratory judgment actions in unfavorable forums. For accused infringers, ignoring demands or making admissions can waive defenses and increase damages. Early counsel preserves options and leverage.
Common Trademark Disputes
  • Brand name and logo infringement
  • Domain name cybersquatting (UDRP, ACPA)
  • Product packaging and trade dress
  • Keyword advertising (Google Ads, Amazon)
  • Social media handle disputes
  • Franchise and licensing breaches
  • Geographic expansion conflicts
Schedule a Call

Book a call to discuss your trademark matter. I'll review the facts, assess infringement and defenses, and recommend a strategy for enforcement or resolution.

📝 Create Your Demand Letter

Generate a professional demand letter, CA court complaint, or arbitration demand

Contact Information

Email: owner@terms.law

Frequently Asked Questions
No. Common-law trademark rights arise from use in commerce, even without registration. You can enforce those rights in your geographic area and against later users. However, federal registration provides nationwide priority, presumptions of validity, access to federal courts, and enhanced remedies including statutory damages. If you're serious about your brand, register it.
Descriptive marks ("Best Plumbing," "Quality Cleaners") are weak and hard to protect unless they've acquired secondary meaning (consumers recognize the term as identifying your specific business, not just describing the service). Fanciful (made-up words), arbitrary (unrelated words like "Apple" for computers), and suggestive marks are stronger. If you choose a descriptive name, expect limited ability to stop others from using similar descriptive terms.
If you have federal registration, your rights are nationwide (subject to prior use defenses in limited geographic areas). If you only have common-law rights from use, your rights are generally limited to your geographic market area and natural expansion zones. If both parties have common-law rights in different regions with no overlap, both can often coexist. Federal registration solves this problem by giving nationwide priority.
Federal trademark litigation is expensive: $100,000–$500,000+ through trial, depending on complexity. Most cases settle. Preliminary injunction motions (early in case) can cost $50,000–$150,000 alone. This is why demand letters are strategic – even a weak infringement claim creates settlement pressure because defense costs exceed settlement value for many small businesses. Consider costs vs. potential damages before deciding to litigate or defend.
Trademark Damages Calculator

Estimate potential damages in your trademark infringement case. Under 15 U.S.C. Section 1117, trademark owners can recover the infringer's profits, actual damages, and in exceptional cases, treble damages and attorney's fees.

Total revenue from sales using the infringing mark
Percentage of revenue that was legitimate expenses
Lost sales, diverted customers, licensing fees lost
Harm to brand reputation, corrective advertising costs
Affects treble damages and attorney's fees
Stronger marks typically receive higher awards

📈 Estimated Damages Breakdown

Infringer's Profits (Disgorgement) $0
Your Actual Damages $0
Reputation/Goodwill Harm $0
Base Damages Subtotal $0
Potential Treble Damages (Exceptional Cases) $0 - $0
Attorney's Fees (If Exceptional) Potentially recoverable
TOTAL ESTIMATED DAMAGES $0 - $0
Disclaimer: This calculator provides rough estimates for educational purposes only. Actual trademark damages vary significantly based on evidence, proof of actual confusion, the court's discretion, and many other factors. Treble damages and attorney's fees are only available in "exceptional cases" involving willful infringement or bad faith. Consult with a qualified trademark attorney for case-specific advice.
💡 Key Factors in Trademark Damages:
  • Burden of Proof: You prove infringer's revenue; they must prove deductible expenses
  • Actual Confusion Evidence: Documented instances of customer confusion increase awards
  • Willfulness: Bad faith adoption significantly increases damages and fee-shifting
  • Registration Status: Federal registration enables full range of remedies