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Got a trademark cease & desist — should I be worried?

Started by ScaredStartup · Nov 5, 2024 · 14 replies
For informational purposes only. Not legal advice.
SS
ScaredStartup OP

Just received a cease and desist letter from a law firm claiming my product name infringes their client's trademark. We're in totally different industries (they're B2B enterprise software, I'm a consumer app) but the names are similar.

Do I need to change my name? Do I need a lawyer? Freaking out a bit.

IP
IP_Attorney_J Attorney

Don't panic. C&D letters are often the first salvo but not all are legitimate threats. Key things to check:

1. Do they actually have a registered trademark? Search USPTO
2. What goods/services is their mark registered for?
3. Are you in the same class of goods?
4. Is there actual likelihood of confusion?

Different industries = potentially strong defense, but "similar" names could still be an issue depending on how famous their mark is.

RB
RebrndedBefore

how similar are the names? if it's like "Apex" vs "ApexCloud" you might have a fight. if it's "Apex" vs "Apexify" in totally different markets, you're probably fine but still annoying to deal with

TL
TMlaw_K

one thing people don't realize: ignoring a C&D completely is bad even if you think you're in the right. if they sue later, "willful infringement" = triple damages. at minimum, respond (or have a lawyer respond) acknowledging receipt

SS
ScaredStartup OP

Checked USPTO - they have a registration but it's in class 42 (software services). My app is class 9 (downloadable software) and class 35 (retail). Different classes... that's good right?

IP
IP_Attorney_J Attorney

Different classes helps but isn't automatic protection. Software is tricky because all software can arguably be "related." Still, B2B enterprise vs consumer app is a real distinction.

Worth getting a trademark attorney to write a response letter. Might cost $1-2K but they can push back properly. Many of these situations settle with a coexistence agreement where you both agree to stay in your lanes.

PO
PracticalOwner

Honest question: how attached are you to the name? sometimes it's cheaper to rebrand early than to fight for years. I fought a trademark dispute for 18 months and won, but lost focus on actually building the business. not always worth it

SS
ScaredStartup OP

Update for anyone following this thread: We ended up hiring a TM attorney who responded to the C&D. After some back and forth, we negotiated a coexistence agreement. They agreed to stay in the B2B enterprise space, we agreed to add a tagline to differentiate in any marketing materials.

Total legal costs were around $3,800 which stung, but way better than rebranding or litigation. The key was that we had evidence our customers weren't confused — different price points, different use cases, different everything really.

Thanks everyone for the advice. Would have panicked and probably rebranded immediately without this thread.

NF
NewFounder_2025

Jumping in because I'm dealing with something similar. Got a C&D from a company in the UK — I'm US-based. Do international trademarks even apply here? Their letter references a UK trademark registration but nothing in the US.

Feels like they're just trying to bully smaller players. Anyone dealt with cross-border TM disputes?

IP
IP_Attorney_J Attorney

@NewFounder_2025 — Trademarks are territorial. A UK registration gives them zero rights in the US. If they don't have a US registration or significant US common law rights (actual use in US commerce), their C&D has no teeth domestically.

That said, if you're planning to expand to the UK or EU, or if you sell to UK customers online, it gets more complicated. Also check if they filed a Madrid Protocol application that designates the US — that would show up in USPTO records.

Many UK/EU companies send these letters preemptively hoping you'll just comply. A polite response pointing out jurisdiction usually ends it.

SM
SaaSMike

Great outcome @ScaredStartup. Coexistence agreements are underrated — most companies would rather have certainty than litigation. Even big companies.

One tip for others: if you're early stage, file your own trademark application ASAP. Even a pending application gives you leverage in negotiations. I waited too long on my first startup and it cost me.

Also @NewFounder_2025 — definitely check if they're selling in the US at all. Sometimes these UK companies have Amazon US listings or US customers they forgot to mention, which could give them common law rights. Worth investigating before you respond.

AS
AppStartup_Dana

Super helpful thread, thanks all. Quick follow up question - @NewFounder_2025 did you ever respond to that UK company? Curious how it turned out since Im dealing with a similar cross-border situation.

Also @SaaSMike's point about filing your own TM application early is so true. Wish I'd done that before we hit product-market fit. Now rebranding would be a nightmare.

MW
MarkWebster_Dev

The coexistence agreement angle is interesting. My startup got a C&D last year and we ended up going that route too. Took about 3 months of back and forth but way better than litigation.

One tip - if you're negotiating a coexistence agreement, make sure it includes provisions for what happens if either party gets acquired. That almost bit us when the other company was bought out.

TC
TechCounsel_Lisa

Good point @MarkWebster_Dev - change of control provisions in coexistence agreements are critical and often overlooked. Also worth including non-expansion clauses (they stay in their market, you stay in yours) and mutual non-disparagement.

These agreements can get complex but they're so much cheaper than fighting in court. I draft probably 10-15 of these per year for startup clients.

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