What is the scope of the Lanham Act’s false designation of origin claim?
The Lanham Act, which is the federal law that governs trademarks, trade dress, and unfair competition, includes a provision known as the false designation of origin claim. This claim is a type of federal unfair competition law designed to protect businesses and organizations from another person or entity using a name that is likely to confuse the public as to the true source of goods or services. Specifically, under the false designation of origin claim, it is illegal for a business or organization to use a name, symbol, word, or combination of any of these items that is likely to confuse the public as to the true source of goods or services. For example, if a company sells a product under the name “Rolex”, when Rolex is actually a brand name owned by another company, they can be sued for falsely indicating that the product is associated with, endorsed by, or part of the Rolex brand. In South Carolina, this law is enforced by both federal and state courts. The scope of this claim is broad, and includes cases where individuals or companies are falsely representing the origin of goods or services, using false claims of certification or approval of goods or services, or using a name, symbol, or word that is likely to confuse the public as to the true source of goods or services. It is important for businesses and organizations to be aware of the scope of this claim so that they can ensure compliance with the law and protect themselves from potential legal liability.
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