What remedies are available for trademark infringement?
In North Carolina, remedies for trademark infringement are available to holders of federally registered trademarks or common law trademarks. Trademark infringement occurs when a person uses a trademark that is similar enough to an existing trademark that it is likely to cause confusion among consumers. The most common remedy for trademark infringement is an injunction. An injunction orders the infringing party to immediately stop using the infringing mark and refrain from further use of the trademark. If the infringing party is using the mark commercially, the court may also order the party to disgorge all profits obtained from the sale of goods or services associated with the infringing mark. In cases where the infringing party willfully used the trademark, the court may also award damages, including lost profits, corrective advertising expenses, and costs for protecting the trademark. The court may also impose a monetary penalty, which is calculated to total three times the amount of the financial gain the infringer achieved from the infringement. If the infringement is particularly egregious, the court may award punitive damages. Punitive damages are used to punish the infringing party, rather than to compensate the trademark holder. Punitive damages can be substantial and are calculated based on factors such as the amount of harm caused to the trademark holder, as well as the maliciousness of the defendant’s conduct.
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