What is the scope of trademark dilution?
Trademark dilution is a legal concept in which a trademark owner’s rights are weakened by the unauthorized use and unauthorized association of their trademark. In New Jersey, courts are more likely to recognize trademark dilution as a separate category of trademark infringement. The scope of trademark dilution covers a variety of different uses or associations that might cause a trademark owner’s rights to be weakened. These include things like blurring, tarnishing, and free-riding of a trademark. Blurring occurs when a third-party’s use of a trademark causes the trademark to become less distinct. For example, if a company’s trademark is used too often in unrelated product lines, it would be considered “blurred” and the trademark owner’s rights could be weakened. Tarnishing occurs when a trademark is associated with a product or service that is seen in a negative light. Likewise, free-riding occurs when a third-party uses a trademark for commercial gain without paying the trademark owner a licensing fee. All of these uses of a trademark can be considered a form of trademark dilution. The purpose of trademark dilution is to protect the uniqueness of a trademark and prevent it from being diluted over time. New Jersey’s courts recognize that trademark dilution can be an issue and are therefore more likely to protect the trademark owner’s rights when a claim of trademark dilution is made.
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