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L.A. Rams Trademark Lawsuit: Lessons for Technology Startups

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When it comes to building a strong brand, technology startups can learn valuable lessons from trademark disputes in industries as diverse as professional sports including the L.A. Rams trademark lawsuit. One such case is Johnny Blastoff, Inc. v. Los Angeles Rams Football Co., a 1998 trademark lawsuit that underscores the importance of securing intellectual property rights early and understanding how trademarks are protected across industries and markets.

In this blog, we’ll explore the details of the L.A. Rams trademark lawsuit, analyze the legal principles at play, and provide actionable advice for technology startups looking to avoid similar mistakes and potential legal issues in the realm of intellectual property.

Overview of the L.A. Rams Trademark Lawsuit

The lawsuit arose in the mid-1990s, as the Los Angeles Rams football team prepared to relocate to St. Louis. In 1994, Johnny Blastoff, Inc., a Wisconsin-based company owned by John Doescher, registered the domain name stlouisrams.com. Doescher claimed he had trademark rights to the name “St. Louis Rams” because he conceived of the idea to use it for marketing merchandise before the team’s relocation.

Doescher argued that his registration of the domain name and intention to market under the “St. Louis Rams” name gave him trademark rights, whereas the Los Angeles Rams Football Co. argued that they had been using the “Rams” trademark in commerce since the 1930s and had no intention of abandoning it.

Rams trademark lawsuit, L.A. Tech and Media Law Firm, Santa Monica Technology Lawyer, Torrance trademark attorney, Pasadena copyright law firmKey Legal Issues in the L.A. Rams Trademark Lawsuit

  1. Trademark Priority and Use in Commerce
    To establish trademark rights, a party must prove they are the first to use the mark in commerce. In this case, Johnny Blastoff, Inc. argued that registering the domain name gave them priority. However, the court ruled that merely registering a domain name did not constitute sufficient use in commerce to establish a trademark. The court emphasized that active and bona fide commercial use is necessary to secure trademark rights.
  2. Abandonment of Trademark Rights
    Doescher also argued that the Rams abandoned their trademark when they moved from Los Angeles to St. Louis, claiming that this change meant the “Rams” mark had been relinquished. However, the court ruled that moving to a different geographic location did not constitute abandonment. The Rams had continuously used their trademark, and their relocation did not impair their rights to the name.

Outcome of the L.A. Rams Trademark Lawsuit

The court ruled in favor of the Los Angeles Rams Football Co., finding that Johnny Blastoff, Inc. did not have legitimate rights to the “St. Louis Rams” trademark or domain. The key takeaway here is that Doescher’s registration of a domain name, without active commercial use or a genuine business plan behind it, did not entitle him to claim priority over an established brand like the Rams.

Legal Principles for Technology Startups

1. First-to-Use, Not First-to-Register

One of the most important lessons from the Johnny Blastoff case is the distinction between simply registering a domain or trademark and actually using it in commerce. Trademark rights in the United States are primarily governed by first use in commerce rather than registration. While registering a domain name or trademark is important, startups must also ensure that they actively use the mark in connection with their goods or services.

Best Practice:
Ensure your brand is in use as early as possible, even in a limited capacity, and be prepared to demonstrate this use in case of any disputes. For example, if you’ve developed a product under a certain brand name, begin marketing or selling it publicly to establish commercial use.

2. Avoid “Cybersquatting”

Registering a domain name with the sole intention of selling it to a legitimate business, often referred to as “cybersquatting,” is not a valid way to establish trademark rights. The Johnny Blastoff case demonstrates that having a domain is not enough—you must have a legitimate business purpose tied to the domain or mark.

Best Practice:
If your startup is registering domain names, make sure they align with your business objectives. Don’t simply register domain names based on anticipated trends without planning to build a business around them. This practice can lead to legal challenges and may violate anti-cybersquatting laws.

3. Continuity of Trademark Use

In the Rams trademark lawsuit, successful argument against abandonment serves as a reminder that trademarks remain valid as long as they are used continuously in connection with the business, regardless of changes in geographic location or minor variations in branding. A trademark is a valuable asset that can continue to evolve with your company, so long as you don’t “abandon” it.

Best Practice:
Startups that expand or pivot to new markets must continue using their trademarks in ways that are consistent with their original use. For example, if your startup moves into international markets, ensure your trademark is protected and used in those regions as well. Registering your trademark in multiple jurisdictions can provide extra protection.

4. Protect Your Trademark Early

In today’s digital economy, securing intellectual property assets like trademarks early can prevent costly disputes. The Johnny Blastoff case shows the importance of having a clear strategy for intellectual property protection. If Johnny Blastoff, Inc. had focused on building a legitimate business around the “St. Louis Rams” mark, the outcome may have been different.

Best Practice:
Conduct thorough trademark searches before settling on a business name or product brand. Once you have identified a unique and available name, file a trademark application early in your business’s life cycle to avoid disputes later. Consult with an experienced intellectual property attorney to ensure you’re adequately protected.

Lessons for Tech Startups from the L.A. Rams Trademark Lawsuit

The L.A. Rams trademark lawsuit serves as a cautionary tale for technology startups. Trademark disputes can arise in any industry, and ensuring your business is protected from the outset can save significant time and money. Here are the key takeaways:

  • Actively use your trademarks in commerce to establish priority.
  • Avoid cybersquatting by ensuring your domains and trademarks align with your actual business activities.
  • Continuously use your trademarks to avoid claims of abandonment, even as your business grows and changes.
  • Secure your trademark rights early to protect your brand and prevent potential disputes.

By taking these steps, startups can build strong brands that are legally protected and positioned for long-term success.

If you’re a tech startup looking to protect your brand, avoid costly trademark disputes, and secure your intellectual property, don’t wait until it’s too late. Contact the L.A. Tech & Media Law Firm today for expert trademark consultation. Our experienced attorneys can guide you through every step of the trademark process, from registration to enforcement, ensuring your business is protected and positioned for success.

Get started now—contact us to schedule a confidential consultation and safeguard your brand’s future!

Picture of David N. Sharifi, Esq.
David N. Sharifi, Esq.

David N. Sharifi, Esq. is a Los Angeles based intellectual property attorney and technology startup consultant with focuses in entertainment law, emerging technologies, trademark protection, and “the internet of things”. David was recognized as one of the Top 30 Most Influential Attorneys in Digital Media and E-Commerce Law by the Los Angeles Business Journal.
Office: Ph: 310-751-0181; david@latml.com.

Disclaimer: The content above is a discussion of legal issues and general information; it does not constitute legal advice and should not be used as such without seeking professional legal counsel. Reading the content above does not create an attorney-client relationship. All trademarks are the property of L.A. Tech & Media Law Firm or their respective owners. Copyright 2024. All rights reserved.

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