In 1987, the Motion Picture Association of America (MPAA) filed for trademark protection on its rating system, seeking registration of the marks RATED G, RATED PG, RATED PG-13, and RATED R. This rating system was already strongly associated with the MPAA and variations of it had been used since the MPAA’s founding in 1922. The marks were granted without challenge, and relatively few litigations resulted. In 2014, Minneapolis-based brewery 612Brew sought registration of “Rated R” for its newest IPA beer and quickly came to the attention of the MPAA. Despite being in a different industry, the MPAA sent a cease-and-desist letter to the brewery challenging its ability to use any name similar to one of the RATED marks. In response, 612Brew rebranded its beer into UNRATED – a mark not registered by the MPAA nor by any other party.

The question of whether 612Brew had to change its beer’s name is one that gets at the heart of trademark litigation. On one level, there is the legal issue of whether a mark will likely cause consumer confusion if it is in a completely separate class of goods and services (movie ratings vs. craft beer). But there is also the financial question of how much the fight is worth to either party, and who is willing to dedicate the resources to defend their brand.

Smaller companies are inherently at a disadvantage in litigation, but creative legal approaches can help level the playing field. As many trademark disputes resolve through negotiation, it is important to have attorneys with knowledge of both the law and the industries in question. The best resolution is one that allows each company to limit its expenses and focus on what it does best – providing great products and services to its consumers.

Source: http://rt.com/usa/227979-mpaa-change-beer-name/

For more information on this topic, please visit our Trademark Litigation service page.

Klemchuk LLP is an Intellectual Property (IP), Technology, Internet, and Business law firm.  The firm offers comprehensive legal services including litigation and enforcement of all forms of IP as well as registration and licensing of patents, trademarks, trade dress, and copyrights.  The firm also provides a wide range of technology, Internet, e-commerce, and business services including business planning, formation, and financing, mergers and acquisitions, business litigation, data privacy, and domain name dispute resolution. 

Klemchuk LLP hosts Culture Counts, a blog devoted to the discussion of law firm culture and corporate core values with frequent topics about positive work environment, conscious capitalism, entrepreneurial management, positive workplace culture, workplace productivity, and corporate core values.