I run a small landscaping business in Oregon and have been using the same name for six years. Last month I got a cease and desist letter from a company in Florida with the same name. They say they have a federal trademark. I thought registering my business with the state gave me protection across the entire country. Now I'm worried I have to rebrand everything. Can someone explain how this actually works?
I thought business names were protected across the entire country
State registration only protects your name within that state. Federal trademarks are what give you nationwide rights, but they are separate from business registration. If the Florida company has a federal trademark and you are using a similar name in commerce, they may have a claim regardless of your state registration.
This is why I tell people to do a trademark search before picking a Name. A lot of small business owners assume the state registration is enough, but it is not.
How long have they had their trademark? If they registered after you started using the name, you might have common law rights in your area that predate theirs. But that gets complicated and usually requires a lawyer ngl.
The Florida company might not actually have a valid trademark. A lot of these demand letters are sent by companies that have a registration but it could be on the supplemental register or for a different class of goods or services. You need to look at what exactly they registered and whether your landscaping services fall under the same category.
That is a good point. Trademarks are registered in specific classes. If they registered in a completely different industry, their claim might be weak. But if they are also in landscaping or a related service, then it is more serious.
Seems like you need to talk to a trademark attorney. Not something to handle on your own if a cease and desist is involved.
Six years in business is a long time. If you can prove you were using the name first in your geographic area, you might be able to keep using it in Oregon even if they have a federal trademark. But you would be limited to that area and could not expand. Also, if they have a federal trademark that was registered before you started, you might have a harder time.
Do you have records showing when you first started using the name? Invoices, tax returns, advertising materials? That timeline matters a lot.
Also check if they have actually been using their trademark in commerce. A registration without use can sometimes be challenged. But again, this is attorney territory.
People often confuse business name registration with trademark protection. They are two different systems. The state just makes sure no two businesses in the state have the same name. The federal trademark office grants exclusive rights to use a mark in commerce nationwide, but only if no one else was using it first in a similar way. So if the Florida company registered their mark before you started using yours, they probably have priority even if you did not know about them.
The cost of rebranding might be less than a legal fight. Something to consider.
One more thing: even if you decide to rebrand, you should still respond to the cease and desist. Ignoring it can make things worse if they sue. A lawyer can help you negotiate a transition period or at least avoid a default judgment.
I went through something similar a few years ago. I had a state-registered name and got a letter from a company in another state. Turned out they had a federal trademark that was registered before I even started. I ended up rebranding. It was expensive but less stressful than fighting it.
How similar are the names? If they are identical or very close, that is one thing. If they just share a word or two, you might have more room to argue.
The letter might also be a bluff. Some companies send them hoping you will just give up without checking. But you should verify the trademark registration and get legal advice before deciding.
You can search the USPTO database yourself to see the details of their registration. Look at the filing date, registration date, and the goods and services listed. That will give you a better idea of what you are dealing with before you pay for a lawyer.