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3 kinds of damages you can claim for Trademark infringement

When a Fort Lauderdale business discovers that another party has infringed on one of its Trademarks, usually stopping the infringement is the victim’s top priority. And rightfully so; you registered your trademarks so that only your business can use them to market your goods or services to the public.

An injunction will stop the infringement and affirm your exclusive right to your Trademarked material. But it is not the only damages the plaintiff in a Trademark infringement case can seek. It is also possible to receive monetary damages.

There are three types of compensation for Trademark infringement:

1. Gross Profits. The defendant’s gross profits based on the infringement may be compensable. This is the profits from using the Trademarked mark, minus the expenses the plaintiff would have incurred to earn those profits, such as production costs.

2. Actual damages. This refers to the losses incurred by the plaintiff because of customer confusion caused by the infringement. The plaintiff must prove its actual losses, and in some cases also prove actual confusion or deception, to collect.

3. Lost Profits. As opposed to actual damages, this type of damages is to compensate the plaintiff for profits it would have made had the defendant not infringed on the plaintiff’s Trademark.

Because the verdict in a Trademark infringement lawsuit can cost either party a lot of money, it is very important that a business involved in a Trademark dispute retain an experienced Intellectual Property attorney to help them examine the evidence and build a solid legal strategy.

Source: Inside Counsel, “The 3 types of trademark damages claims an economic expert can help prove,” Devon Zastrow Newman, Apr. 10, 2015

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