As Tariffs Rise, Cos. Can Address Trademark Non-Use Risks

Rising geopolitical tensions in the form of tariffs and sanctions are a topic of increasing concern for many companies. As governments pursue assertive trade and foreign policy agendas, a likely result is that many companies may temporarily be unable to sell their goods and services in the U.S.

A downstream effect is the potential impact on a company's trademark portfolio. If a period of trademark non-use in the U.S. becomes extended, this creates a risk that the trademark rights could be lost.

Third parties can challenge a company's marks based on non-use, arguing that the company's mark has been abandoned because it is no longer used and, thus, is unenforceable and should be canceled. Companies may also have difficulty renewing or maintaining their trademark registrations for marks not being used in commerce.

However, there are strategies to minimize this risk and protect a company's trademark portfolio. This article provides guidance on how companies can navigate these challenges and maintain a strong trademark portfolio in the U.S. market.