Business Registration California
business registration california
Best Western Hotel California San Francisco
A model trademark law proposed by the International Trademark Association and
currently winding its way through the legislative process in California includes a
provision which appears to be an attempt to slow this ever growing enterprise.
Best Western Hotel California San Francisco
The proposed new trademark law provides that the owner of a state registered
mark may bring an action for infringement against any persons that “knowingly
facilitate, enable, or otherwise assist a person to manufacture, use, distribute,
display, or sell any goods or services bearing any reproduction, counterfeit, copy,
or colorable imitation of a mark registered under this chapter, without the consent
of the registrant.” Under the new trademark law, a person is presumed to have
acted knowingly if that person continues to engage in the complained of activity
following delivery and receipt of a cease and desist demand letter containing
certain language and information.
In the case of brick and mortar commerce, this provision appears to be entirely
reasonable. If a landlord leasing retail space to a business receives a cease and
desist letter from a mark owner, the landlord has the ability to visit the property
and investigate the claim. Likewise, a swap meet operator receiving such a cease
and desist letter can investigate the claim and, presumably after personally
inspecting the complained of goods, would have the ability to determine whether
the goods are infringing or legitimate. Given the ability to reasonably investigate
any such infringement claims, it is reasonable that persons akin to landlords and
swap meet operators bear some responsibility for merchandise sold on their
premises. However, the question being posed now by Internet activists such as
the Electronic Frontier Foundation is how such a provision will play out in
cyberspace.
While companies such as Google, Yahoo and eBay have a large enough legal
department to handle the predicted onslaught of cease and desist letters, smaller
providers would be hard pressed to deal with the receipt a significant number of
cease and desist letters in a cost efficient manner. Rather than face litigation and
any possible adverse judgment, its likely that a smaller provider would rather
terminate service to the alleged infringer.
Cease and desist letters sent under California’s proposed new trademark law
appear somewhat related in function to the “takedown notices” under the Digital
Millennium Copyright Act. The takedown provisions of the DMCA essentially
compels an internet service provider to disable access to material allegedly
infringing the complainant’s copyright or otherwise face the loss of immunity from
claims of contributory infringement. Similarly, under the proposed trademark law,
an ISP who receives a cease and desist demand could face a trademark
infringement claim if it continues to provide access for the infringer or otherwise
continues to facilitate the infringing activity.
What about if the alleged infringer is not engaged in any infringing activity, or the
complaining party is compelled by a desire to hobble its competition? Under the
DMCA, the alleged infringer may send the ISP a counter notice claiming non-
infringement. If the ISP receives a proper counter notice the ISP is prevented from
disabling access to the complained of material and maintains its immunity from
contributory infringement. However, under the proposed trademark law if the
alleged infringer insists that it is not engaged in any infringing activity the ISP is
stuck between the proverbial rock and a hard place; the ISP is left to decide what
it must do. If the ISP believes the alleged infringer, who may also be the ISP’s
customer, but later turns out to be wrong, the ISP could face infringement liability.
If the ISP terminates service to its customer and it is later determined that its
customer was not engaging in any infringing activity, the ISP could possibly face a
breach of contract claim. Even if the ISP has language in its contract which allows
it to terminate the customer’s contract, firing a customer is not good for business.
Given the prospect of litigation or the fallout from firing a customer, ISPs and other
service providers would rather terminate a contract then face litigation. An
unscrupulous brand owner could take advantage of this by sending cease and
desist letters to end truthful but unfavorable comparative advertising or other non
-infringing uses of its marks. Unless the California legislature further amends its
proposed trademark law to address the untenable position ISPs and service
providers would be placed in, brand owner bullying is certain to occur.
Find Cheapest Hotel Click here
About the Author
What are the requirements to start my own CA based business?
I’m starting my own simple business in California with no employees. I know that I have to get the following:
DBA
Federal Tax ID
Seller’s permit/ State Tax ID (is that the same thing?)
Does that about cover it, or is there something I’m missing?
I’ve heard about a business license registration tax certificate … what is that??
Any help you can give me would be appreciated 
Thanks
The business license is your DBA.
So you need a business license and a resale permit (which is your tax ID.)
Good luck in your enterprise from a small California business owner.
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