Why Cashing In on #Trending Trademarks Always Ends in Failure

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Tyler Marandola, left, and Jenna M. Loadman, right, of Ballard Spahr.
Tyler Marandola, left, and Jenna M. Loadman, right, of Ballard Spahr.

Tyler Marandola, left, and Jenna M. Loadman, right, of Ballard Spahr.[/caption] In the heyday of the video-sharing service Vine, Kayla Newman, a Chicago-area teen, birthed a new catchphrase for the millennial generation with two words—“on fleek.” Her original video had 20 million views on Vine, and on Instagram the hashtag “#onfleek” was mentioned over 200,000 times. Shortly thereafter five different third parties, including the teen, applied to register the phrase "on fleek" at the U.S. Patent & Trademark Office (USPTO). Only one entity was able to successfully register the mark for cosmetics and makeup. And the successful registrant was not Newman, whose application is currently suspended. In interviews, Newman expressed frustration with not being able to monetize her contribution to the cultural milieu. As Newman put it, she “gave the world a word” and never saw a dime. Social media and the connections it creates has led to the “viralization” of culture, as evidenced by the speed with which hashtags like #MeToo and #BlackGirlMagic or social movements like Time’s Up enter the collective consciousness and become household words. And as soon as they do, individuals and businesses seek to capitalize on the movements, memes and catchphrases that generate the most views. For many, trademark registration is seen as the way to cash in by obtaining exclusive rights to something everyone else wants to use or say. This instinct is understandable but misguided. In reality, the widespread use of any expression dooms its ability to function as a trademark because it will never have meaning to consumers apart from the cultural significance the phrase has attained. These “social trademarks” are therefore not trademarks at all.

What Is a Trademark?

To understand why widespread catchphrases cannot function as trademarks, it is important to first understand what a trademark is and what purpose it serves. At its most basic, a trademark is a word or symbol (or, more rarely, a sound or smell) that distinguishes the goods or services of one business from those of another. The ability of a trademark to allow consumers to tell one business’ product from another is the trademark’s “source-identifying” function. A mark must be able to function as a source-identifier, and it must also be “distinctive,” meaning that the mark is capable of distinguishing one party’s goods from another’s. Words that simply describe features of the goods—“soft and silky” used on bed sheets for example—are not distinctive because consumers perceive them as providing information about the goods, not as indicating that they come from a particular manufacturer. Thus, the strongest and most distinctive trademarks are those that bear no relation to the goods or services they are used on, such as Amazon for an online retailer. Because no other online retailer needs to use the word Amazon to describe its own services, Amazon is a distinctive mark and consumers who encounter Amazon in the online retail world can be confident they are receiving services from Amazon and not a competitor. Trademark law acts as a consumer protection regime as much as an intellectual property one. Patents and copyrights protect inventors and authors, respectively, without regard to how consumers perceive the invention or copyrightable work at issue. Trademarks, on the other hand, are only protectable to the extent necessary to protect consumers from being confused about the source of goods or services. The rights that trademark law provides brand owners are not an end in themselves; rather, by ensuring consumers can identify and distinguish between brands, the system creates marketplace efficiencies to allow people to make informed decisions about the products or services they purchase. Marks that cannot serve this purpose (i.e., identify the source of goods or services, and distinguish them from the products or services of another), are not trademarks at all and therefore cannot be registered as such. After all, “the Trademark Act is not an act to register words but to register trademarks," as in In re The Standard Oil, 125 USPQ 227, 229 (C.C.P.A. 1960) (emphasis added).