House IP Subcommittee Explores Options for Bad Trademark Apps, Counterfeits

A spike in fraudulent trademark applications, mostly from China, is blocking new innovation and harming small businesses, said House Intellectual Property Subcommittee Chairman Hank Johnson, D-Ga., at a hearing Thursday. He’s crafting legislation to combat frivolous trademark applications (see 1905090055). Congress needs to know what additional authority the Patent and Trademark Office might need to address that issue, plus data about the prevalence of counterfeit goods online, said ranking member Martha Roby, R-Ala. Commissioner for Trademarks Mary Boney Denison highlighted PTO efforts to thwart bad trademark applications, including requiring foreign applicants hire a U.S. lawyer to hold them accountable and auditing post-registration maintenance filings for irregularities. The agency is updating its examination guidance and training for employees and creating a task force to develop additional remedies, she said. A new electronic database will also help, as will updated requirements for specimens, voluntary updates to trademarks and providing education to applicants on use and commerce, said the official. House Judiciary ranking member Doug Collins, R-Ga., targeted e-commerce platforms, which some say aren’t doing enough to combat counterfeit goods online. Roby said phony items have an economic impact and carry human health and safety risks. E-commerce platforms “have the choice to aggressively protect consumers from counterfeits and show respect for others’ property rights, but brand owners argue some are making a merely cosmetic effort,” Collins said. He urged effective policies and practices that detect and block counterfeit sales automatically, swift response to consumer complaints and quick removal and banning of fraudulent sellers.