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How Far Can You Reach? The Territorial Limits of Lanham Act Infringement and False Designation of Origin Claims
On June 29, 2023, the U.S. Supreme Court set new geographic limits for infringement and false designation of origin claims raised under Sections 1114 and 1125(a) of the Lanham Act. In Abitron Austria GmbH v. Hetronic International, Inc., No. 21-1043, the Court held these Lanham Act claims do not extend extraterritorially, and only apply where the infringing use in commerce is domestic. 216 L. Ed. 2d 1013; 2023 U.S.P.Q.2d 760 (2023). The decision vacates a $95 million dollar damages award that was premised on infringing conduct that occurred primarily outside the United States.
Though the decision does not address and will not limit a trademark owner's ability to establish, for registration purposes, use in commerce through sales extending into foreign countries, it does limit a trademark owner's ability to enforce its rights in U.S. courts should a third party infringe its marks abroad. Given the global nature of business today, the decision highlights the need for trademark owners to continually reassess and, perhaps, expand their international trademark registration strategy as product lines and brands become more international in scope.
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The DOJ's Corporate Enforcement Policy: One Year Later
The DOJ's Criminal Division issued three declinations since the issuance of the revised CEP a year ago. Review of these cases gives insight into DOJ's implementation of the new policy in practice.
Use of Deferred Prosecution Agreements In White Collar Investigations
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The parameters set forth in the DOJ's memorandum have implications not only for the government's evaluation of compliance programs in the context of criminal charging decisions, but also for how defense counsel structure their conference-room advocacy seeking declinations or lesser sanctions in both criminal and civil investigations.