USPTO testifies about fraudulent TMs

Managing IP is part of Legal Benchmarking Limited, 1-2 Paris Gardens, London, SE1 8ND

Copyright © Legal Benchmarking Limited and its affiliated companies 2025

Accessibility | Terms of Use | Privacy Policy | Modern Slavery Statement

USPTO testifies about fraudulent TMs

uspto thumb

The office was asked about fines for fraudulent actors during a recent Congress hearing, where one lawmaker claimed that Chinese e-commerce platforms are doing more than their US counterparts to stamp out counterfeits

uspto

Mary Boney Denison, commissioner for trademarks, told the hearing that while the USPTO does not have the ability to impose fines on fraudulent actors, “if Congress would like to give it to us, we’d be happy to talk to you about it.”

She was speaking at a hearing by the House Judiciary Subcommittee on Courts, Intellectual Property and the Internet called “Counterfeits and Cluttering: Emerging Threats to the Integrity of the Trademark System and the Impact on American Consumers and Businesses.”

Denison had earlier revealed that the USPTO has seen a significant rise in the number of applicants filing trademarks inaccurately and in bad faith, with China being the main source of these problems.

The USPTO is responding in several ways, Denison added, including requiring foreign-domiciled applicants to be represented by US counsel (see Managing IP’s previous coverage here) and creating a special task force to focus on improper behaviour by applicants and registrants. The full list of actions can be found here.

Held on July 18, the hearing also discussed the problem of counterfeit goods, particularly those available online. Congressman Doug Collins (Georgia) was vocal in criticising US e-commerce platforms for not doing enough to prevent the “endless” list of fakes being sold on their websites, adding that companies such as Amazon and eBay should have been part of the discussions during the hearing.

He added that Alibaba's anti-counterfeiting policies and programmes are “significantly more effective” than those of their US counterparts.

“They are working very closely with all complaining brand owners and are using cutting-edge technology to scan for and detect counterfeits. I find it shocking that US platforms are so far behind,” he said.

“Marketplaces must apply anti-counterfeiting policies and practices with equal rigour to protect all brands, particularly small businesses, and not reserve their best protections for a few companies that bring huge profits to the marketplace,” he added.

His views were echoed by Bob Barchiesi, president of the International AntiCounterfeiting Coalition, who said that in China a national ID is required to sell on a platform, whereas in the US, “anyone could say they’re anybody.”

“I haven’t seen any progress on that,” he continued. “I think a federal policy is necessary.”

Congresswoman Martha Roby (Alabama), who has since announced that she won’t seek a sixth term in 2020, provided her experience of buying counterfeits.

“I've used online marketplaces to purchase cosmetic products and as I've learned more and more about the risks posed by counterfeit cosmetics and connection with investigating this issue, I'm having to reconsider my own purchasing decisions,” she said.

Discussing a potential deterrent to what can be dangerous fake goods, Joseph Cammiso, brand protection manager at Toyota, said that tougher punishments are required.

“There simply has to be higher penalties for sellers that are in essence criminals, and it can't be just to have them delisted. We've seen cases where people selling counterfeit airbags have been given very light sentences, and in other cases very minimal jail time.

“In order to deter these criminals, the penalties should be higher,” he concluded.

You can watch the full hearing here.

more from across site and SHARED ros bottom lb

More from across our site

Partner Jeremy Hertzog explains how his team worked through a huge amount of disclosure from Adidas and what victory means for the firm
Evarist Kameja and Hadija Juma at Bowmans explain why a new law in Tanzania marks a significant shift in IP enforcement
In the wake of controversy surrounding Banksy’s recent London mural, AJ Park’s Thomas Huthwaite and Eloise Calder delve into the challenges street artists face in protecting their works and rights
Alex Levkin, founder of iPNOTE, discusses reshaping the filing industry through legal tech, and why practitioners’ advice should stretch beyond immediate legal needs
Cohausz & Florack, together with Krieger Mes & Graf von der Groeben, have taken action against Amazon on behalf of three VIA LA licensors
In the fourth episode of a podcast series celebrating the tenth anniversary of IP Inclusive, we discuss unconscious bias in the IP workplace and how to address it
Greg Munt, who has moved from Griffith Hack to James & Wells after four decades, hails his new firm’s approach to client service
Practitioners warn that closing the Denver regional office could trigger a domino effect, threatening local innovation and access to IP resources
Law firms are rethinking litigation strategies after USPTO director John Squires said he would take control of PTAB challenges
News of Singapore planning to streamline the licensing framework for foreign law firms and a partnership between Avanci and Xprize were also among the top talking points
Gift this article