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If you're like most attorneys or business owners, you've likely received your fair share of letters from patent trolls and trademark scammers over the years. These letters are usually sent out by companies that send out threatening letters to thousands of people in hopes that some will pay them money so they won't be sued in court. However, there's good news for those who want help fighting these scams: Law 2.0 Conference is hosting sessions at its annual conference this year on how attorneys can protect themselves and their clients from these types of situations and what they should do if they receive one of these letters.

Sessions On Trademark And Patent Scams At The Law 2.0 Conference

At the Law 2.0 conference, there will be several sessions on trademark and patent scams. Here's a quick refresher on the nature of these types of scams and fraud:

  • What Is A Trademark Scam?

A trademark scam is when someone offers to register your product or service's name without actually registering it with the USPTO (United States Patent & Trademark Office). The would-be scammers often claim they can help you get around brand protection laws by creating a shell company or selling you domain names that aren't yet taken. In reality, by claiming to be working with the USPTO, they are committing fraud by implying their authority over agency resources when they do not.

  • What Is A Patent Scam?

A patent scam is when someone offers to help you create an invention and get it patented for far more than it should cost. The scammer will often take a small amount of money upfront, then charge you additional fees and interest over time. 

To legitimize their fraudulent activities, they will often claim that they are also working with the USPTO. They may also say that they can help you get around brand protection laws by creating a shell company or selling you domain names that aren't yet taken.

Law 2.0 Conference Will Highlight Patent & Trademark Scams: A Massive Issue For Attorneys & Small Law Firms

Patent trolls and scams are still a considerable problem for attorneys and small business owners, but they're also a big problem for individuals.

One of the most efficient ways to save yourself from patent trolls is to be proactive. When creating new technology, consult an attorney specializing in patent law before filing any paperwork with the U.S. Patent and Trademark Office (USPTO). A good patent lawyer will help you keep your ideas secret until they're ready for market — and can even help you develop a business plan that includes licensing out patents rather than selling them outright.

If a patent troll is already targeting you, the best thing to do is contact an attorney. The laws governing patent trolling are complex, and there's no substitute for professional advice. Suppose your rights have been violated by someone who's trying to profit from your work without paying royalties. In that case, it's time to consult with a lawyer experienced in patent litigation or intellectual property law.

Intent Of Existing Patent Trolls 

Patent trolls are companies or individuals that buy patents not to make products or services based on the patent but to threaten other companies for money. They're a significant problem for small businesses as they can be sued without the intention of actually making anything. This makes it harder for new startups to get off the ground because they often don't have enough cash on hand to fight an expensive lawsuit in court.

According to experts who will be attending Law 2.0 Conference, patent trolls and scammers also target individual users who are infringing on their patents by posting copyrighted material online (e.g., videos). Suppose you're found guilty of violating these patents, and you don't remove your material from public display within 30 days. In that case, you could face legal consequences even if you never intended to infringe on anyone's copyright!

Even the USPTO recently reported that it is seeing an increase in fraudulent renewal attempts. The USPTO has a program to help protect against fraud, and it's essential to be aware of this scam so you can protect yourself and your business.

Companies Or Individuals Unknowingly Paying For Trademark Scams 

While patent scams are the most common, trademark scams exist, where companies or individuals are tricked into spending hundreds or thousands of dollars on services they don't need. It happens when a company solicits funds from a consumer to help with their trademark registration and never provides any service.

These scams can be perpetrated by anyone who isn't a trademark attorney—even someone who isn't even an attorney! Trademark scammers may solicit payment for their services in many different ways: by cashier's check mailed to the victim, via wire transfer, or by credit card billing with no contract signed between the parties in advance.

Tricks Used By Trademark Scammers

These scams often involve letters that look like they're from the USPTO itself and are addressed to an individual or company, not to a trademark attorney. The letters may be poorly written and contain typos, grammar errors, and poor formatting. And they often have a strong sense of urgency, including a deadline for action.

However, as stressed upon at several legal marketing conferences, these letters have several red flags, including scare tactics, the request for payment by wire transfer or cashier's check, and a strong sense of urgency about responding, which often means sending payment immediately. These requests usually say you must act within a brief time (often ten days) to avoid a fine from the USPTO or some other authority figures or to avoid losing your mark entirely.

In addition, it is essential to remember that there are no extensions on trademark applications or registrations at any point in the process. While there are different deadlines for different steps (an annual renewal date after five years), all submissions must be made by their respective deadlines as prescribed by law and published in the Trademark Gazette. In addition, if you have not received an initial response from TTAB within six months of filing an appeal request with TTAB, then your application may be abandoned due to lack of prosecution (LOP).

Conclusion

While it may be tempting to ignore these letters and hope they go away, we strongly recommend taking action immediately. We have witnessed many cases where people ignored the scam and later found themselves in a situation where they lost their trademark or patent because they didn't respond quickly enough. Always check your facts with an experienced attorney before responding to any legal matter! Alternatively, don’t forget to attend legal marketing conferences to update your legal knowledge. 

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