An Empirical Evaluation of the Trademark Modernization Act

Jeremy Sheff, An Empirical Evaluation of the Trademark Modernization Act, 62 Hous. L. Rev. (forthcoming 2024).

St. John's Legal Studies Research Paper No. 24-0014

25 Pages Posted: 23 Jul 2024

See all articles by Jeremy N. Sheff

Jeremy N. Sheff

St. John's University School of Law

Date Written: July 22, 2024

Abstract

The Trademark Modernization Act of 2020 (“TMA”) created two new forms of administrative proceeding designed to clear spurious trademarks from the federal register. Congress’s hope for these new proceedings was that they would “respond to concerns that registrations persist on the trademark register despite a registrant not having made proper use of the mark covered by the registration” by “allow[ing] for more efficient, and less costly and time consuming” means of removing them. This article subjects that policy to empirical examination, disclosing and analyzing a newly constructed dataset covering the dockets of all TMA proceedings (and petitions for proceedings) to date.

The results are not encouraging. Petitions to institute TMA proceedings are seldom filed, proceedings on those petitions are only sometimes instituted, the number of proceedings initiated by the United States Patent and Trademark Office (“USPTO”) sua sponte is relatively small, and the time it takes to progress from institution of a proceeding to a cancellation order is substantial. In a system where random audits of the most recently renewed registrations suggest an overall non-use rate of between 10 and 50 percent, the machinery of third-party petitions (subject to a filing fee) and ex parte review (subject to the USPTO’s overall resource constraints) appear to be a particularly inefficient means of preventing clutter on the trademark register. Based on the analysis presented herein, TMA proceedings seem, at best, to be a fairly reliable and moderately expeditious administrative pathway for clearing previously identified spurious applications from the register, but they are not likely to be a useful tool for combatting at scale the type of bad-faith trademark applications and registrations that have become so common in our age of automated, algorithmic e-commerce.

Keywords: Law, Trademark, Uspto, Pto, Empirical Legal Studies, Empirical, Intellectual Property

Suggested Citation

Sheff, Jeremy N., An Empirical Evaluation of the Trademark Modernization Act (July 22, 2024). Jeremy Sheff, An Empirical Evaluation of the Trademark Modernization Act, 62 Hous. L. Rev. (forthcoming 2024)., St. John's Legal Studies Research Paper No. 24-0014, Available at SSRN: https://ssrn.com/abstract=4903190 or http://dx.doi.org/10.2139/ssrn.4903190

Jeremy N. Sheff (Contact Author)

St. John's University School of Law ( email )

8000 Utopia Parkway
Jamaica, NY 11439
United States
718-990-5504 (Phone)

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