Most businesses understand the importance of protecting their brands, but they may not know how many different scams target trademark owners, applicants and registrants. Lately, there has been an avalanche of new and increasingly sophisticated schemes designed to trick brand owners into parting with their hard-earned money – for nothing in return.

Bad actors are constantly thinking of new ways to swindle people. Below are examples of some common schemes:

1. Phishing

Applicants and registrants have long been the target of unsolicited emails and letters made to look like official government correspondence from the United States Patent and Trademark Office (USPTO). These typically request payments for (fake) directory listings and watch services or claim that you must pay some fee immediately in connection with the prosecution of your application or to renew an existing registration. But these scammers don’t actually provide any of the services they claim to, nor do they submit any filings. With renewal scams, typically deadlines are listed incorrectly and may be months or years away. If a registrant falls for this and thinks that required filings were made, they risk missing an actual deadline and losing their registration.

2. Third party threats

Bad actors also impersonate real attorneys and target both applicants/registrants and businesses without federal marks. Often, the emails look like they are from a real law firm — even spoofing an actual attorney’s email or signature block. They attempt to create a false sense of urgency (i.e. claiming someone is trying to obtain a registration for your mark and that failure to move quickly could jeopardize your ability to keep using it). They frequently threaten legal action and misstate the law and facts (i.e. saying that you do not own a registration when you do). The goal of these scams is to trick recipients into paying for fake trademark filings. Some victims have received fraudulent filing receipts and registration certificates, believing they obtained a registration when they did not. These swindlers also try to trick recipients into signing up and paying for nonexistent monitoring services.

3. Spoofed calls

Fraudsters impersonating USPTO employees are also calling owners of new trademark applications. They spoof the USPTO’s main number, and, once you answer, claim they are a USPTO employee and request personal or payment information. The caller falsely claims this information is needed to process the application; however, the real USPTO will never ask for payment or personal information by phone.

4. Domain names

Trademark applicants and registrants often receive emails supposedly notifying them of others who are attempting to register domain names encompassing their mark.  The purpose of these is to coax recipients into paying them money to register the domains in your name instead. Cybersquatters also scour USPTO databases and, within a few days of filing, register domains that correspond to newly filed trademark applications.  They then demand a substantial payout from applicants to acquire the domain names.

Take care

How can businesses and brand owners protect themselves? If you get potentially suspect communications about a trademark issue, keep an eye out for the following that might indicate someone is trying to take advantage of you:

• Communication is unsolicited – you have never been in contact with the sender before and did not opt in to receiving communications from them.
• Communication is threatening and tries to convince you that your business or brand is at risk.
• Communication contains statements that are inconsistent with your understanding – for example, saying you do not have a registration for a mark when you know you do.
• Pressure to get you to send money immediately, without time to evaluate a service provider. In some cases, the sender tries to get you to pay high fees quickly or, alternatively, offers incredible discounts or unbelievably low fees. These high-pressure sales tactics are designed to distract you from properly vetting your vendors.
• Lack of written contracts, engagement letters or similar paperwork outlining exactly what you are paying for.
• Communication appears to be directly from the USPTO or a trademark examiner, but you already have a trademark attorney handling the filing for you. The USPTO will never contact a mark owner directly if they are represented by counsel.

Other tips include:

• If someone contacts you – and you think it might be a scam – reach out to a trademark attorney who can confirm whether it is legitimate.
• The USPTO’s website has information about current scams, how to protect yourself and even examples of fraudulent solicitations.
• Before you file an application for a mark, register the corresponding domain name (if you have not already and if it is available).

If you fell for one of these scams, immediately contact your credit card company or bank to try and stop payment or get your money back and consider contacting a reputable trademark attorney for assistance. You can also report the scam to help the agencies going after the scammers – the USPTO, Federal Trade Commission (FTC), Federal Communications Commission (FCC, for phone scams), your local FBI field office, and local attorneys general or consumer protection bureaus are good options.

Remember, being proactive and staying vigilant gives you the best chance to avoid being victimized.

Abigail Remore is practice group leader of CSG Law‘s Trademarks & Copyrights Group. She focuses her practice on helping business owners and creatives protect their distinctive brands and their creative works. Remore handles a wide range of intellectual property matters, including litigation, enforcement, counseling, licensing and prosecution of trademark and copyright applications.

Paula Brueckner, counsel with the firm’s Trademarks & Copyrights Group, represents companies, startups and individuals in intellectual property matters particularly in trademark prosecution, licensing, enforcement and trademark litigation.