What's happening
This bill allows courts to award up to triple damages and attorney fees in trademark infringement cases without requiring proof of bad faith.
Why it matters
Increases potential financial risk for infringers. By allowing courts to award up to triple damages and attorney fees without requiring proof of bad faith, the law significantly raises the stakes for anyone found liable for trademark infringement, potentially deterring would-be violators.
Lowers the burden of proof for trademark owners. Trademark holders no longer need to prove that the infringement was committed with knowledge or bad faith to receive enhanced damages or attorney fees, making it easier and less costly for them to pursue and win cases.
May lead to more aggressive enforcement and litigation. With the prospect of higher recoveries and easier access to attorney fees, trademark owners might be more inclined to file lawsuits, impacting business practices and potentially increasing the number of infringement claims.
Changes the balance of power in trademark disputes. The amendment tips the scales in favor of trademark owners, providing them with stronger legal remedies and possibly affecting how businesses approach branding and intellectual property compliance in New York.
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Who cares
Headline styles
Increase Counterfeit Penalties
Plain English, a few words. Used as the page title.
Sponsors
No co-sponsors yet.
History
- Referred to consumer protection
- Referred to consumer protection
Companion bill
The same bill in the other chamber. A bill becomes law when one version passes both houses and the governor signs it, so either number can carry it.
Increase Trademark Counterfeit Penalties
In Assembly Committee · Economic Development · Sponsor Clyde Vanel
Full text
1 pageUnderlined is new[Struck] is removedOfficial text on nysenate.gov ↗
STATE OF NEW YORK
2111
2019-2020 Regular Sessions
IN SENATE
January 22, 2019
Introduced by Sen. SANDERS -- read twice and ordered printed, and when printed to be committed to the Committee on Consumer Protection
AN ACT to amend the general business law, in relation to trademark remedies
The People of the State of New York, represented in Senate and Assembly, do enact as follows:
Section 1. Subdivision 1 of section 360-m of the general business law, as amended by chapter 507 of the laws of 2014, is amended to read as follows:
1. Any owner of a mark registered under this article may proceed by suit to enjoin the manufacture, use, display or sale of any counterfeits or imitations thereof and any court of competent jurisdiction may grant injunctions to restrain such manufacture, use, display or sale as may be by the said court deemed just and reasonable, and may require the defendants to pay to such owner all profits derived from and/or all damages suffered by reason of such wrongful manufacture, use, display or sale; and such court may also order that any such counterfeits or imitations in the possession or under the control of any defendant in such case be delivered to an officer of the court, or to the complainant, to be destroyed or donated. The court, in its discretion, may enter judgment for an amount [not to exceed] three times such profits and damages and/or reasonable attorneys' fees of the prevailing party [in such cases where the court finds the other party committed such wrongful acts with knowledge or in bad faith or otherwise as according to the circumstances of this case]. The enumeration of any right or remedy herein shall not affect a registrant's right to prosecute under the penal law.
§ 2. This act shall take effect immediately.
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD00848-01-9
Reflowed for reading: line numbers and page breaks removed. Cite the official text.
Sponsor's memo
Title of bill
An act to amend the general business law, in relation to trademark remedies
Purpose
Any owner of a mark register under this article may proceed by suit to enjoin the manufacture, use, display or sale of any counterfeits or imitations thereof and any court of competent jurisdiction may grant injunctions to restrain such manufacture, use, display or sale as may be by the said court deemed just and reasonable, and may require the defendants to pay to such owner all profits derived from and or all damages suffered by reason of such wrongful manufacture
Summary of provisions
Relates to increasing the remedy for trademark counterfeiting
Existing law
New law
Justification
The court, in its discretion, may enter judgment for an amount not to exceed three times such profits and damages and or reasonable attorney's fees of the prevailing party in such cases where the court finds the other party committed such wrongful acts with knowledge or in bad faith or otherwise as according to the circumstances of this case
Legislative history
2015 Referred to Consumer Protection 2016 Referred to Consumer Protection
Fiscal implications
None
Local fiscal implications
None
Effective date
This act shall take effect immediately
Summaries, headlines and scores are AI-generated from the official bill text. How we score bills. Source: NYS Open Legislation.