Holyday Inn is a chain of medium class three+ star hotels aiming at families and tourists. They have a registered brand and have the logo in green written in specific style.
They have a competitor that is called Haliday Inn – two stars, aiming at low class tourists, backpackers, etc. They use different color (blue) and style. They position themselves as a hostel, make advertisements on the internet and have no registered trademark.
2. Things to consider before making the decision
First of all we need to establish some definitions.
Trademark - any word, name, symbol, or design, or any combination thereof, used in commerce to identify and distinguish the goods of one manufacturer or seller from those of another and to indicate the source of the goods .
Trademark infringement - unauthorized use of a trademark or service mark on or in connection with goods and/or services in a manner that is likely …show more content…
Non-competing goods or services, infringement is usually not found
2. Directly competing goods or services, infringement is usually found
3. Related goods or services that are not directly competing for sales, complex analysis required.
In case of Holiday Inn and Haliday Inn they are not directly competing for sales since they do not aim on the same market. But there still might be some over lapses in target audience. The case should be defined as the third option though because the main target audience is generally different. In the case of related goods that are not directly competing for sales to win the claim of trademark infringement analysis should be performed. There are similar practices around the world, US, for example, use Lapp Test. It is a multiple factored test that includes: 1. Similarity of the marks
2. Strength of Plaintiff’s mark
3. Sophistication of consumers when making a purchase
4. Intent of defendant to adopt the mark
5. Evidence of actual confusion (or lack of