Copyright Thoughts?

[Porky]

Example: Cartoon character and you decide to put version on say 500 mugs have them printed up in China and sell at margin. Now the character is TM and you look around and see loads of others merch about using said character, they wont be official licensed partners all selling merch - my questions are:-
1. Is the TM owner likely to bother going after little jo making a couple of grand from selling said mugs?
2. If the character is donkeys years old and discontinued from what the TM owner would they want the expense of bothering?
3. IF the TM owner did go for a C&D you could scrap the mugs end of problem
4. If they did want legal action and mugs are a sale from a uk LTD coy whats the worse outcome, company gets sued but again we are talking small change transaction
Any thoughts from a practical reality, i see it all the time.

 

[NickGrogan]

1) It depends on who; some brands love this kind of thing.
2) If its discontinued, maybe not.
3) Seems reasonable
4) The company could be sued for a lot, but if the company has no assets except for the mugs, then there isn't really anything to claim against.

 

[WaveJumper]

Not saying you will not get away with it however someone I know in 2023 got sat on:

1, How much stock you got, we want list etc then proof of destruction
2, Where did you get it made, copies of all invoices
3, From their records how long have they been selling, copies of accounts / profit made the list went on and on

I would say it all depends on how big there 'lawyers boots are' and how much you would like to throw at it trying defend what could be seen as the indefensible. They went through a lot of stress and pain which lasted well into 2024

As they say you "you pays your money and take your chances" or as others may say its a "mugs game" sorry couldn't resist that one

 

[FreddyG]

Companies like Disney and Universal have huge legal departments with whole sections devoted to pursuing this kind of action. They don't care who is on the other side of the action. They do several of these every day. Day in, day out. A few thousand a year.

Their job is to not care but to be difficult. Their job is to make the unauthorised copying of their IP as unpleasant an experience as possible. Their job is to make the transgressor wish they had never even thought about copying anything - even in their dreams!

In the UK, a home-based business owner was prosecuted for selling items featuring Disney cartoon characters. This resulted in a criminal record and a substantial fine of £4,100. The individual was found guilty under the Trade Marks Act of 1994 and The Fraud Act of 2006, for the sale and possession of counterfeit goods, engaging in unfair commercial practices, and conducting a business fraudulently. They also sued for damages and were awarded costs.

The word "Ouch!" hardly covers it - and getting a license is not exactly difficult, as long as the applicant is producing quality goods and is not competing with existing products.

 

[MikeJ]

Read this...

Directors in the firing line: personal liability for IP infringements

Two recent cases have highlighted the risk of personal liability for directors where companies have committed Intellectual Property rights infringements. This includes a Court of Appeal ruling that makes it more likely that directors will be held personally responsible. This article explains how...

www.farrer.co.uk

and then forget you ever thought of doing something so stupid.

 

[FreddyG]

Any thoughts from a practical reality, i see it all the time.

The first thing a wanna-be mug-maker should do is to go to the IPO website and see who owns the trademark. If it has run out maybe he/she is lucky and maybe (if the last owner is a big name) maybe they are dead unlucky! Very often, an old TM and/or copyright is sold to some holding company that is, in turn, owned by a big media company or similar concern.

But for someone to go down the pathway of blindly abusing someone else's IP is begging for a whole world of pain.

 

[MikeJ]

I might have to rethink my business plan for Bank Robbers (UK) Ltd.

 

[DontAsk]

4) The company could be sued for a lot, but if the company has no assets except for the mugs, then there isn't really anything to claim against.

Oh yes there is. If the directors knowingly steal someone else's IP then they cannot hide behind the Ltd. company protection.

 

[NickGrogan]

Oh yes there is. If the directors knowingly steal someone else's IP then they cannot hide behind the Ltd. company protection.

If they knowingly steal, they lose some protection, but only up to the personal drawings from the company, less tax. As they should.

If the director believes that they are sourcing the product legally then the usual rules apply.