opinion

Brand News: How to Lose a Company's Trademark

Earlier this year, in a case of first impression before the Federal Circuit, the court directly addressed “whether the offering of a service, without the actual provision of a service, is sufficient to constitute use in commerce under Lanham Act § 45, 15 U.S.C. § 1127.” The court said no.

In 2008, David Couture filed a trademark application for Playdom for writing and production services. As part of the use based application pursuant to Lanham Act. § 1(a), Couture submitted a screenshot of a web page bearing the trademark to the U.S. Patent and Trademark Office as proof of use of the mark in connection with the identified services. That page simply had the Playdom name and stated “[w]e are proud to offer writing and production services for motion picture film, television, and new media.” The USPTO approved the application in 2009, but no services were actually provided until 2010.

The Couture decision emphasizes the importance of proper trademark use at the time of filing to support a resulting trademark registration.

One month after Playdom’s application was approved, Playdom Inc. (a different company) filed a trademark application for the identical trademark, Playdom. The new application for Playdom was refused based on the Couture application for Playdom. In response to the refusal, Playdom sought cancellation of Couture’s now issued registration for Playdom before the Trademark Trial and Appeal Board (TTAB). Despite Couture’s belief that the availability of the services was sufficient to support the claim of use, the TTAB granted the cancellation of the Couture registration stating that Couture “’had not rendered his services as of the filing date of his application’” because he had “’merely posted a website advertising his readiness, willingness and ability to render said services.’” Accordingly, the original application was void ab initio. Couture appealed to the Federal Circuit, which upheld the decision of the TTAB.

In discussing its decision, the Federal Circuit noted that in its prior decision, Aycock Eng’g, Inc. vs. Airflite, Inc., 560 F.3d 1350, 1357 (Fed.Cir.2009), it stated that “[a]t the very least, in order for an applicant to meet the use requirement, there must be an open and notorious public offering of the services to those for whom the services are intended.”

The Federal Circuit, however, went on to clarify that it did not suggest in Aycock that an open and notorious public offering alone is sufficient to establish use in commerce. Rather, the Federal Circuit stated that the “statute is clear that a mark for services is used in commerce only when both [1] ‘it is used or displayed in the sale or advertising of services and [2] the services are rendered.’” 15 U.S.C. § 1127. Thus, in the Couture case, the mere advertising of a service “that the applicant intends to perform in the future will not support registration.”

The Couture decision emphasizes the importance of proper trademark use at the time of filing to support a resulting trademark registration. Since the Couture application was based on use, the trademark had to have been in acceptable use on the date the application was filed. If there is no use on the filing date of an application, the application can be filed based on an-intent to use the trademark, wherein once perfected, trademark rights are protected as of the filing date. As seen from this case, the consequences for failing to file the appropriate application can be catastrophic.

This article is for educational purposes only and nothing in this article is intended to be, nor should be considered legal advice.

Attorney Anna Vradenburgh assists clients in patent and trademark prosecution, and represents clients in trademark opposition matters, domain name dispute matters, and patent and trademark litigation.  For more information, contact Vradenburgh at (818) 946-2300, or email her at anna@apogeelawgroup.com

Related:  

Copyright © 2026 Adnet Media. All Rights Reserved. XBIZ is a trademark of Adnet Media.
Reproduction in whole or in part in any form or medium without express written permission is prohibited.

More Articles

profile

LoyalFans' Anastasia Pierce Bridges Creator Education, Empowerment and Ownership

Anastasia Pierce beams when she talks about her 26 years in the industry. Full of passionate energy, she clearly doesn’t just work in adult; she loves it.

Women In Adult ·
opinion

Growing Site Revenue Under Ever-Changing Compliance Rules

Over the past year, many merchants have reported earnings that were flat or even a bit down. This is due to three main factors: age verification regulations, click-to-cancel rules, and banks backing away from cross-sales due to regulatory requirements and the rollout of the Visa Acquiring Monitoring Program (VAMP).

Cathy Beardsley ·
opinion

AI Safeguards for Platform Compliance and Trust

If your platform hosts user-generated content (UGC), then you already know protecting your brand is not merely a matter of good design or strong community guidelines. It requires systems that can verify who your users are, filter what they upload and ensure your business stays on the right side of regulators, payment processors and public opinion.

Christoph Hermes ·
opinion

How to Eliminate User Redirects and Improve Checkout Retention

Running an adult site, you work hard to create traffic and make sure your funnel is optimal, with the end goal of getting users to make a purchase. Then, right at that critical moment, what do you do? You send them somewhere else. Not good.

Jonathan Corona ·
profile

Stripchat's Jessica on Building Creator Success, One Step at a Time

At most industry events, the spotlight naturally falls on the creators whose personalities light up screens and social feeds. Behind the booths, parties and perfectly timed photo ops, however, there is someone else shaping the experience.

Jackie Backman ·
opinion

Inside the OCC's Debanking Review and Its Impact on the Adult Industry

For years, adult performers, creators, producers and adjacent businesses have routinely had their access to basic financial services curtailed — not because they are inherently higher-risk customers, but because a whole category of lawful work has long been treated as unacceptable.

Corey Silverstein ·
opinion

How to Build Operational Resilience Into Your Payment Ecosystem

Over the past year, we’ve watched adult merchants weather a variety of disruptions and speedbumps. Some even lost entire revenue streams overnight — simply because they relied too heavily on a single cloud provider that suffered an outage, lacked sufficient redundancy and failover, or otherwise fell short when it came to making sure their business was protected in case of unwelcome surprises.

Cathy Beardsley ·
opinion

Building a Stronger Strategy Against Card-Testing Bots

It’s a scenario every high-risk merchant dreads. You wake up one morning, check your dashboard and see a massive spike in transaction volume. For a fleeting moment, you’re excited at the premise that something went viral — but then reality sets in. You find thousands of transactions, all for $0.50 and all declined.

Jonathan Corona ·
opinion

A Creator's Guide to Starting the Year With Strong Financial Habits

Every January brings that familiar rush of new ideas and big goals. Creators feel ready to overhaul their content, commit to new posting schedules and jump on fresh opportunities.

Megan Stokes ·
profile

Pornnhub's Jade Talks Trust and Community

If you’ve ever interacted with Jade at Pornhub, you already know one thing to be true: Whether you’re coordinating an event, confirming deliverables or simply trying to get an answer quickly, things move more smoothly when she’s involved. Emails get answered. Details are confirmed. Deadlines don’t drift. And through it all, her tone remains warm, friendly and grounded.

Women In Adult ·
Show More