Inherently Distinctive Trade Dress: When It Applies featured image

Inherently Distinctive Trade Dress: When It Applies

by Eric Misterovich

Partner

Trademark Law

Trade dress is inherently distinctive when its intrinsic nature makes consumers immediately understand it as an indicator of source—so it can be protected without proof of secondary meaning. Under Supreme Court precedent, only product packaging (and packaging-like trade dress, such as a restaurant’s décor) can be inherently distinctive. Product designs and colors standing alone never are, and courts and the USPTO most often use the Seabrook test to decide whether packaging qualifies.

4746808462_8dc842afee_z

Photo credit: Samson Loo

For a business launching a new package, label, or store concept, inherent distinctiveness can mean enforceable rights from day one rather than years later. Here is how the doctrine works and how to put yourself on the right side of it.

Why Inherent Distinctiveness Matters

To prove trade dress infringement under Section 43(a) of the Lanham Act, 15 U.S.C. § 1125(a), a plaintiff must show that its trade dress is distinctive. There are two ways to do that: show that the trade dress is inherently distinctive, or show that it has acquired secondary meaning through use, advertising, and consumer recognition.

In Two Pesos, Inc. v. Taco Cabana, Inc., 505 U.S. 763 (1992), the Supreme Court held that trade dress that is inherently distinctive is protectable under § 43(a) without a showing of secondary meaning. The trade dress in that case was the festive décor and exterior of a Mexican restaurant chain. The ruling matters because secondary meaning takes time—often years—to build, and a competitor can copy a new look before that happens. Inherently distinctive trade dress lets the first business to adopt an original presentation protect it immediately.

The Threshold Question: Packaging or Product Design?

Before asking whether trade dress is inherently distinctive, you must decide what kind of trade dress it is. In Wal-Mart Stores, Inc. v. Samara Brothers, Inc., 529 U.S. 205 (2000), the Supreme Court drew a firm line:

  • Product design is never inherently distinctive and is protectable only upon a showing of secondary meaning. The Court reasoned that consumers understand that even unusual product designs are usually intended to make the product more useful or appealing, not to identify its source.
  • Product packaging can be inherently distinctive, because the very purpose of packaging is often to identify the source of the product inside.
  • Restaurant décor of the kind at issue in Two Pesos was characterized as either packaging or “some tertium quid that is akin to product packaging,” which is why it could be inherently distinctive.
  • Color, under Qualitex Co. v. Jacobson Products Co., 514 U.S. 159 (1995), can be protected, but not as inherently distinctive when it is the color of the product itself.

The Court also directed that in close cases, courts should “err on the side of caution” and classify ambiguous trade dress as product design. The USPTO follows the same rule (TMEP § 1202.02(b)(ii)). So if your trade dress could plausibly be viewed as part of the product itself—its shape, pattern, or configuration—assume you will need secondary meaning. This is especially important in apparel and accessories, as we discuss in our article on trade dress in fashion design.

The Seabrook Test for Packaging

The Supreme Court did not adopt a specific test for inherent distinctiveness. The most widely used framework comes from Seabrook Foods, Inc. v. Bar-Well Foods Ltd., 568 F.2d 1342 (C.C.P.A. 1977), and is the test USPTO examining attorneys apply to product packaging. Under TMEP § 1202.02(b)(ii), the examiner considers whether the proposed trade dress is:

  1. a “common” basic shape or design;
  2. unique or unusual in a particular field;
  3. a mere refinement of a commonly adopted and well-known form of ornamentation for a particular class of goods viewed by the public as a dress or ornamentation for the goods; or
  4. capable of creating a commercial impression distinct from the accompanying words.

Common Shapes and Mere Refinements Fail

A standard bottle, a basic rectangular box, or a label in a style that is already common in your product category will not be inherently distinctive. Neither will a small variation on those familiar forms. The USPTO can meet its initial burden by pointing to evidence that competitors use similar basic shapes or designs.

Unusual, Stand-Alone Presentation Succeeds

Packaging that is genuinely unusual for the category, and that creates its own commercial impression apart from the brand name printed on it, is the strongest candidate. The question is not whether the design is attractive, but whether shoppers in that market would perceive it as a brand signal rather than as ordinary decoration.

Other Approaches Courts Use

Some courts have also borrowed the familiar spectrum of distinctiveness used for word marks—generic, descriptive, suggestive, arbitrary, and fanciful—from Abercrombie & Fitch Co. v. Hunting World, Inc., 537 F.2d 4 (2d Cir. 1976), where suggestive, arbitrary, and fanciful marks are treated as inherently distinctive. That spectrum works reasonably well for words, but it can be awkward to apply to shapes and visual presentation, which is one reason the Seabrook factors are so often used for packaging. For a refresher on the word-mark spectrum, see our explanation of the trademark strength spectrum.

Color on Packaging After In re Forney Industries

A significant development came in In re Forney Industries, Inc., 955 F.3d 940 (Fed. Cir. 2020). The Trademark Trial and Appeal Board had refused to register a color mark used on packaging for welding and machining products—a black stripe above a yellow-to-red color fade—on the theory that color marks can never be inherently distinctive. The Federal Circuit vacated that refusal. It explained that Wal-Mart held only that product design can never be inherently distinctive, and that color-based marks used on product packaging can be inherently distinctive. The court also held that it was error to suggest a multi-color mark must be tied to a specific peripheral shape or border to qualify.

For brand owners, Forney means a distinctive color scheme used on packaging and labels may be registrable without years of sales evidence—though it still must pass the Seabrook analysis, and a single color applied to the product itself remains subject to the secondary meaning requirement.

Inherent Distinctiveness Does Not Overcome Functionality

Even inherently distinctive trade dress is unprotectable if it is functional. The Lanham Act bars registration of matter that, “as a whole, is functional,” 15 U.S.C. § 1052(e)(5), and a party asserting unregistered trade dress bears the burden of proving non-functionality, 15 U.S.C. § 1125(a)(3). Under TrafFix Devices, Inc. v. Marketing Displays, Inc., 532 U.S. 23 (2001), a feature is functional if it is essential to the use or purpose of the article or affects its cost or quality. Packaging shaped to pour better or stack more efficiently may fail for that reason alone. Our article on trade dress functionality explains the standard in more detail.

Designing Packaging With Protection in Mind

If you want your packaging to qualify as inherently distinctive, involve your legal team while the design is still on the drawing board:

  • Survey the category first. Know what shapes, color schemes, and label styles competitors already use, and avoid them.
  • Favor arbitrary choices—shapes, color combinations, and layouts that have no connection to what the product does or contains.
  • Avoid functional features as the core of the claimed trade dress.
  • Keep the look consistent across products and channels so consumers learn to recognize it.
  • Document the design process and your reasons for choosing an unusual presentation.

Because inherently distinctive packaging does not require proof of prior use to show distinctiveness, it may be eligible for registration on the Principal Register regardless of the application’s filing basis. That is a meaningful advantage, and a strong reason to consider federal trademark registration early.

Protect Your Packaging From Day One

Inherent distinctiveness is the fastest route to trade dress protection, but it is available only to packaging and packaging-like trade dress that is truly unusual in its field. Misclassifying product design as packaging, or relying on a design that is a minor variation of what competitors already use, can leave a brand with no enforceable rights when a copycat appears.

If you are launching new packaging or want to know whether your existing trade dress is protectable, the trademark attorneys at Revision Legal can evaluate your design, advise on registration strategy, and help you enforce your rights. Contact us through the form on this page or call (855) 473-8474.

Extra, Extra!
Related Posts

Six Important Trademark Questions Answered

Six Important Trademark Questions Answered

Registering a trademark is one of the smartest investments you can make as a business owner. A trademark protects your brand, gives you exclusive rights to use your mark in commerce, and provides significant legal advantages — including a presumption of ownership and the ability to bring infringement claims in federal court. But many business […]

Read more about Six Important Trademark Questions Answered

Put Revision Legal on your side