Trademark Registration of Marijuana, Cannabidoil, and Hemp Products
A trademark is any word, slogan, logo,
symbol, or design that identifies an organization’s goods or services as unique
from another set of goods or services. Trademarks serve two important
functions. First, they are a source identifier, allowing one company to
distinguish its goods or services from its competitors’, and preventing
infringers from benefiting from the public perception earned through the sweat,
blood, and tears of the trademark owner. Second, they are an indicator of
quality, allowing consumers to know where they bought their products.
Because branding comes into play in
every industry, we are seeing interesting developments from a variety of
different sectors. For example, in 2017, we saw heavy metal bands challenging long-standing rules on disparagement,
and our own Detroit Red Wings look at a potential infringement case
against a hate group.
One area in which we will see
opportunities for growth in the coming months is in marijuana-related products
due to potential changes in definitions at the federal level.
Definitions
Under the Controlled Substances Act (CSA)
Although marijuana and related products
are legally available to various degrees in 47 states, including Michigan,
under the CSA, marijuana is still a Schedule 1 controlled substance, meaning that it
has a high potential for abuse with no currently accepted medical value.
Previously, the CSA defined marijuana
to include the entire Cannabis Sativa L. plant, not making any distinction
between its different parts. However, on January 4, the 2018 Farm Bill was signed into law, which brings about major
changes to how the federal government regulates cannabis.
This bill has created a new, separate
definition for “hemp,” defining it as any plant with a
tetrahydrocannabinol (THC) level below 0.3%. Hemp produces cannabidiol (CBD) oil,
which is promoted as a wellness drug that does not get users high. Instead, it
may be useful for treatment of epilepsy, anxiety, as well as for other medical
problems.
Due to this new definition, certain
strains of cannabis are now legal at the federal level – a major change to the
previous drug enforcement regime.
Trademarks
for Cannabis, Marijuana, and Related Products
There are a number of provisions under the current statutes and regulations that apply to the trademark registration of marijuana related products.
First, 15 USC 1051 and 15 USC 1127 allow owners of
trademarks used in lawful commerce to seek trademark protection. Again,
trademarks allow companies to avoid unfair competition, so it makes sense that
Congress would not allow companies conducting illegal transactions on the black
market to seek legal trademark protection.
Second, if an applicant is requesting a
trademark on a service or product that is regulated under another law, 37 CFR 2.69 allows the Trademark
Office to determine if the applicant is complying with the applicable standard
because use of a mark in commerce must be lawful.
In a 2017 Trademark Trial and Appeal Board case,
the Trademark Office refused to issue trademarks that would protect branding on
“dispensaries selling marijuana” and “dispensary services.” These actions are
illegal, under the CSA’s prohibition on manufacturing distributing, and
dispensing controlled substances, including marijuana. As a result, the Board
could not register the mark due to the then-definitions in the CSA.
This decision did foresee the
reclassification of certain strains of cannabis. Due to the new definition in
the 2018 Farm Bill, excluding hemp and CBD from Schedule 1 drugs, we will
almost certainly see new trademark applications for these products in the
coming months.
Tips
for Protecting Your Cannabis-Related Trademarks
Register
Early
Now that hemp and Cannabidoil have been removed from the list of controlled substances, if your business is part of the cannabis industry, you should consider filing for trademark protection in order to protect your brand sooner rather than later. Due to the long timeline for trademark registration, it often makes sense to begin the process early.
Canada legalized recreational marijuana in 2018, but
already their Intellectual Property Office is facing a bottleneck of cannabis-related brand names.
Companies who delayed attempts at registration may be looking at a wait time of
over a year before their brand is protected.
A similar “green rush” to register
trademarks in the US is expected, so don’t delay getting your application in to
avoid potential bottlenecks.
Work
With a Lawyer to Get Your Application Right the First Time
At the moment, not all cannabis is
legal in the U.S. – only certain strands. This is a new development in a new industry.
The attorneys at the Trademark Office may not be aware of the different
definitions in what is legal under federal law and what is not. This will not
result in an automatic rejection, but it could delay your application.
An experienced trademark attorney will
be able to craft your application in a way that clearly demonstrates that the
goods or services your company provides are legal under current federal
definitions. A clear, technical explanation at the outset can go a long way to
smoothing the path to approval and could save months in further office review.
It is also useful to note that the
trademark office has approved more than 300 marks specifically related to
marijuana that do not involve actions currently prohibited by the CSA. For
example, “Professional
Marijuana Grower” owns a word mark on the title of
their magazine that specifically protects their printed publication. There is a
lot of room for business development in the cannabis region that does not
involve manufacturing or dispensing the product.
Contact
Your Elected Officials
While this last step does not
specifically relate to brand protection, it is a smart move for any business in
this new industry. If you are involved at all in the marijuana industry, you
should contact your Senators and House Representatives
to urge their support of changes to the law toward full legalization.
Marijuana is a huge industry, projected to
generate $75 billion in sales, if it is fully legal by 2030. This alone should
make your elected officials take note of the importance of having their
constituents enjoy the full benefits of the law.
This article is for informational purposes only and does not contain legal advice. If you are interested in seeking trademark protection for your marijuana-related product or have other intellectual property questions, our experienced IP attorneys today with the form on this page, or call us at 855-473-8474.