Trademark Vs. Trade name

Trademark Vs. Trade name Usage

Most lay people find the law and terminology surrounding trademarks and tradename to be confusing.

The formal name of a business is call its tradename. The name the business uses to market its products and services is call a trademark.

The distinction between tradenames and trademarks can be a little confusing because many small businesses use at least a part of their tradename as their trademark. Large businesses commonly use different names for their trademarks.

The distinction between a corporate name and a fictitious name can also be confusing. A corporate name is the tradename of a corporation that is registered in the Secretary of State's Office. Normally, the corporate name is followed by a corporate identifier, such as INC. or INCORPORATED, or CORP. or CORPORATION.

In some instances, individuals or partnerships will adopt a fictitious business name. When they do, they must file a fictitious name statement with the Department of Licensing.

To provide notice that a name has been adopted and used as a trademark, it is recommended that the business place a small "™" symbol after the mark. Such a symbol is not used with tradenames.

A trademark (including a service mark) gives you the legal right to go to court to stop everybody else from using the same “word, phrase, symbol or design, or … combination of words, phrases, symbols or designs” to identify their businesses wherever you have that trademark registered. The U.S. Patent & Trademark Office notes that registering a federal trademark gives you “the exclusive right to use the mark nationwide on or in connection with the goods/services listed in the registration.” A state trademark or service mark works exactly the same way, but only within the borders of the state(s) where you have it registered.

A trade name, however, is something only the states worry about, and they worry about it usually because they want to be able to find (and to tax) the person or persons behind the curtain of the trade name. Some states require trade name registration; some make you register with local or county governments; some don’t require it at all. The SBA has links to all states where you can check the rules where you live.

A registered trademark is a form of legal recognition of your right to use a particular “word, phrase, symbol or design, or a combination of words, phrases, symbols or designs, that identifies and distinguishes the source of the goods of one party from those of others.” There’s also a type of trademark called a service mark which does the same thing for services, rather than goods. The term trademark includes both.

A trade name, on the other hand, is nothing more than the name you choose — other than your own individual name — for your business. The U.S. Small Business Administration (SBA) explains: “a trade name is the official name under which a company does business. It is also known as a “doing business as” name, assumed name, or fictitious name.”