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Could RE/MAX lose their long-held trademark on red, white, and blue?

(Business News) RE/MAX has long defended their red-over-white-over-blue trademark, but a judge has agreed to hear an argument that could cancel the trademark altogether.

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RE/MAX’s lock on red white and blue

When a company is approved for a trademark, they typically defend it with vigor, especially when they are a large, world-renowned brand like RE/MAX looking to avoid any confusion in the marketplace. It would be ignorant not to.

For decades, RE/MAX has defended their red-over-white-over-blue trademark, sending cease and desist letters to any brokerage they discover using signage with their trademarked red-white-blue combo.

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Upon receiving a letter from RE/MAX letter, most parties invest the money to change all of their signage, often out of fear of the threat of a lawsuit, but others fight back.

Trend Setter Realty lost, despite a last minute argument

In 2009, in the U.S. District Court in Houston, Texas, Trend Setter Realty lost their battle against RE/MAX, as the court reaffirmed RE/MAX’s protected trademark under state and federal law. RE/MAX successfully argued that in a consumer study comparing the two signs, 25 percent of those surveyed believed Trend Setter Realty was affiliated with RE/MAX because of similarities in their signage.

It is rumored that last minute, Trend Setter Realty’s lawyers invoked the mysterious Lanham Act, which states that any mark that consists of or comprises the flag of any foreign nation cannot be registered as a trademark. It is said that the judge threw out the argument as a last minute stunt.

Judge is currently reviewing the Lanham Act in a case

In an active case brought by RE/MAX against Matt Jones and FavoriteAgent.com, after several years of back and forth between the two companies for Jones’ use of red-over-white-over-blue in his signage, a judge has surprisingly agreed to hear the Lanham Act/Netherlands Flag argument, despite throwing out other portions of Jones’ argument.

Jones compares RE/MAX’s trademark against the flag of the Netherlands, asserting that the two are identical and the trademark should never have been granted to the company, according to the Lanham Act. In his blog, he asks readers to determine which is the Netherlands flag and which is the RE/MAX trademark, implying that there is confusion (the same argument RE/MAX is using regarding his use of the color combo in his signage):

lanham act

According to the Act, “In any action involving a registered mark the court may determine the right to registration, order the cancellation of registrations, in whole or in part, restore canceled registrations, and otherwise rectify the register with respect to the registrations of any party to the action. Decrees and orders shall be the court to the Director, who shall make appropriate entry upon the records of the Patent and Trademark Office, and shall be controlled thereby.”

This is not a new battle, but the fight could soon end

RE/MAX has defended their trademark against brokers small and large, and has even sued CBS for featuring a real estate sign in a CSI episode that was too similar to their trademark, and gone after eBay for using a sign similar to theirs in a commercial that could lead viewers with the impression that “RE/MAX typically engages in the sale of homes that are in disrepair.”

Commenters on Jones’ blog posts have chimed in with their own experiences, and one source tells us that they’ve even received a cease and desist letter for using two dark colored bars separated by a white bar in the center, even though it used neither red, nor blue.

RE/MAX is being called a bully by some and defended by others for smart business. A handful of brokers have asserted they’re considering a class action case, likely based on the outcome of Jones’ case. Many have opined that they understand the validity of the hot air balloon trademark, but something as vague as red white and blue alludes them, as they often use the colors to celebrate the American flag without a second thought about competing with RE/MAX, much less confusing consumers.

Others have tried this argument, and no judge has considered hearing it before (likely because the Netherlands flag comes up last minute after a loss is already apparent), but if this judge agrees that the Lanham Act nullifies RE/MAX’s logo based on the identical Netherlands flag, a decades-old argument disallowing the use of red white and blue bars on real estate signs could come to an abrupt end.

Lani is the Chief Operating Officer at The American Genius and sister news outlet, The Real Daily, and has been named in the Inman 100 Most Influential Real Estate Leaders several times, co-authored a book, co-founded BASHH and Austin Digital Jobs, and is a seasoned business writer and editorialist with a penchant for the irreverent.

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6 Comments

6 Comments

  1. Rich Jacobson

    March 26, 2014 at 5:23 pm

    Hey, if it can happen to Zebra’s, it can happen to the Red, White, and Blue!

    • Chris Johnson

      March 27, 2014 at 3:33 pm

      Can you imagine a less ethical person than that Lones chick?

  2. LifeDontWasteIt

    May 22, 2014 at 7:35 pm

    So should we change the Stars and Stripes Forever to “Three cheers for the Re…

    max colors?”
    I don’t think so…

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Business News

These stores refuse to start Black Friday early

(BUSINESS NEWS) There is a rising trend of stores being pressured to open their doors earlier and earlier each holiday weekend but these companies refuse.

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This year, Target, Walmart, and Best Buy are among a group of retail super villains who have decided it’s appropriate to begin the Black Friday shopping nightmare on Thanksgiving Day, with some opening as early as 5pm on Thursday.

As someone who has only had the misfortune of working the retail tornado of Black Friday once, I would never wish it upon anyone. Yet many stores feel pressured to begin the doorbusters earlier every year.

To compete with online shopping, brick-and-mortar retailers implement drastic measures to get customers in stores during the discount season.

Last year, eMarketer reported internet users in their survey were likelier to shop online during Black Friday and Cyber Monday. This comes as no surprise to anyone who’s been watching retail stores crumble as online shopping continues to dominate the market.

To lure in shoppers, physical stores must come up with deals so alluring that people would kill for them.

Literally. I just googled “did anyone die on Black Friday last year” and found out that there’s a handy site called Black Friday Death Count. The answer is yes, some people died last year in Black Friday-related incidents, and in fact two of the three deaths took place at separate Walmarts.

So that makes this year’s disturbingly early foray into deal hunting even less enticing.

While I don’t hold Thanksgiving sacred by any means, moving the even unholier Black Friday back to impede on a holiday is ludicrous. But a handful of heroes are saying no seriously guys, we’re not doing this.

Over fifty retailers are putting collectively putting their foot down, and will remain closed on Thanksgiving Day. While some may still be party to next-day discounts, they’re at least taking a stand.

Here’s a list of all the places you can’t go on Thanksgiving, because mercifully they’re closed:

  • A.C. Moore
  • Abt Electronics
  • Academy Sports + Outdoors
  • At Home
  • BJ’s Wholesale Club
  • Blain’s Farm and Fleet
  • Burlington
  • Cabela’s
  • Cost Plus World Market
  • Costco
  • Craft Warehouse
  • Crate and Barrel
  • DSW – Designer Shoe Warehouse
  • Ethan Allen
  • Gardner-White Furniture
  • Guitar Center
  • H&M
  • Half Price Books
  • Harbor Freight
  • Hobby Lobby
  • Home Depot
  • HomeGoods
  • Homesense
  • IKEA
  • JOANN Fabric and Craft Stores
  • Jos. A. Bank
  • La-Z-Boy (all corporately owned stores)
  • Lowe’s
  • Marshalls
  • Mattress Firm
  • Micro Center
  • Music & Arts
  • Neiman Marcus
  • Office Depot and OfficeMax
  • Outdoor Research (closed Black Friday too)
  • P.C. Richard & Son
  • Party City
  • Patagonia
  • Petco
  • PetSmart
  • Pier 1 Imports
  • Publix
  • Raymour & Flanigan Furniture
  • Sam’s Club
  • Sierra Trading Post
  • Sportsman’s Warehouse
  • Sprint (Corporate & Dealer Owned Stores; Mall Kiosks May Open)
  • Staples
  • Sur La Table
  • The Container Store
  • The Original Mattress Factory
  • TJ Maxx
  • Tractor Supply
  • Trollbeads
  • Von Maur
  • West Marine

And while that’s a pretty hefty list, the fact remains that many unfortunate employees will have to show up to work on Thanksgiving when they should be taking naps, or avoiding helping their family clean up after lunch.

Thinking about some retailers’ decision to open a day early for Black Friday almost makes Cards Against Humanity’s crowdfunded hole stunt last year seem reasonable. Maybe if we’re lucky, the tradition of Black Friday will get sucked up in a black hole, never to plague us again.

I guess staying home is also an option. If you opt into the shopping this year, stay safe. And if you choose to do so on Thanksgiving, maybe just don’t tell anyone.

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Business News

Amazon is extending its takeover to sportswear

(BUSINESS NEWS) As Amazon continues its quest for total retail dominance, they are beginning to try their hand with sportswear.

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Because Amazon won’t settle until it controls every single market ever, the online retailing giant is, reportedly, gearing up to start offering its own sportswear line.

Rumors that the company might get into the workout gear game started circulating earlier this year when the company posted job listings for brand managers to help create “authentic activewear private label brands.”

They hired a brand manager for athletic wear in January.

Amazon has already been dabbling in the world of fashion, having created eight clothing brands since early last year, including a men’s shirt brand called Buttoned Down that is offered to Prime customers.

Insiders say that, while no long-term contracts have been signed so far, Amazon is negotiating with Makalot Industrials Co., a producer that makes sportswear for Gap, Uniqlo, and Kohl’s, as well as Eclat Textile Co., who provides textiles for Nike, Lululemon, and Under Armour.

Both Makalot and Eclat are based in Taiwan.

Apparently, these manufacturers are making small test batches for Amazon so they can run a trial on the concept. The fact that Amazon is working with experts in this market means they are serious about making a competitive, quality product.

Amazon currently sells about $10 billion worth of apparel, making it a serious competitor with brick-and-mortar retailers.

The workout wear market is a pretty big deal, so it would obviously be profitable if Amazon can come out with a good product. Customers are already crazy about Amazon’s online convenience and quick delivery, so they may be happy to find more options for sneakers and yoga pants.

On the other hand, private label brands that Amazon is already selling, such as Goodthreads and Lark & Ro may feel betrayed. Other sportswear brands can’t be too pleased either, with Nike reporting declines this quarter and Under Armour reducing its annual sales forecast.

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Business News

Ending a dismal year, Samsung says goodbye to CEO

(BUSINESS NEWS) Following a tumultuous year, Samsung now must face their CEO, Kwon Oh-hyun, stepping down.

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Among exploding phones, recalled washing machines and an indicted former chairman, Samsung has had a rough year. Just as they start to get back on track, they have one more crisis to deal with.

Kwon Oh-hyun, Samsung CEO, has officially announced his departure.

In a letter to the employees, Kwon announced his plans to leave the company by March of next year. His words touch on all of the typical sentiments, like that he “had been thinking long and hard about (leaving) for quite some time,” and that he wants to “move on to the next chapter in his life.”

What Kwon doesn’t make clear are his exact reasons for leaving.

He mentions that Samsung is in an “unprecedented crisis inside and out,” without sharing any specifics. Via his own words, Samsung needs to reshape their company to keep up with the ever-changing IT industry.

Kwon believes that young, fresh leadership could be the answer that Samsung needs.

Though Kwon’s departure may seem like another hit for the company, it could be a new chapter for Samsung as well.

And it is a change they desperately need. Recently, Samsung has made the headlines with scandal after scandal.

Earlier this year, Jay Y. Lee, former Vice chairman, was found guilty on multiple charges of bribery. The charge, which Lee is now serving five years in prison for, also resulted in the impeachment of South Korean President Park Geun-hye.

Samsung also lived through two major recalls this year. They officially took the Galaxy Note 7 off of the market after various accusations of batteries overheating led to fires.

Samsung also recalled 2.8 million washing machines because their “violent vibrations” caused some users to be injured.

Major scandals like these are enough for any company to flop. However, Samsung is still in the game. Kwon’s letter calls for the company to start anew, which is exactly what they need to do to stay afloat.

Of course, creating devices that do not cause injuries and fires will be a start. In addition, new leadership will keep the company relevant and hopefully, revive their reputation.

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