Hi, Firstly, I appreciate that this question probably won't have a clear cut yes/no answer, but will depend on a few things. Say there is a company called CreamMink Chemicals, which was a global producer of chemicals. Would I be allowed to start a company called Kreem Graphics (a product for creating graphics) for example? What are some of the rules on similar sounding company names, operating in different unrelated industries? Once the project is further along I fully intent speaking to a solicitor about this, but I'm just curious at this stage. Thanks, NB.

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Original post by NewBreed Hi, Firstly, I appreciate that this question probably won't have a clear cut yes/no answer, but will depend on a few things. Say there is a company called CreamMink Chemicals, which was a global producer of chemicals. Would I be allowed to start a company called Kreem Entertainment for example? What are some of the rules on similar sounding company names, operating in different unrelated industries? Thanks, NB.

As usual, it depends...

You're looking at issues of Trademark Law here, rather than strict copyright issues. The name is technically covered by copyright laws too, but it's the Trademark which really matters in 99% of cases. The legal knot you need to untie in the UK would be the one covered by the "Passing-off" rules. Your name would be considered "passing off" if it can be construed as relying on the cachet -- the reputation -- of that of the original company.

In the US, a famous case is that of "Mike Rowe Software". Read that name quickly and you'll work out who the plaintiff was. Google for the full details; it makes for interesting reading.

For a high-profile UK example, check out what happened to Hoover's trademark here. (Hint: they lost it.) This case illustrates the constant balancing act marketeers have to perform: on the one hand, making your brand name so popular that it becomes part of the national vocabulary -- we Brits often refer to vacuuming as "hoovering" -- is great for sales. Unfortunately, if the name becomes too popular, it effectively drops into the public domain and anyone can then use the word for their own marketing purposes. (E.g. Electrolux could probably get away with using the phrase "Hoover with an Electrolux!" over here.)


In the UK, it's not uncommon for businesses in different sectors to have similar names, and there is allowance for businesses trading under personal names. (If there wasn't, most family businesses in the UK would be in trouble.)

Identical names are best avoided for both the Trademark "passing-off" risk, but also because it's likely to have practical repercussions when it comes to marketing. People may get confused.

In summary: it's complicated. Find a good trademark lawyer and talk to him if you're in any doubt.

That said, the hypothetical example you've given us would likely be okay, as long as you're in clearly different business sectors. But I'm not a lawyer.

Sean is right. For further info, see FAQ 61.
http://www.sloperama.com/advice/faq61.htm

Thank you very much. Very informative! :)

Thanks again for your time,
NB

Mike Rowe Software. Hahaha, very clever. It looks a good read! :)