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Specialized pushing trademarking too far?
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Alenhoff
Joined: 15 Jan 2004
Posts: 240
Location: Detroit, MI

12/10/13 9:32 AM


quote:
Patent and Trademark law requires patent or trademark holders to defend their property from encroachment and misuse. If you aren't diligent you lose your exclusive rights to the property. I expect that requirement extends even to small, apparently non-threatening misuse.


Quite true. If you're a journalist and you write that someone used a kleenex or a band-aid or is a realtor, you'll attract a lawyer letter advising you that, for example, "Kleenex" is a registered brand name for facial tissues and other products that should be used only for their products (and with the trademark symbol).

They don't do it to bully people. They do it to avoid allowing their trade name to, as Dave noted, become another "aspirin." Laundromat, thermos, zipper, escalator and videotape are all examples of former trademarks that have lost their legal protection and can be used generically. These were valuable assets that were lost.

Of course, as this story came out, it appears the Roubaix name was not owned by Specialized anyway... But protect it or lose it is the name of the game.

Alan

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Alenhoff
Joined: 15 Jan 2004
Posts: 240
Location: Detroit, MI

12/10/13 9:39 AM


quote:
I think that Aspirin is still a trademark owned by Bayer in most countries.


True.


quote:
In the US, UK, France and maybe some other countries, the right was taken away as part of the war reparations exacted in the Treaty of Versailles after WWI, which essentially gave the Allies the right to appropriate all property within their territories which was owned by German nationals.


Not correct. Aspirin was declared generic in a 1921 U.S. court case.

Alan

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JohnC
Joined: 10 Jan 2004
Posts: 1939
Location: Glastonbury, Ct

12/10/13 11:01 AM

Quite right. I was mistaken. Judge Learned Hand did decide that "Aspirin" had become generic in consumer sales. Though WWI did have a part in the matter. The suit in question had originally been filed by Bayer's American subsidiary, but at the end of the war the assets had been seized by the US government and sold to Sterling Products, who continued (and ultimately lost) the trademark suit.

Sterling kept selling "Bayer Aspirin" in the US and elsewhere until 1994, when they sold the rights back to the German Bayer for a billion dollars.

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Steve B.
Joined: 19 Jan 2004
Posts: 769
Location: Long Island, NY

12/10/13 11:29 AM

And this just in.

http://www.bicycleretailer.com/north-america/2013/12/09/asi-says-calgary-bike-shop-can-use-roubaix-name#.UqdJ_X-9KSP

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Sparky
Joined: 08 Dec 2003
Posts: 19083
Location: PDX

12/10/13 11:37 AM

"And we believe consumers are capable of distinguishing his bike shop and wheel line from our established bikes.”

And also know, unlike specialized apparently, that public relations plays a huge part in successfully navigating both consumer relations and business.


_________________
EDIT:

We need a rash of internet forum fodder like this below. Maybe the public relations dept is actually
coming up with some damage control and looking for
markers on the internet etc.

Dear Specialized,

I regret to inform you that both my Roubaix and Stumpjumper bicycles will be getting sold on Craigslist and I will no longer be a customer of any Specialized product. This includes shoes and bib-shorts among other products it will be practical to remedy me owning. I do not plan to have the cranks removed from our tandem as much as I'd like to, being Specialized brand/manufactured.

Your apparent illegal and poor handling of the Calgary bike shop 'Roubaix' name issue being the cause. Anyone reading this letter which I intend to post on forums can google "Specialized Calgary bike shop action" and/or "ASI AND license to Calgary bike shop" without the quotes for the poop.

Someone on, or your entire legal staff is VERY short sighted on the customer relations side of life,
and apparently also does not even know what legal right Specialized has/hasn't got regarding
the name Roubaix. In this post 2008 public disdain for corporate bullship, nice work folks!

If anyone at Specialized would like to have me feel differently, a publicized 50 percent off program to Afghanistan War Veterans would be about the only thing that will do it.

Best to you Sirs, and try to do something right about this, You can bet I am not the only one that feels this way!! Time to go shopping for a Fuji road and MTN bike to replace the ones I am offing.

Sincerely yours,
1/2 century cycling veteran from USA


Last edited by Sparky on 12/10/13 4:30 PM; edited 2 times in total

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Sparky
Joined: 08 Dec 2003
Posts: 19083
Location: PDX

12/10/13 12:12 PM

Damage Control??

http://tomdemerly.com/2013/12/08/damage-control/

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Dave B
Joined: 10 Jan 2004
Posts: 4511
Location: Pittsburgh, PA

12/10/13 2:19 PM

Illegal?


quote:
Your apparent illegal and poor handling of the Calgary bike shop 'Roubaix' name issue...

Ill considered perhaps but what did they do that was illegal?

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Andy M-S
Joined: 11 Jan 2004
Posts: 3377
Location: Hamden (greater New Haven) CT

12/10/13 2:45 PM

I think the reference to illegality is to the fact that, as it turned out, Specialized should not have been able to trademark "Roubaix" for goods and services related to bicycles in Canada.

Here's where things get a little sticky; Fuji has freely admitted that it did not trademark "Roubaix" in Canada. In the US, "Roubaix" was assigned to Fuji by another owner(!) and licensed by Fuji to Specialized. What the consequences are for the Canadian trademark situation are unclear...at least to me.

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DPotter
Joined: 12 Jan 2004
Posts: 953
Location: Portland, Maine

12/10/13 2:59 PM

I understand the "protect or lose" legal principle. But as has been pointed out by others, protection can take many forms. Considering the potential losses (or not) what idiot thinks suing is the best course, or even a mildly advisable course, of action?

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Sparky
Joined: 08 Dec 2003
Posts: 19083
Location: PDX

12/10/13 3:13 PM

" What the consequences are for the Canadian trademark situation are unclear...at least to me."

Wild guess really, unless the ASI to Specialized License allows for sub license rights, Specialized can't sub license. Given that ASI already has said it will give license to the Calgary Bike Shop, what Specialized can do about it, or may be foolish enough to attempt given the fallout already...

Total conjecture of course. But this IS going to hurt Specialized already, just google and see how it is exponential accelerating. Specialized has to get on top of this fast and with benevolence, or pay the price in my estimation. If they are traded publicly the #s will show it or not regardless of my opinion.

Again, my conjecture.. Which does not mean it is not
on target to some degree at a minimum.


EDIT: ASI not ACI, corrected


Last edited by Sparky on 12/10/13 4:28 PM; edited 1 time in total

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Steve B.
Joined: 19 Jan 2004
Posts: 769
Location: Long Island, NY

12/10/13 3:18 PM

ASI, owner of the Fuji brand has indicated they own worldwide naming rights to the Roubaix trademark. That pretty much covers Canada I would think.

ACI "We are in the process of notifying Specialized that they did not have the authority, as part of our license agreement, to stop Daniel Richter … from using the Roubaix name"

Possibly this will become a legal pissing match between ASI and Specialized.

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Brian Nystrom
Joined: 26 Jan 2004
Posts: 5101
Location: Nashua, NH

12/10/13 6:06 PM

If it comes down to muscle...

...Specialized will lose. If it was so inclined, ASI has the resources to buy Specialized and kick Sinyard and his legal staff to the curb. Specialized's patent on Horst-link suspension is probably due to expire soon, at which point ASI would have no need to license the Roubaix name to them. There really is no upside for Specialized to keep pushing this matter.

Of course, that doesn't mean that common sense will prevail.

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ErikS
Joined: 19 May 2005
Posts: 8337
Location: Slowing boiling over in the steamy south, Global Warming is real

12/10/13 6:40 PM

I have heard the S backed off.

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Steve B.
Joined: 19 Jan 2004
Posts: 769
Location: Long Island, NY

12/11/13 6:25 PM

Indeed.

http://blogs.calgaryherald.com/2013/12/10/cochrane-war-vet-to-keep-bike-shop-name-after-agreement-with-specializeds-founder/

Know any fresh-out-of-law school lawyers ?, there will be openings shortly.

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Brian Nystrom
Joined: 26 Jan 2004
Posts: 5101
Location: Nashua, NH

12/12/13 6:39 AM

I have to give Sinyard credit...

...for doing the right thing. However, it remains to be seen whether this is just for PR or if it results in a change of policy at Specialized. I'm skeptical, to say the least...

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Dave B
Joined: 10 Jan 2004
Posts: 4511
Location: Pittsburgh, PA

12/12/13 7:36 AM


quote:
Know any fresh-out-of-law school lawyers ?, there will be openings shortly.......

However, it remains to be seen whether this is just for PR or if it results in a change of policy at Specialized. I'm skeptical, to say the least...

From this morning's Bike Rumor web site report, apparently the lawsuit threat was made by Specialized's outside law firm, not their own in-house guys.

I assume the outside firm is chartered with, among other things, intellectual property protection and didn't realize how it would affect their clients reputation and image. I expect the in-house staff would have handled it better.

Sure Sinyard's trip to Canada to meet the shop owner was PR and damage control but it's good that he did it.

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greglepore
Joined: 10 Jan 2004
Posts: 1724
Location: SE Pa, USA

12/12/13 8:38 AM

Sinyard indicated in an interview that they've become very aggressive about t-mark protection due to counterfeiting and injuries from some of those products. The outside firm saw the "roubaix" wheels, and went ballistic.

Damage control? Sure. But otoh, there are a ridiculous number of products coming out of China with a fake S-carbon saddles, bars, complete Venge knockoffs, and even helmets. Fake Giro's too.

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JohnC
Joined: 10 Jan 2004
Posts: 1939
Location: Glastonbury, Ct

12/12/13 9:44 AM


quote:
From this morning's Bike Rumor web site report, apparently the lawsuit threat was made by Specialized's outside law firm, not their own in-house guys.

I assume the outside firm is chartered with, among other things, intellectual property protection and didn't realize how it would affect their clients reputation and image. I expect the in-house staff would have handled it better.


As an in-house lawyer who frequently hires and directs outside lawyers, I can't imagine an outside firm taking this action without explicit approval from somebody on the inside legal staff.

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rickhardy
Joined: 11 Jan 2004
Posts: 1492
Location: Needham outside of Boston - the hub of the universe

12/12/13 9:48 AM

Happens all the time.....

http://www.npr.org/blogs/alltechconsidered/2013/09/27/226834651/record-label-picks-a-fight-over-copyright-with-the-wrong-guy

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Andy M-S
Joined: 11 Jan 2004
Posts: 3377
Location: Hamden (greater New Haven) CT

12/12/13 10:45 AM

Concur

I don't have John's level of experience by any means, but lawyers are a lot like plumbers. We can tell you we think there's a problem, and we can tell you we think we can fix it for you, but generally, the client gives the go code. For most organizations, that's inside counsel. I cannot conceive of this happening without somebody at Specialized having thought it was a good idea.

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Dave B
Joined: 10 Jan 2004
Posts: 4511
Location: Pittsburgh, PA

12/12/13 11:04 AM


quote:
....we can tell you we think we can fix it for you, but generally, the client gives the go code.

I'm (obviously) not a lawyer but I can conjecture that Specialized gave the outside firm prior approval, to defend their trademarks and didn't have to specifically rule on this particular topic. It's like giving the plumber approval in advance to fix what ever he finds wrong.

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Andy M-S
Joined: 11 Jan 2004
Posts: 3377
Location: Hamden (greater New Haven) CT

12/12/13 3:53 PM

Could be...

But I don't do that with plumbers, auto repair, or bike repair places (well, OK, the last one, but largely because I trust them). And attorneys are (can be) considerably more costly than plumbers, and this sort of thing can be costly (as we have seen). It's possible, but unlikely.

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Smunderdog
Joined: 13 Jan 2004
Posts: 611
Location: Indianapolis, IN

12/13/13 7:12 AM

But wait, there's more!

http://ridingagainstthegrain.com/2013/12/12/specialized-threatens-another-small-business-epix-gear/

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Dave B
Joined: 10 Jan 2004
Posts: 4511
Location: Pittsburgh, PA

12/13/13 9:11 AM

Not More

Apparently that's old news and precedes the Roubaix Café story. Specialized has reached an accommodation with both companies.

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Brian Nystrom
Joined: 26 Jan 2004
Posts: 5101
Location: Nashua, NH

12/13/13 9:50 AM

The letter was sent on 12/4...

...so it predates the Cafe Roubaix debacle, but it's not exactly old news. Where did you hear that Specialized had come to an accommodation with them?

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