Your company name can be crucial to your business identity. It allows others to pick you out among the crowded market you likely operate in.
If you notice another business is using the same name, you might worry that this will negatively affect your business. You might want to know what your options are for stopping them from doing so.
It depends on the situation
There is no point in rushing to demand that the other party stop using “your” name. You need to look at this with a clear head before you do anything.
In certain situations, it might be illegal for them to have the same name as you, and you can take legal action if necessary to get them to stop. However, more often than not, they may be perfectly within their rights to keep using the name. In some cases, alerting them to the issue could end up with you being the one who has to stop using the name.
Did you trademark the name?
If you took the precaution of trademarking the business name when you set up, this can strengthen your position. If it’s they who hold the trademark, then the opposite could be true.
What is the likelihood of customer confusion?
If you were to take things to court, what the judge would primarily look at is the likelihood of customers confusing the two businesses. The industries you are in and the locations can play a big role here. No one is likely to confuse Carlos’s Place, a bar in Florida, with Carlos’s Place, a hostel in Colorado. But if someone set up another hostel called Carlos’s Place in Colorado, a few streets away from the other one, confusion is probable.
If you are concerned about another business having the same name as yours, it can help to get an opinion from someone with legal experience in this area. They can give you a better idea of what a court might say, and what, if any, steps you can take.
