New Trademark Dilution Law Signed by President Bush

On October 6, 2006, President Bush signed legislation that fixes the trademark dilution provisions of the Lanham Act by adopting a liability standard of likely dilution rather than actual dilution (in resposne to the Supreme Court's decision in Moseley v. V Secret Catalogue, Inc., 537 U.S. 418 (2003)) and providing injunctive relief for uses of a famous mark or trade name in commerce “that is likely to cause dilution by blurring or dilution by tarnishment, regardless of the presence or absence of actual or likely confusion, of competition, or of actual economic injury.” The legislation also provides definitions for a “famous mark,” “blurring,” and “tarnishment,” and clarifyies that protection does not require inherent distinctiveness, that tarnishment is actionable, and that marks known only in niche markets are not covered.