Trademark Litigation Update - Supreme Court Settles Willfulness Issue in Profits Awards
The Supreme Court recently resolved a split among the circuits and ruled that willfulness is not a prerequisite to a profits damage award in certain Lanham Act cases.
In Romag Fasteners, Inc. v. Fossil Group, Inc., found here, the Supreme Court examined whether willfulness was required in order to award profits in trademark cases based on false or misleading usage. Several circuits (including the Fourth Circuit) ruled that it was not. Others (including the D.C. Circuit) imposed the willfulness requirement. Relying on the clear language of the Lanham Act provision awarding damages, 15 U.S.C. § 1117(a), the Supreme Court ruled that willfulness was not required under the Act. Conversely, the Supreme Court did note that the same Lanham Act damage provision plainly requires willfulness for profits awards in dilution claims.