This is a valuable right to a business entity, because of the time and effort invested in building public goodwill in a product and the mark. Trademark protection also protects the public against the consequences of confusion, buying something which they believe to be one thing when in fact it is something else. Trademark protection is recognized under the laws of individual states and is enforceable in state courts. Marks may be registered with state administrative agencies, usually the Secretary of State. There is also a federal Trademark Act that provides for registration of marks used or intended for use in interstate commerce.
Important advantages flow from federal registration.
For example, registration is constructive notice throughout the U.S. that the registrant claims ownership. And, after five years of continuous use, no one may contest the registrant's right to continue to use the mark. Also, federal registration allows the registrant access to the federal court system in infringement suits. Business competitors invest millions of dollars in advertising to publicize the goodwill that marks represent. Consumers identify such marked goods as having particular characteristics and merit.