Opinion ID: 560376
Heading Depth: 2
Heading Rank: 6

Heading: Likely Degree of Purchaser Care/Sophistication

Text: 57 The District Court also declined to make a finding as to purchaser sophistication, simply stating that little evidence exists to allow adequate consideration of this element. As with the marketing channels factor, we find more than enough information in the record to warrant a finding. 58 Generally, in assessing the likelihood of confusion to the public, the standard used by the courts is the typical buyer exercising ordinary caution. However, when a buyer has expertise or is otherwise more sophisticated with respect to the purchase of the services at issue, a higher standard is proper. Similarly, when services are expensive or unusual, the buyer can be expected to exercise greater care in her purchases. When services are sold to such buyers, other things being equal, there is less likelihood of confusion. See 3A R. Callmann, Secs. 20.11--.12; 2 J. McCarthy, Secs. 23:28--:29. Although it has been observed that the expertise of purchasers does not necessarily preclude a finding that confusion is likely, see Communications Satellite Corp. v. Comcet, Inc., 429 F.2d 1245, 1252 (4th Cir.), cert. denied, 400 U.S. 942, 91 S.Ct. 240, 27 L.Ed.2d 245 (1970), in this case it appears that the buyers of both Homeowners' and Specialists' services are likely to exercise a high degree of care. 59 Homeowners sells its services strictly to real estate brokers--sophisticated commercial buyers who are purchasing business services or services for resale in the course of their business. When the relevant buyer class is composed of such professional purchasers the likelihood of confusion is lower. That is, while two marks might be sufficiently similar to confuse an ordinary consumer, a professional buyer or an expert in the field may be more knowledgeable and will not be confused. 2 J. McCarthy, Sec. 23:29, at 135. Specialists is also selling a business service, albeit to non-business customers. However, because selling one's property is likely the most significant commercial transaction ever undertaken for most people, Specialists' customers are likely to carefully select the provider of sales services. See Magnaflux Corp. v. Sonoflux Corp., 43 C.C.P.A. 868, 231 F.2d 669, 671 (1956) (confusion is less likely where goods are expensive and are purchased after careful consideration than when they are purchased casually). Because of the significance of the services sold by Specialists and the sophistication of Homeowners' customers, this factor may be material in determining whether a likelihood of confusion exists.