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Settling Trademark and Other IP Disputes: Key Lessons From 1-800 Contacts, Balancing Antitrust and IP Interests

Recording of a 90-minute premium CLE video webinar with Q&A

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Conducted on Thursday, September 9, 2021

Recorded event now available

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This CLE course will guide IP counsel on the Second Circuit Court of Appeals' recent decision in the 1-800 Contacts case and the implications for trademark and other IP enforcement and settlement. The panel will offer best practices for how companies may reduce antitrust risks in settling trademark disputes and crafting such settlements in ways consistent with the court's concerns.

Description

In 1-800 Contacts Inc. v. FTC (2d Cir. June 11, 2021), the Second Circuit determined the trademark settlements in question were typical and pro-competitive, thereby rejecting the FTC's assertion that the settlements by 1-800 Contacts violated antitrust law. The court provides important guidance for those considering settlement of trademark disputes as well as other IP disputes.

The decision also has broader implications for antitrust claims involving the enforcement of IP rights. The Second Circuit concluded that protecting a company's IP right constitutes a legitimate business interest that can justify restrictions on an allegedly infringing party in a settlement agreement. The case addressed trademark rights, but the reasoning will likely apply to other forms of IP.

The decision also offers guidance for minimizing antitrust risk when seeking a settlement. Companies and counsel need to note that, while the FTC's case again 1-800 Contacts was dismissed, antitrust issues can still arise.

Listen as our authoritative panel reviews the 1-800 Contacts decision and discusses the implications for trademark and other IP enforcement and settlement. The panel will also offer guidance on how companies may reduce antitrust risks in settling trademark disputes and crafting such settlements in ways consistent with the court's concerns.

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Outline

  1. 1-800 Contacts v. FTC (2d Cir. 2021)
    1. Decision
    2. Implications for trademark settlements
  2. Implications for other IP enforcement and settlements
  3. Best practices for settling IP disputes
    1. Antitrust considerations and minimizing antitrust risk

Benefits

The panel will review these and other key issues:

  • What are the implications of the 1-800 Contacts decision for trademark settlements?
  • What are the broader implications for other types of IP enforcement and settlements?
  • What lessons does the decision provide for companies considering settling trademark disputes with restrictions to analyze the antitrust risk of such arrangements?

Faculty

Hogan, Howard
Howard S. Hogan

Partner
Gibson Dunn & Crutcher

Mr. Hogan is Co-Chair of the firm’s Fashion, Retail and Consumer Products Group. His practice focuses on IP...  |  Read More

Shores, Ryan
Ryan Shores

Partner
Shearman & Sterling

Mr. Shores practices in the firm’s Antitrust and Litigation groups. He represents companies in high-stakes...  |  Read More

Winemiller, John
John T. Winemiller, Ph.D.

Partner
Merchant & Gould

Mr. Winemiller’s practice centers on patent, trademark, trade secret, and copyright litigation, but also includes...  |  Read More

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