A much anticipated decision by the United States Court of Appeals for the federal circuit removes a significant risk that trademark owners have faced for the past six years.

In In re Bose Corp., 91 U.S.P.Q.2d 1938 (Fed. Cir. Aug. 31, 2009), the federal circuit reversed the trademark trial and appeal board’s finding that Bose Corporation committed fraud when it renewed a trademark registration for the trademark WAVE. Bose had indicated in its renewal declaration that the mark was used in connection with, among other goods, audio tape recorders and players. When evidence later revealed that Bose had ceased manufacturing and selling audio tape recorders and players in the mid-1990s, the TTAB found fraud based on the finding that Bose “knew or should have known” that the statements in its renewal documentation were false — a strict standard set by one of the TTAB’s most controversial decisions, Medinol Ltd. v. NeuroVasx Inc., 62 U.S.P.Q.2d 1205 (T.T.A.B. 2003).

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