April 2022 — Question 54
The new owner of a previously recorded trademark would like to continue the recordation with CBP. The trademark is for an item with a gray market counterpart the owner would like protection against based on physical and material differences. The following are all actions the owner must take to continue the recordation EXCEPT:
- APay a fee of $80.00 which covers all trademarks included in the application
- BState the basis for the asserted physical and material differences with particularity and competent evidence with summaries of the differences for publication in the Customs Bulletin
- CThe identity of any parent or subsidiary company or other foreign company under common ownership (only for those with aggregate ownership of more than 40% of the business entity) and common control which uses the trademark abroad✓ CBP's answer
- DDescribe any time limit on the rights of ownership transferred
- ESubmit a status copy of the certificate of registration certified by the U.S. Patent and Trademark Office showing the title to be presently in the new owner’s name
Why this answer
The cited recordation provisions require a new owner continuing a recordation to pay the $80 fee, which covers all previously recorded trademarks in the application, describe any time limit on the transferred rights, submit a USPTO-certified status copy showing title in the new owner, and, for gray market protection based on physical and material differences, state those differences with particularity and competent evidence, with summaries for Customs Bulletin publication. The application must also identify companies under common ownership or control using the mark abroad, but the regulation defines common ownership as more than 50 percent of the entity, so option C's 40 percent qualifier misstates the rule and is the exception. Watch for: Skimming past the 40 percent figure; the regulation defines common ownership as more than 50 percent.
Original CBLE Simulator explanation — the question and key above are CBP's; this analysis is ours. Verify against the current edition before relying on it in practice.
CBP's cited authority
Answer and citations as published in CBP's official answer key for the April 2022 examination.
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