Instagram rolled out their new video sharing reels this August, but what folks might now know is that a Minnesota broadcasting company, Hubbard’s, owns a trademark for REELZ®. Now, when you own it, you protect it. Hubbard’s has filed a federal lawsuit against Facebook and Instagram to demand they stop using the name Reels. The claims: trademark infringement, trademark dilution, and unfair competition.

Basically:

Trademark infringement: IG is encroaching on their trademark rights to exclusivity in the marketplace aka the reason they filed the trademark
Trademark dilution: IG’s use of the term Reels and infringement, dilutes the worth of the trademark because of how famous IG is and distinctiveness of REELZ® trademark
Unfair competition: REELZ® now has to unfairly compete with Facebook and IG and potentially having people questing which one?

As a CEO, it’s important you check that you can use that name before you launch. Facebook and Instagram may be able to foot the bill for a lawsuit like this. Can you?

Sign up for the Start-up 101: Foundations Bootcamp. Learn how to do a due diligence check for the product, service, or brand name before you launch to clear it for use. ENROLL HERE: BIT.LY/STARTUP101BOOTCAMP